Celsius Resources (ASX: CLA) has delivered a definitive feasibility study (DFS) confirming improved technical and economic outcomes for its Maalinao-Caigutan-Biyog (MCB) copper-gold project in the Philippines.
The study outlines a long-life underground operation supported by a large, high-quality resource base, early high-grade production, and a competitive cost structure—results Celsuis believes position MCB as a near-term copper-gold development with a clear pathway toward a final investment decision.
The DFS reports a pre-tax net present value of A$1.98 billion (US$1.3b) at an internal rate of return of 31 per cent using conservative long-term copper and gold price assumptions.
On a post-tax basis, the project delivers a net present value of A$1.15b (US$771 million) and an internal rate of return of 24 per cent, with a payback period of 4.7 years from the start of production for a CapEx outlay of approximately A$412m (US$276m).
At prevailing spot prices, the study shows materially stronger outcomes, with the NPV rising to A$2.9b (US$1.9b) pre-tax and A$1.8b (US$1.2b) post-tax.
Resource Base And Mine Plan
The project is underpinned by a JORC-compliant mineral resource of 343 million tonnes and a maiden ore reserve of 130.2Mt, supporting a mine life of approximately 35 years.
The mine plan prioritises extraction of a high-grade core during the first decade, driving strong early cash flow and average annual EBITDA of about US$230m during that period.
Mining is planned using sublevel open stoping and paste backfill, with early access via decline haulage before transitioning to a shaft and hoisting system as the mine deepens—a strategy that balances early cash flow with long-term operational efficiency and reduced material handling distances.
The DFS, which follows a scoping study announced in December 2021, focused on optimising the underground mine plan, advancing the process plant design, refining surface and underground infrastructure layouts, and developing tender-ready early work packages.
It also sought to identify cost efficiencies across mining, processing, tailings management, power supply, and associated infrastructure, undertaking additional geotechnical and hydrogeological investigations to refine design inputs, reduce technical uncertainty, and support the project’s development pathway.
Cost Assumptions and Processing Methods
Average C1 cash costs during the first 10 years are forecast at US$0.41 per pound of copper net of by-product credits, rising to a life-of-mine average of US$1.73 per pound.
Ore will be processed through a conventional crushing, grinding and flotation circuit to produce a high-quality copper-gold concentrate, with forecast recoveries of approximately 92.5 per cent for copper and 79.7 per cent for gold in the early years.
Celsius executive director Neil Grimes called the study a “major milestone [that] demonstrates a technically robust and economically enhanced project, with competitive capital intensity and operating costs.”
MCB is supported by a fully integrated engineering, procurement, and construction execution schedule that defines the project’s development pathway from Final Investment Decision – targeted for Q1 2026 – through to commissioning and first concentrate, expected in Q2 and Q3 2028, respectively.
