KGL Resources Prepares Jervois Development Ahead of Final Investment Decision

KGL Resources (ASX: KGL) has started preparatory development activities at its 100%-owned Jervois copper project in the Northern Territory after completing a $300 million equity raising that fully funds the project through construction and into production.

The copper developer has executed an approximately $36m contract for a new accommodation village and mine infrastructure, begun procuring critical long-lead process equipment, and mobilised drilling crews to site.

KGL is also finalising the engineering, procurement and construction (EPC) contract for its planned 2 million tonnes per annum processing plant while progressing selection of an open-pit mining contractor.

A Final Investment Decision (FID) remains targeted for the third quarter of calendar year 2026, with first sulphide mill feed and process-plant commissioning planned for the first half of 2028.

Village Buildout Contract

Northern Transportables has been awarded the accommodation and mine infrastructure contract covering design, manufacture, supply, transport, installation, and commissioning of the Jervois facilities.

The village will contain 252 single-occupancy rooms—180 newly manufactured rooms and 72 refurbished en-suited rooms—alongside associated central facilities and mine infrastructure buildings.

KGL expects the first 100 new rooms and principal village facilities to be ready for occupation in February 2027, followed by all 180 new rooms in April and relocation and commissioning of the remaining 72 rooms by June.

“Our focus is now firmly on execution, with development activities advancing across several critical workstreams,” chief executive officer Sam Strohmayr said.

“These activities demonstrate Jervois’ transition from funding and construction readiness into project execution as we progress towards FID.”

Engineering Work Planned

A drilling contractor has mobilised to Jervois for an initial geotechnical program focused on the process-plant location and associated infrastructure, with the work intended to support detailed engineering, foundation design, and construction planning.

Exploration drilling is also getting underway across high-priority targets identified through previous inversion modelling and ongoing geophysics work as KGL continues a funded program aimed at resource growth, mine-life extension, and new discoveries across the broader Jervois and Unca Creek tenements.

Procurement of critical long-lead process equipment has begun including the grinding mills and associated equipment required for the planned plant, while KGL works towards finalising its EPC agreement with Sedgman.

The open-pit mining contractor tender and selection process is progressing in parallel as the developer prepares for the principal construction program following FID.

Production Timeline Unchanged

KGL continues to target first sulphide mill feed and process-plant commissioning in the first half of 2028, with the Jervois development planned around an initial 10-year mine life.

At steady state, the project is expected to produce approximately 30,000 tonnes of copper each year along with significant silver and gold by-products, based on the production target first released in April 2026.

Near-term milestones include completing the Sedgman EPC contract, progressing the Surface Mining Services contract, and continuing enabling works and procurement ahead of the targeted FID.

KGL considers Jervois in an excellent position to add new Australian copper supply as constrained mine supply coincides with growing demand from electrification, power infrastructure, data centres, and other emerging applications.