FireFly Metals Ltd (ASX:FFM, TSX:FFM, OTC:FFMFF) earlier this week outlined further progress at its Green Bay Copper-Gold Project in Newfoundland and Labrador, where continued high-grade drilling is being incorporated into an updated mineral resource estimate and an upcoming economic study.
Managing director Steve Parsons said drilling at the Ming underground mine had returned some of the highest-grade copper and gold intersections recorded on the property to date.
Parsons said the results included broad intersections of approximately 30 to 50 metres at grades ranging from about 4% to 6% copper equivalent. He added that the results were supporting the conversion of more of the project's approximately 80-million-tonne resource into the measured and indicated categories.
"The grade seems to be getting better and better," Parsons said.
A key potential catalyst is the release of the updated resource and preliminary economic assessment and scoping study, which is targeted for August 2026. The study will assess an upscaled restart of production at Green Bay and is expected to place particular emphasis on the project's high-grade Core Zone.
Parsons said the Core Zone contained nearly 20 million tonnes grading close to 4% copper equivalent. He described the deposit as primarily a copper orebody with a gold credit, with copper accounting for most of the metal value.
FireFly Metals expects the high-grade material to play an important role during the early years of a potential mining operation, which may support stronger margins during the initial production period.
Further drilling results represent another near-term catalyst. Six underground drill rigs are continuing infill and step-out drilling, while additional activity is underway across near-mine and satellite targets.
Parsons said drilling had started at Rambler and East Mine, both located a few kilometres from the planned processing plant site. Regional exploration had also commenced at Tilt Cove, providing further scope for news flow beyond the main Ming deposit.
The company's financial position remains another important factor in its development strategy. FireFly Metals ended the quarter with approximately A$196.4 million in cash and liquid investments.
Parsons said the balance sheet provided sufficient funding to continue drilling, engineering and development work over the next several years.
Beyond the August study, a future bankable feasibility study is expected around the end of 2026 or the beginning of 2027. Parsons said the resource remained open and that further high-grade material could be incorporated as drilling continued.
FireFly Metals reported some of the highest-grade copper and gold intersections recorded to date at the Green Bay Copper-Gold Project.
Infill drilling is focused on converting more of the approximately 80-million-tonne resource into the measured and indicated categories.
Recent intersections included widths of approximately 30 to 50 metres at grades of around 4% to 6% copper equivalent.
The high-grade Core Zone contains nearly 20 million tonnes grading close to 4% copper equivalent.
Parsons described Green Bay as primarily a copper orebody with an additional gold credit.
The overall resource stands at approximately 80 million tonnes grading 2.2% copper equivalent and containing around 1.7 million tonnes of copper equivalent.
FireFly Metals expects the high-grade Core Zone to make a significant contribution during the early years of a potential mining operation.
An updated mineral resource estimate and scoping study are expected in July or August 2026, with completion targeted for August.
The resource remains open, with additional high-grade material expected to be considered in a future bankable feasibility study.
Six underground drill rigs are operating at Green Bay, focusing on infill and step-out growth drilling.
Drilling is also progressing across near-mine and satellite targets, including Rambler and East Mine.
Regional exploration has commenced at Tilt Cove.
FireFly Metals ended the quarter with approximately A$196.4 million in cash and liquid investments.
The company said its funding position should support continued drilling and development work for the next several years.
Proactive: FireFly Metals has strengthened the development case for its Green Bay Copper-Gold Project during the June 2026 quarter, reporting encouraging high-grade drilling results from a core zone expected to support early, high-margin production. Here to discuss the quarter is managing director Steve Parsons. Steve, good to see you.
Steve Parsons: Good to see you, Jonathan.
Proactive: Talk us through the key achievements at Green Bay during the quarter and what you are seeing.
Steve Parsons: As with previous quarters, we have a lot of workstreams progressing at the same time and we are moving quickly at FireFly Metals.
The announcement included some excellent drill results, including the highest-grade copper and gold intersections we have recorded on the property to date. The results seem to be getting better and better.
A significant amount of infill drilling is underway to convert more of the approximately 80-million-tonne resource into the measured and indicated categories. Some of the latest results included intersections of 30, 40 and 50 metres at grades of around 4%, 5% and 6% copper equivalent.
Those results are central to upgrading the resource, which is expected to be released alongside the upcoming scoping study.
Proactive: What do the latest high-grade drilling results indicate about the Core Zone's potential to support early production?
Steve Parsons: The Core Zone contains nearly 20 million tonnes at almost 4% copper equivalent.
Whenever I refer to copper equivalent, investors should think of Green Bay as a copper orebody with a gold credit. Depending on the location within the orebody, approximately 20% to 30% of the metal value comes from gold, with the remaining 70% to 80% coming from copper.
The overall resource currently stands at approximately 80 million tonnes grading 2.2% copper equivalent, containing about 1.7 million tonnes of copper equivalent. Most of that is copper, with the additional gold credit.
Our aim has been to infill-drill the high-grade area and convert nearly 20 million tonnes at around 4% copper equivalent into the measured and indicated categories.
Investors can expect further drilling results over the next few weeks as we work towards completing the study and resource upgrade.
That high-grade material is expected to be significant during the early years of the proposed mine life and production profile.
Proactive: What will the updated mineral resource add to the August economic study?
Steve Parsons: We expect the updated resource and study to be released at around the same time. The study is imminent and is expected to be completed within the next few weeks.
There is a great deal of work underway with consultants and the FireFly Metals team. The most important task is receiving the remaining high-grade drilling results.
We released the latest results a couple of weeks ago and hope to include one more batch before the final cut-off for the study.
The resource remains open. By the time we release a bankable feasibility study around the end of 2026 or the beginning of 2027, we expect significantly more high-grade material to be incorporated.
However, we need to draw a line in the sand for the current study. As previously stated, we expect to release it during July or August 2026.
Proactive: FireFly Metals is also well funded, with approximately A$196.4 million in cash and liquid investments.
Steve Parsons: There is a substantial amount of cash available, at just under A$200 million.
Our main cost at present is drilling, and we are managing expenditure carefully. Six drill rigs are operating underground and adding further high-grade material, with more results expected shortly.
Regional targeting is also beginning. Once the study is released, we expect to discuss those regional targets in much greater detail, and the drilling program may also ramp up.
We have sufficient cash to support the company's activities for the next couple of years.
Proactive: What can investors expect to see during the coming quarter?
Steve Parsons: Investors know that FireFly Metals undertakes a significant amount of drilling.
Six underground drill rigs are operating, with a focus on high-grade step-out growth drilling. There is also some remaining infill drilling to complete across the high-grade Core Zone, so investors can expect further results from those areas.
Near-mine drilling results are also expected shortly.
We have also started drilling at satellite deposits, including Rambler and East Mine, which are only a few kilometres from the planned location of the processing plant.
In addition, regional drilling has begun at Tilt Cove for the first time. Investors should expect news flow across all of those areas.
The major upcoming milestone is the scoping study, which should be released very soon.
With an approximately 80-million-tonne resource grading 2.2% copper equivalent, and with grades appearing to improve, investors should expect the study to outline a potential multi-decade, high-quality copper operation with a gold credit.
Proactive: I am sure we will speak again when the study is released. Good luck with everything, and we will speak again soon.
Steve Parsons: Thanks, Jonathan. Cheers.