Marimaca Copper Corp. (TSX:MARI; ASX:MC2) - Copper in Chile
- Noel Ong
- Apr 9
- 13 min read
Updated: Apr 9
An advanced copper developer looking to enter the world of copper producers in Chile. With a rising copper price and the realisation that copper is indeed in a supply crunch, this could be a worthwhile company to have a decent effort to DYOR.
Marimaca Copper Corp. (TSX: MARI, ASX: MC2) is a Canadian exploration and development company focused on copper exploration in Chile. The company is listing on the ASX to gain access to Australian capital markets while maintaining its primary listing on the Toronto Stock Exchange (TSX).
Marimaca Copper Corp. has a market capitalisation of C$563M and has an MRE of 238MT @0.44% Cu with 1,041kt of contained copper, and it is not your average mineral explorer looking for copper in South America.
The IPO is a compliance listing to achieve a dual listing status for the company to legally create a path to access funds from the Australian Stock Exchange (ASX). It is best to seek advice from your equity broker as to how one would participate in this listing, as that would be above the capabilities of Samso.
Our interest in reviewing Marimaca is that it may be an opportunity to get access in the ASX to a valued TSX company with a decent-looking copper-producing opportunity. The timeline for the Definitive Feasibility Study (DFS) is encouraging, and although this is not a guarantee of success, this is a great opportunity to be able to participate as a copper producer in a region well known for its copper mining and production.
To make it simple, readers can use the links below to move faster through the review of the Marimaca Copper Corp story.
1.0 IPO Details
(source: Prospectus)
Offering: 100 CHESS Depositary Interests (CDIs) at A$6.00 per CDI, raising a total of A$600.
CDI Ratio: 1 CDI = 1 common share.
Market Capitalization:
C$562 million (as of the last trading day before the prospectus).
Number of Shareholders:
The company has several major shareholders, including Greenstone Capital LLP (25.31%), Assore International Holdings Ltd (14.99%), and Ithaki Ltd (9.47%).
ASX Listing:
Expected to begin trading - TBA.
2.0 Share Options & Escrow
(source: Prospectus)
Outstanding Stock Options (as of November 12, 2024):
Exercise Prices: Range from C$1.25 to C$5.00.
Expiry Dates: Between April 2025 and October 2028.
Recent Stock Option Grants:
2023 Grants: marimaca.com
Quantity: 0.5 million stock options granted.
Exercise Price: Weighted average of C$4.00 per option.
Option Life: 5 years.
Valuation: Fair value estimated at C$0.8 million.
3.0 Use of IPO Funds
The IPO proceeds will be used for:
1. ASX Listing Compliance & Administration.
2. General Working Capital.
3. Supporting exploration & development at Marimaca & Sierra de Medina.
4.0 Escrow Arrangements
(source: Prospectus)
Public Disclosures:
Specific details regarding escrowed shares or lock-up periods for Marimaca Copper Corp. are not publicly disclosed in the available sources.
Common Practices:
Escrow arrangements typically apply to insiders or significant shareholders, especially during financing events or initial public offerings (IPOs).
Such arrangements are designed to prevent large-scale selling immediately after these events, thereby stabilizing the stock price.
Recommendation:
For detailed information on any existing escrow agreements, it is advisable to consult Marimaca Copper Corp.'s official filings or contact their investor relations department.
Note: The information provided is based on publicly available sources as of March 15, 2025.
5.0 Key Dates
(source: Prospectus)
May 18, 2023 – Updated Mineral Resource Estimate (MRE), increasing Measured & Indicated Resources by 44% to 200Mt @ 0.45% Cu.
April 15, 2024 – Development update on the Definitive Feasibility Study (DFS), geo-metallurgical modelling, and permitting.
May 22, 2024 – First Community Open House in Mejillones, improving ESG rating to an "A" score.
July 16, 2024 – Strategic C$68M investment by Assore International Holdings
(AIH) through share acquisition & private placement.
August 7, 2024 – Closed C$30.3M private placements, increasing AIH's stake to 14.99% of outstanding shares.
November 18, 2024 – Announced dual listing process on ASX to access institutional capital.
March 13, 2025 – Expected ASX listing under the ticker "MC2," marking expansion into the Australian market.
Target Production Timeline: 2028 – Advancing towards full-scale copper production
6.0 Directors of Marimaca Copper Corp.:
(source: Prospectus)
Michael Haworth – Non-Executive Chairman
Extensive experience in mining finance and corporate strategy.
Hayden Locke – President & CEO
Strong background in mining investment, project development, and corporate leadership.
Giancarlo Bruno Lagomarsino – Non-Executive Director
Experience in investment banking and capital markets.
Clive Newall – Non-Executive Director
Mining executive with experience in resource exploration and project development.
Tim Petterson – Non-Executive Director
Focus on corporate governance and mining investment.
Colin Kinley – Non-Executive Director
Technical expertise in resource exploration and feasibility studies.
Alan Stephens – Non-Executive Director
Over 40 years of experience in copper exploration in Chile.
Kieran Daly – Non-Executive Director
Experienced in mining project evaluation and financing.
7.0 Management
(source: Prospectus)
• José Antonio Merino – CFO & Managing Director (Chile)
• Sergio Rivera – VP, Exploration
• Solange González – General Counsel & Company Secretary
• Nico Cookson – Head of Corporate Development
8.0 Marimaca Copper Projects & Locations
(source: Prospectus)
The Company’s flagship asset is the Marimaca Copper Project in Chile’s Antofagasta region. It is one of the few greenfield copper discoveries made globally in the last decade and is a low-risk project with substantial exploration potential.
Figure 1: Marimaca Project location map. (source: Prospectus)
The Marimaca Copper Project (Figure 1) is situated in Chile’s Antofagasta Province, Region II, roughly 25 km west of the port of Mejillones, about 45 km north of Antofagasta city, and 1,250 km north of Santiago, Chile. The project site is positioned at approximately 374,820 E and 7,435,132 S in WGS84 UTM coordinates.
The project is within top-tier utilities and infrastructure. The Marimaca Project is comprised of 20 mining/exploitation concessions covering approximately 961 hectares. These concessions are listed in the national mining claims register and are in Sierra Naguayán, Commune of Mejillones, Province and Region of Antofagasta.
8.10 Project History
(source: [1- Luis Oviedo])
In the general Project area, modern small-scale artisanal mining activities were conducted from the 1990s to the mid-2000s, with underground workings reaching a maximum depth of about 100m.
No modern exploration occurred until Coro Mining Corp. (Coro), which later became Marimaca Copper, began acquiring the Project's ground holdings. The Marimaca deposit was discovered in 2016 after a reverse circulation (RC) drill program. Coro then conducted detailed geological surface mapping, rock chip sampling, additional RC drilling, core drilling for geotechnical and geometallurgical studies, metallurgical test work, and mining studies. An initial resource estimate was completed in January 2017, with Mineral Reserves first estimated in
2018.
Coro completed a feasibility study in June 2018 (the 2018 Feasibility Study). This study considered using conventional equipment for open-pit mining to supply a refurbished process plant, known as the Ivan plant, capable of producing 10,000 tons of cathode copper annually.
The 2018 Feasibility Study is not currently the favored option for Project development. Marimaca Copper does not regard the study as current, and the Mineral Reserve estimates are also not considered current.
Nonetheless, some baseline information from the 2018 Feasibility Study was utilized in the 2020 PEA. An Environmental Impact Statement (Declaración de Impacto Ambiental, DIA in Spanish) and the Mining Safety Regulations and Environmental Qualification Resolution (RCA) were approved on 5 July 2018.
Mineral Resources were updated in late 2019 as part of an internal study of the Mixed area (MAMIX) and again in 2022, with results discussed in the 2022 MRE report. This included a total of 110,790m drilled across 429 drill holes. The 2023 MRE includes a total of 139,164m across 554 drill holes.
Coro changed its name to Marimaca Copper in May 2020.
8.20 Marimaca Copper Deposit Summary
Geology, Mineralization and Deposit Types
(source: [1- Luis Oviedo])
Location & Context: Marimaca lies in Chile’s Coastal Copper Belt, among other Mesozoic-age copper deposits (e.g., Mantos Blancos, Ivan). It displays features of both manto-type and IOCG (Iron Oxide Copper Gold) deposits.
Geology & Structure: Hosted in intrusives of the Naguayán Stock (monzodiorite-diorite), the deposit is heavily fractured, especially along a north-south (NS) structural belt. These fractures form "sheeted-like" zones that enhance permeability. Later, NW and WNW faults also aided in fluid movement and oxide formation.
Mineralization: The deposit is characterized by a copper oxide blanket at surface, ~1,600m long (NNW), 400–500m wide, and 200–300m thick. The upper two-thirds consist of copper oxides (e.g. brochantite, atacamite, chrysocolla), while the lower third is mixed with secondary sulfides like chalcocite and covellite. Structural control is key to the distribution of mineralization.
Alteration: The deposit shows Na-Ca (calc-sodic) metasomatism with limited hydrothermal destruction. Alteration minerals include albitite, chlorite, minor K-spar, and biotite. Limonite (goethite) is associated with oxides.
Unique Features: While Marimaca shares some IOCG features (low pyrite, chalcopyrite-magnetite, sodic alteration), it lacks gold and shows an unusually intense supergene (near-surface oxidation) overprint. This secondary oxide blanket is thought to result from prolonged oxidation of an earlier sulfide-rich zone, despite the primary IOCG system being low in pyrite. This points to a unique evolution involving repeated oxidation and lateral copper migration.
8.30 Marimaca Copper Project – Exploration & Drilling Summary
(source: Prospectus)
Artisanal Mining History: Small-scale underground mining occurred between the 1990s and mid-2000s, reaching depths of up to 100 meters.
Modern Exploration: This began in 2016 with the Company’s land consolidation and RC drilling that led to the discovery of the Marimaca Oxide Deposit.
Exploration Activities Since 2016 include:
Surface mapping and rock chip sampling
Reverse circulation (RC) and diamond core drilling
Geotechnical and geo-metallurgical studies
Metallurgical test work and mining studies
Mineral Resource Estimates (NI 43-101):
First estimate completed in January 2017
Updated in 2019, 2022, and most recently in May 2023
Drilling Overview (as of May 2023):
Total holes: 560
Total meters drilled: 139,164m
RC drilling: 127,186m
Diamond drilling: 11,978m (mostly PQ and HQ3 core sizes)
Eight drilling campaigns over 2016–2022
Average drill spacing: 50m × 50m, oriented at 220° and 310°, with 60° dip
Drilling Contractors:
RC and core drilling completed by Drillex and Major Drilling
Reporting Standards:
Exploration results and resources reported under NI 43-101
Additional compliance under the JORC Code (2012) in supporting technical documents (Annexure D)
8.40 Geology and Mineralisation – Marimaca Copper Project
8.41 Regional Geology
Oldest Rocks:
Late Palaeozoic to Triassic metasediments and intermediate intrusives.
Intrusive Activity:
Early Jurassic to Lower Cretaceous intrusive stocks dominate the region.
Younger intrusives host the Marimaca oxide copper mineralisation.
Volcanics:
La Negra Formation, a bimodal volcanic event (similar to a large igneous province), surrounds the project area.
Dyke System:
Extensive bimodal dykes (gabbro to rhyodacite) intrude both volcanics and intrusives, mapped over tens of kilometres.
Dated at 145–148 Ma, coinciding with regional manto-type copper events.
8.42 Cover Rocks
Tertiary marine sediments mark paleo shorelines on the Mejillones Peninsula.
Valley gravels and ash layers to the east date back 10–12 million years.
8.43 Metallogenic Setting
Manto-type deposits:
Hosted in La Negra volcanics, typically in brecciated and vesicular lava flows, and occasionally in veins and breccias.
Alteration is weak and subtle (albitisation, K-feldspar replacement).
IOCG-style mineralisation:
Occurs in Jurassic intrusives, with Marimaca seen as an atypical IOCG variant due to its unique structural controls and deep supergene oxidation.
Porphyry copper systems exist near the project’s eastern margin.
8.44 Deposit Characteristics
Marimaca Oxide Deposit:
A supergene copper oxide blanket exposed at surface.
Extends ~1,800m NNW, 500–700m wide, and 200–350m thick.
Upper 2/3: Copper oxides
Lower 1/3: Mixed zone with secondary sulfides
Depth of Oxidation:
Supergene alteration reaches depths of over 400m, due to favorable post-Jurassic geomorphological and climatic evolution.
Structural Controls:
Mineralisation follows N–SE dipping structures and late NW–EW fault systems.
8.45 Mineralogy
Oxide Zone Terms Used by Company:
"Brochantite zone": Actually dominated by atacamite (clinoatacamite) with minor brochantite.
"Enriched sulphide" / "chalcocite zone": Zone with chalcocite and covellite, replacing chalcopyrite or coating pyrite.
Gangue Minerals:
Limonite, goethite, minor hematite, clays, iron oxides, gypsum.
Associated Alteration Minerals:
Actinolite, chlorite, and magnetite.
8.50 Mineral Resources – Marimaca Copper Project
Original Reporting Framework:
The Marimaca Copper Project's Mineral Resource was originally reported under the NI 43-101 standard.
The most recent NI 43-101 technical report is titled "Updated Mineral Resource Estimation for the Marimaca Copper Project, Antofagasta Region, Chile," with an effective date of May 2023.
JORC Code Reporting (2025 MRE):
The 2025 Mineral Resource Estimate (2025 MRE) is the first version to be reported under the JORC Code (2012).
SRK Consulting (Australasia) Pty Ltd acted as the Independent Technical Expert, preparing the resource estimate included in Annexure D of the technical report.
Data Consistency:
The 2025 MRE uses exactly the same drillhole data and estimation approach as the 2023 NI 43-101 Mineral Resource.
JORC Compliance & Documentation:
The JORC Code (2012) Table 1 for the 2025 MRE is provided in Appendix A of the Independent Technical Expert’s Report.
This appendix includes:
Drill collar locations
Hole orientations
Significant and high-grade intervals
Summary of nearby and near-mine exploration drilling
Material Significance:
The 2025 MRE represents the Company’s primary material asset.
Further details of the 2025 MRE and the Marimaca Copper Project are available in the
Independent Technical Expert's Report in Annexure D and the Chilean Solicitor's Report
in Annexure E.
8.60 Project Status
(source: Prospectus)
A Definitive Feasibility Study (DFS) is in progress.
Environmental permitting submitted for copper cathode production.
Expected to be a significant near-term copper supplier.
9.0 Sierra de Medina Project – Summary
The Sierra de Medina Project concessions are located about 85 km north-northeast of Antofagasta and roughly 28 km east of the Marimaca Copper Project. This project includes four exploration activity centers (prospects): Pías, Antennas, Pampa Medina, and Madrugador, as illustrated in Figure 2 below.
Excluding the Pampa Medina and Madrugador regions, the Sierra de Medina Project consists of 55 mining concessions and spans approximately 14,361 hectares. The Pampa Medina area consists of 12 mining concessions covering around 144 hectares. The Madrugador area includes 10 mining concessions and covers about 852 hectares.
Figure 2: Sierra de medina Project Areas. (source: Prospectus)
9.10 Overview
Location:
~85 km north-northeast of Antofagasta
~28 km east of the Marimaca Copper Project
Exploration Prospects: The project contains four main prospects:
Pías
Antennas
Pampa Medina
Madrugador
Total Concessions & Area:
Core Project (excluding Pampa Medina & Madrugador):
55 mining concessions
Covers ~14,361 hectares
Held by ICAL, a Marimaca subsidiary
Pampa Medina Area:
12 mining concessions
~144 hectares
Held by SCM Elenita
MCAL has a purchase option (dated 8 August 2024) under Article 169 of the Chilean Mining Code
Madrugador Area:
10 mining concessions
~852 hectares
Held by SLM Juanita and SLM Madrugador
MCAL has a purchase option (dated 9 December 2024) under Article 169 of the Chilean Mining Code
9.20 Location, Access & Infrastructure
The project benefits from similar infrastructure and access as the Marimaca Copper Project, due to its proximity (~28 km east).
9.30 Mineral Tenure
Ownership and options for each area are clearly defined:
ICAL: Core 55 concessions
SCM Elenita: Holds Pampa Medina – under option to MCAL
SLM Juanita & SLM Madrugador: Hold Madrugador – under option to MCAL
Additional legal and tenement details are available in:
Annexure E – Chilean Solicitor’s Report
Annexure F – Tenement Schedule
9.40 Infrastructure and Mining Hub Overview
(source: Prospectus)
Proximity to Key Cities & Infrastructure:
Easily accessible from Antofagasta and Mejillones via a well-maintained multi-lane highway.
Antofagasta International Airport is just 45 km from the project.
Final access is via maintained dirt roads from the paved B12 road, which connects to the Antofagasta–Tocopilla Route.
Geographic & Environmental Context:
Located ~39 km north of the Tropic of Capricorn, in the Cordillera de la Costa range.
Elevation ranges from 400 m to 1,000 m above sea level.
Dry desert climate, with minimal vegetation—except where irrigation or the coastal Camanchaca sea mist supports growth.
Average rainfall is just 2–3 mm annually, though rare storms can deliver 12–30 mm.
Conditions are suitable for year-round mining operations.
10.0 Samso Concluding Thoughts
Marimaca Copper Corp. is an interesting IPO as it is bringing over a fairly well-established porphyry project into the ASX. Table 2 is a table that shows a comparison between the two projects in the company and it is clear that the two projects are at very different stages.
Table 2: Comparing major attributes of the Marimaca Copper and Sierra de medina projects.
Feature | Marimaca Copper Project | Sierra de Medina Project |
Location | ~45 km from Antofagasta Airport | ~85 km north-northeast of Antofagasta |
~39 km north of the Tropic of Capricorn | ~28 km east of Marimaca Copper Project | |
Access | Paved highways + dirt roads | Similar infrastructure and access to Marimaca |
Main Focus | Copper oxide & secondary sulfide deposit | Early-stage exploration across 4 prospects |
Exploration Stage | Advanced – NI 43-101 & JORC Mineral Resource defined | Early exploration – concessions and option agreements in place |
Resource Status | 2025 MRE under JORC (same as 2023 NI 43-101) | No public resource estimate yet |
Total Area | Not specified here (focused deposit area ~1,800m × 500–700m) | ~15,357 hectares total (combined from 3 areas) |
Ownership | Held by Marimaca Copper and its subsidiaries | Mix of held and optioned concessions under MCAL |
Legal Framework | NI 43-101 and JORC Code (2012) | Chilean Mining Code – Article 169 for option agreements |
Key Prospects | N/A (single consolidated deposit) | Pías, Antennas, Pampa Medina, Madrugador |
As I mentioned earlier, the main reason for having a look at Marimaca Copper Corp is the Marimaca Copper project, which appears to be on a short timeline to potentially join the ranks of copper producers. Mining the oxides and treating the oxides is a great way to step into the copper-producing world in a shorter timeline.
This is what the likes of Cyprium Metals Limited (ASX:CYM) were trying to achieve before the rising interest rate put an end to that concept. The company then changed management, and it has struggled to bring back the mojo. It is the lack of success with projects that help new projects such as Marimaca look attractive.
Jurisdictions like South America are geared for business such as what Marimaca Copper Corp. is endeavouring to manifest. Chile, Peru, and Argentina are the mecca for such projects. The lack of funding opportunities in Northern America is creating some great opportunities for ASX investors. Whether this project will become economic will be part of this process of due diligence and patience.
I would think that a Heap Leaching process would be a great way for the oxide ores, which would allow the question of economic viability a much greater chance of success. A perfect arid climate, like Australia's, is ideal for any heap-leaching ideas.
I know this has been a long list of details, but I think this is a great way to summarise the information from the prospectus. Like always, DYOR and happy investing.
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Reference:
[1- Luis Oviedo]
Updated Mineral Resource Estimation for the Marimaca Copper Project, Antofagasta Region, Chile
Luis Oviedo, P.Geo.
NCL Ingeniería y Construcción SpA
Marcelo Jo
MJO Engineering and Consultants in Metallurgy SpA
Effective date: May 18, 2023
Report date: June 26, 2023
Disclaimer
The information or opinions provided herein do not constitute investment advice, an offer or solicitation to subscribe for, purchase or sell the investment product(s) mentioned herein. It does not take into consideration, nor have any regard to your specific investment objectives, financial situation, risk profile, tax position and particular, or unique needs and constraints.
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