Faraday Copper surges on $73M capital raise backed by Lundin, BHP

Faraday Copper surges on $73M capital raise backed by Lundin, BHP, signaling strong investor confidence in U.S. copper assets. The Vancouver-based developer announced a C$100 million private placement to fund Arizona projects. The financing draws backing from the Lundin Family Trusts and BHP Group. Shares climbed sharply following the announcement.

The company plans to issue 23.81 million common shares at C$4.20 per share. That price matched the market open on announcement day. Management expects to close the placement by March 11. The proceeds will support project development and cover expenses tied to the recent BHP transaction.

Faraday Copper surges on $73M capital raise backed by Lundin, BHP amid Arizona expansion

Faraday Copper surges on $73M capital raise backed by Lundin, BHP as it accelerates consolidation in Arizona’s copper corridor. The company recently agreed to acquire BHP’s San Manuel property. The asset sits 19 km southwest of its flagship Copper Creek project in Pinal County.

Under the deal, BHP will receive a 30% equity stake in Faraday Copper. The implied value of that stake stands near C$300 million. BHP also secured rights to maintain its ownership through future equity raises. As a result, Faraday gains a strategic partner with global mining expertise.

Arizona copper district strengthens with San Manuel acquisition

The combined assets position Faraday to build a multi-generational copper district. The Copper Creek project hosts 422 million tonnes in measured and indicated resources. The deposit grades 0.48% copper equivalent and contains nearly 4.5 billion pounds of metal.

Meanwhile, the San Manuel property produced more than 4.5 million tonnes of copper between 1955 and 1999. It once ranked among the largest underground mines in the United States. Company estimates suggest a 14 billion pound copper resource, though it lacks recent compliant studies.

Analysts reacted positively to the financing and acquisition. BMO Capital Markets called the C$100 million raise stronger than expected. Haywood Capital Markets labeled the transaction transformational. Following the announcements, shares hit a 52-week high of C$4.51. The company’s market capitalization reached C$1.13 billion.

SuperMetalPrice Commentary:

Faraday Copper surges on $73M capital raise backed by Lundin, BHP at a pivotal moment for U.S. copper supply. The consolidation of Copper Creek and San Manuel strengthens domestic resource security. Moreover, BHP’s equity participation validates the district’s long-term potential. If copper demand accelerates through electrification and grid expansion, Faraday could emerge as a strategic North American supplier. Investors should monitor drilling updates and feasibility milestones closely.