Aldebaran Resources, a Canadian exploration company, has entered into a strategic option agreement with Nuton Holdings, a subsidiary of Rio Tinto, to form a joint venture for the Altar copper/gold project in Argentina. Currently, the Altar project is owned by Peregrine Metals, with Aldebaran holding a 60% interest and Sibanye-Stillwater owning the remaining 40%. Aldebaran is in the process of acquiring an additional 20% interest in the project, which will increase its stake to 80%, while Sibanye-Stillwater’s share will be reduced to 20%.
Under the terms of the agreement, Aldebaran has granted Nuton an exclusive option to acquire up to 20% of Peregrine Metals for a total consideration of $250 million. The payment will be made in several stages, with the final payment due by 2026, contingent on the completion of a prefeasibility study (PFS) for the Altar project. Once this deal is finalized, the ownership structure will be as follows: Aldebaran (60%), Sibanye-Stillwater (20%), and Nuton (20%).
Aldebaran’s CEO, John Black, highlighted that this partnership guarantees non-dilutive capital for the continued development of the Altar project, providing a secure financial foundation as the company moves forward. He also pointed out that Nuton’s innovative sulphide leaching technologies could play a key role in reducing both costs and capital requirements for the project. As part of the project’s next steps, Aldebaran plans to present two scenarios in its preliminary economic assessment (PEA) and PFS—one incorporating Nuton’s technology and one without.
Nuton’s CEO, Adam Burley, also expressed enthusiasm about the agreement, emphasizing that the option gives Nuton the potential to gain a significant stake in the large Altar copper project. He noted that Nuton’s proprietary copper leaching technologies could improve both the economic viability and environmental sustainability of the project, aligning with global trends towards greener mining practices.
The Altar project, located in the San Juan province of Argentina, has a significant resource base, with the 2021 pit-constrained estimate indicating 11.4 billion pounds of copper and 3.4 million ounces of gold in the measured and indicated categories. Inferred resources stand at 1.7 billion pounds of copper and 0.4 million ounces of gold. Since the latest resource update, Aldebaran has drilled more than 63,000 meters and identified a new porphyry center, Altar United. The company is currently working on updating its resource estimate, with results expected by November.
This partnership with Nuton is seen as a major milestone for the Altar project, as it provides the potential for a significant technological advantage and additional funding to further develop the project. Aldebaran, which was spun out of Regulus Resources Inc. in 2018, continues to build on its solid management foundation and strong position in the copper-gold exploration sector.
