Koryx Copper (TSXV: KRY; NSX: KYX; US-OTC: KRYXF) has reported the longest continuously mineralized intersection to date at its Haib copper project in Namibia, bolstering the case for a resource update and prefeasibility study both expected before year-end.

Drill hole HM167 cut 969 metres from surface grading 0.23% copper, 84 parts per million (ppm) molybdenum and 0.021 gram gold per tonne. The hole was one of 19 holes reported Wednesday, covering 8,586 metres in total, and all of them intersected thick mineralization, the company said.

"With this batch, our infill drilling is nearing completion, and results continue to trend to the upside ahead of the expected late 2026 mineral resource update," President and CEO Heye Daun said in a release. "These results continue the trend of recent months, with exceptional widths at consistent and regular higher grades above the average resource grade."

Haib is a large porphyry copper deposit in southern Namibia, near the Orange River border with South Africa, and is one of the oldest known copper deposits in Africa, with mineralization first documented in the late 19th century. Namibia is an established mining jurisdiction that hosts operations including Rossing uranium and the Otjikoto gold mine, and the government has identified mining as a pillar of its economic development plans. At Haib, Koryx is close to completing a 52,000-metre drill program designed to upgrade and expand a March resource estimate. An updated estimate is due late this year and will underpin a prefeasibility study expected in the fourth quarter, while the company also advances metallurgical studies and a mining licence application.

Analysts

The results highlight areas of potential tonnage growth as Koryx approaches the resource update, BMO Capital Markets mining analyst Rene Cartier said in a note. BMO rates Koryx outperform (speculative) with a $6 target.

An earlier BMO review this month noted that infill drilling could have mixed effects on the final model. Some holes extended mineralization beyond or below existing grade shells, while others could locally shrink the shells as Koryx tightens its geological interpretation. BMO also flagged silver as a possible additional byproduct.

Red Cloud Securities analyst Ron Stewart rated the latest results as positive, saying the nearly kilometre-long HM167 intersection reinforced Haib's scale and grade continuity and marked another step toward converting resources into higher-confidence categories. Koryx expects to finish its current 52,000-metre drill program during the third quarter.

Stewart also highlighted drill hole HM185 and the high near-surface grades in HM177, while pointing to HM171, HM173 and HM162 as possible sources of additional tonnes in the next resource. Red Cloud maintains a buy rating and $5 target, compared with Koryx's Wednesday close of $3.83. The company had a market value of about $465 million.

Resource

According to a March resource estimate, Haib hosts 744 million indicated tonnes grading 0.28% copper, 63 ppm molybdenum and 0.02 gram gold per tonne, containing 4.61 billion lb. copper, 103.6 million lb. molybdenum and 487,900 oz. gold. It also carries 579 million inferred tonnes grading 0.24% copper, 66 ppm molybdenum and 0.02 gram gold for 3.05 billion lb. copper, 84.5 million lb. molybdenum and 380,200 oz. gold.

The batch of strong results included drill hole HM185, which returned 236 metres grading 0.51% copper within a broader 413-metre interval grading 0.37% copper. The company described it as one of Haib's best intersections to date by contained metal. HM177 returned 30 metres grading 1.06% copper from 8 metres depth, including two 2-metre intervals above 4% copper.

Several holes also suggest the deposit could extend beyond the current resource model, Koryx said. HM173 showed higher-grade copper running farther west than modelled, while HM171 hit higher-grade zones outside the resource. HM162 encountered 56 metres grading 0.35% copper in previously unmodellled mineralization. HM181, however, helped establish the southern limit of Target 1.

Studies

The prefeasibility study is expected in the fourth quarter. A 2025 preliminary economic assessment envisioned a large open-pit operation producing an average of 88,000 tonnes of copper annually over 23 years.

It estimated US$1.56 billion (C$2.16 billion) in upfront capital and an after-tax net present value, at an 8% discount rate, of US$1.35 billion, with a 20% internal rate of return based on copper at US$9,500 per tonne. Copper demand is driven by electrical networks, construction and, increasingly, electric vehicles and grid-scale energy storage, and a string of large new mine projects worldwide — Haib among them — reflects industry efforts to bring on new supply.

Koryx has also applied to convert Haib's exploration licence into a mining licence as metallurgical and processing trade-off work continues. Red Cloud expects a definitive feasibility study in 2027, with environmental clearance work and project financing among the other upcoming milestones. If those milestones stay on schedule, investors will be watching the late-2026 resource update and fourth-quarter prefeasibility study as the next concrete readouts on Haib's scale and economics.