Fitzroy Minerals Inc. (TSXV: FTZ, OTCQX: FTZFF, FSE: C3Y) announced that it has executed a non-binding Letter of Intent (LOI) with Sociedad Punta del Cobre S.A. (Pucobre) outlining a potential joint development pathway for the Buen Retiro Copper Project in Chile. The LOI reflects a shared intention to work toward a development scenario that leverages existing regional infrastructure and operating experience.
Under the LOI, Pucobre confirms its intent to exercise its 30% claw-back right, subject to continued positive technical results, for the Buen Retiro Project including sulphide exploration potential. Pucobre also offers processing capacity at its Planta Biocobre Electro-Win (EW) facility, representing a minimum of 80% of its nominal capacity of approximately 800 tonnes of cathode copper per month. Additionally, Pucobre will provide open-book sharing of operating cost data from its nearby mining and processing operations to inform the Heap Leach Pre-Feasibility Study (PFS).
Merlin Marr-Johnson, President and CEO of Fitzroy Minerals, commented: “The joint Letter of Intent is a major validation of the Buen Retiro Heap Leach project and is a win for both parties. Pucobre benefits by potentially securing production from the Buen Retiro Heap Leach to fill spare capacity at Planta Biocobre for many years, and thereby significantly improve operational economics by spreading fixed costs across more production units. Fitzroy benefits by having access to an operational EW tank-house which reduces capital expenditure and simplifies the permitting process.”
Sebastian Rios, CEO of Pucobre S.A, added: “We are pleased to be working with Fitzroy Minerals to advance the Buen Retiro Project through a collaborative development approach that leverages regional infrastructure and our operational experience in the district.”
The LOI recognizes a dual-track advancement strategy: development of oxide resources through a heap-leach/SX-EW pathway supported by regional infrastructure and the planned PFS, and continued exploration of sulphide mineralization as a longer-term value driver. Fitzroy intends to provide a separate exploration update concurrent with the PFS publication.
The use of Planta Biocobre processing capacity, located 70 km from the project, is expected to reduce capital intensity, accelerate timelines, and reduce execution risk. Commercial terms for tolling or alternative processing arrangements are expected within 90 days to support the PFS economic model.
Pucobre has also agreed to provide cost information from its nearby operations, including open-pit mining costs, processing costs at Planta Biocobre, transport cost benchmarks, and construction experience. These data will strengthen the reliability of capital and operating assumptions in the PFS.
Under the Buen Retiro Option, Fitzroy can earn 100% of the project by completing four steps before mid-2028: at least 12,000 metres of drilling (already met), at least US$7 million in eligible expenses, delivery of a Final Technical Report with a NI 43-101 compliant PFS and resource estimates, and a US$4 million bullet payment. Fitzroy expects to complete all steps by Q2 2027. Upon completion, Pucobre intends to exercise its claw-back to acquire a 30% interest by paying 90% of all eligible expenses, estimated at a minimum of US$10.2 million.
Additionally, Fitzroy entered into an investor relations services agreement with Stonegate Capital Partners, Inc. on April 22, 2026, for a monthly fee of USD$3,000, subject to TSX Venture Exchange approval.
For more information on Fitzroy Minerals, visit the Company's website: www.fitzroyminerals.com. View the original release on www.newmediawire.com.
