Australian mining firm Prospect Resources plans to increase its stake in Zambia’s Mumbezhi copper project to 90 percent, strengthening its presence in one of Africa’s key copper-producing regions as global demand for the metal rises.
The company said on Thursday it had reached an agreement to acquire an additional 5 percent interest in the project from partner Global Development Cooperation (GDC) for US$4.25 million.
Once completed, the deal will raise Prospect’s ownership in the project from 85 percent to 90 percent, further consolidating its control over the Mumbezhi deposit in northwestern Zambia.
The transaction remains subject to regulatory approvals and is expected to be finalized in April 2026, according to the company.
The Mumbezhi project sits in a region known for significant copper deposits and is viewed by the company as a strategic asset in its African portfolio. Prospect Resources already secured majority ownership of the project under a 2024 agreement that allowed it to acquire an 85% stake while the previous owner, Global Development Cooperation, retained a minority share.
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The latest move signals the Australian junior miner’s growing confidence in the project’s long-term potential.
In February, the company announced a 63 percent increase in the estimated copper resources at Mumbezhi following updated geological assessments. The revised figures significantly boosted the project’s scale and strengthened its prospects as a future copper development in Zambia’s mining sector.
Chief executive Sam Hosack said the company was pleased to secure a larger interest in what it believes is a “world-class copper deposit.”
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Hosack noted that exploration activities had already resumed at the site after a pause during the rainy season and that preparations were underway to restart drilling operations.
“The team is preparing to recommence drilling once the rainy season ends,” he said, adding that the company’s recent capital raise would fund an extensive exploration campaign.
According to Hosack, the program will include up to 50,000 metres of drilling aimed at expanding the project’s known resources and improving geological understanding of the deposit.
Analysts say the timing of the investment aligns with growing global interest in copper as demand for the metal accelerates.
Copper plays a critical role in electrical infrastructure, renewable energy systems and electric vehicles. It is also increasingly important in data centers and digital infrastructure linked to the rapid expansion of artificial intelligence technologies.
Industry forecasts suggest the market could face a structural supply deficit in the coming years as demand growth outpaces new mine development.
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Against this backdrop, mining companies are racing to secure high-quality deposits and advance exploration projects toward production.
For Zambia, the expansion of projects such as Mumbezhi supports the government’s ambition to significantly increase national copper output over the next decade.
The country is already Africa’s second-largest copper producer after the Democratic Republic of the Congo, and authorities have repeatedly emphasized the need to attract new investment into the mining sector to unlock additional reserves.
The government has set a long-term target of raising annual copper production to around three million tonnes as part of a broader strategy to strengthen economic growth and increase foreign exchange earnings.
Advancing the Mumbezhi project toward development could therefore contribute to that ambition while positioning Prospect Resources to benefit from rising global copper demand.
For the Australian miner, expanding its ownership stake not only increases its exposure to potential future production but also gives it greater strategic control as exploration at the project continues to expand.
