Exploration will be managed by Barrick, a subsidiary of Barrick Gold, under an agreement with Coppermoly which allows Barrick to spend $20 million to earn 72% of the Nakru, Simiku and Talelumas tenements over eight years.
Simiku has an inferred resource of 200 million tonnes grading 0.36% copper, containing 700,000 tonnes of copper, 12,000 tonnes of molybdenum, 12 tonnes of gold and 391 tonnes of silver.
Mapping done by Barrick last year helped define structural information which will help form drillhole planning.
Coppermoly's Kulu prospect is 5.5 kilometres southeast of Simiku, and rock sampling from the 2010 program confirmed anomalous grades of copper over an area of 800 metres by 600 metres.
Over 200 rock chip samples taken during November 2010 had average grades of 0.11% copper.
The company said additional testing outside of Simiku will help develop the mineral potential of additional prospects which were historically explored by different companies.