Carnaby Resources' (ASX:CNB) ongoing drilling at the Trek-1 FWZ within the Greater Duchess copper-gold project in Queensland has the potential to improve project economics within the current mine plans and extend mine lives, according to a Wednesday note by Euroz Hartleys.

The firm is looking to complete its feasibility study at Greater Duchess by mid-year, ahead of a final investment decision and a targeted first ore production in the second half.

Euroz Hartleys modelled around 143,000 tonnes of copper and around 55,000 ounces of gold production over the 12-year life of mine at average all-in sustaining costs of around $3.17 per pound of copper, net of gold credits, pre-production capital of AU$15 million, and total capital expenditure of around AU$246 million.

The investment firm retained its speculative buy rating on Carnaby Resources along with its AU$0.96 per share price target.