Taseko Mines (TKO.TO) was at last look down more than 1% after saying Monday that it continues to progress construction of the Florence copper project in Arizona.

The company said the project is approaching 40% completion, with first copper production still scheduled in the fourth quarter 2025.

"We are pleased with progress through the first nine months of construction," President and CEO Stuart McDonald said. "With approximately 75% of total construction costs now committed, we expect total costs to be within 10-15% of the original US$232 million estimate."

Taseko said it applied to the US Energy Department's Qualifying Advanced Energy Project Credit Program, noting that Florence qualifies as a critical materials project.

"We have now filed the application seeking a tax credit of up to US$110 million, and we expect to hear whether Florence qualifies for the credit, or not, in January 2025," McDonald said.

Meanwhile, Taseko kept its Sector Perform rating and $4.50 price target at National Bank of Canada following the news. Its Sector Perform rating accounts for growth opportunities with Florence (in addition to other development projects in the portfolio) offset by elevated debt levels and overall near-term macro risks to copper prices given TKO is one of the more leveraged names to copper in its coverage universe.

"We continue to see the possibility for more positive momentum for the name with an improving copper price backdrop and transitioning to a multi-asset, lower-cost producer through completion of Florence," the bank said.

Taseko was trading down $0.05 at $3.26 per share at last look on the TSX.