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Amended - EV Vision Enhanced
In accordance with Listing Rule 5.7 and the JORC Code, this amended announcement includes JORC Table 1 (sections 1 and 2), in reference to the helicopter reconnaissance rock chip sampling program that was completed.
Further, a visual estimate has been included as the announcement refers to ‘outcropping manganiferous material’ within the body of the announcement under the header ‘Highlights and exploration summary’ and refers to the photo at Figure 2. Accordingly, additional information has been included under this header and also below Figure 2 in accordance with ASX and AIG guidance. Lastly, a summary of the 91 samples is included at Annexure 0.1.
Reach Resources Limited (ASX: RR1 & RR1O) (“Reach” or “the Company”) is pleased to announce it has entered into a binding tenement sale agreement to acquire tenement E09/2543 from Firebird Metals (ASX: FRB). The tenement acquisition consolidates ground already held by Reach in an area highly prospective for manganese and rare earths. The low cost acquisition (A$110,000) is payable via the issue of ordinary shares in Reach Resources.
HIGHLIGHTS
- Reach acquires tenement E09/2543 from Firebird Metals (ASX: FRB).
- Tenement E09/2543 adjoins existing Reach tenure and expands the manganese and rare earth prospectivity of the Company’s assets by ~25%.
- Reach continues to acquire ground focused on the growing battery market.
- High-grade rock chips up to 18% MnO2 at neighbouring Reach tenement E09/25391.
- Significant land holding now held by Reach, right in the middle of Hastings and FMG.
- Low cost acquisition payable entirely in Reach shares (A$110k).
Figure 1: Location of newly acquired tenement E09/2543
1 ASX Announcement 13 February 2023
Manganese is recognised as a critical mineral by the Office of the Chief Economist (Australian Government Department of Industry, Innovation and Science). Further, a White House document (June 2021) states that manganese use in battery cathodes may result in the metals preferred element emergence in next generation battery cells, due to its ‘relative safety’ and ‘having by far the most stability’.
Figure 2: Manganese outcropping – Tenement E09/2543
Note 2:
1. The nature of the mineral occurrence: Massive stratiform/supergene manganese mineralisation hosted within sediments of the Ullawarra Formation.
2. Identify the minerals observed: The Manganese minerals observed are limited to a suite of manganese oxides, hydroxides, carbonates, and silicates. The outcrop as shown displays all of the characteristics which typify manganese mineralisation, i.e jet black in colour, surficial and concentric supergene coating/banding, massive stratiform layering, extremely fine grained with high specific gravity and likely contains iron in addition to manganese.
3. Estimate of abundance: Manganese is observed as per 2 above. Managanese ores are extremely fine-grained microscopic mixtures of several different manganese minerals. The manganese content of the material sampled based on visual examination ranges between 10% and 30% by volume.
4. Anticipated timing of assay results: Assay results are expected in October 2023.
Cautionary Statement: Visual estimates of mineral abundance should never be considered a proxy or substitute for laboratory analyses where concentrations or grades are the factor of principal economic interest. Visual estimates also potentially provide no information regarding impurities or deleterious physical properties relevant to valuations.
Jeremy Bower CEO commented:
“Whilst primarily used in the steel industry as an alloying agent to improve hardness, strength and resitence to corrosion, the Electric Vehicle revolution is here and manganese is a key component in the production of lithium-ion batteries. The Company remains entirely focused on our Morrissey Hill lithium project, but it’s important that we continue to consolidate our tenure in highly prospective areas, with a focus on the EV market. This low cost acquisition is right in between some big players in Hastings and FMG and we are very interested in manganese generally and the role it will play over the coming years.”
Click here for the full ASX Release
This article includes content from Reach Resources, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
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Reach Resources Limited
Overview
It’s no secret that the world is pivoting toward clean technology, but it’s not as simple as flipping a switch. Manufacturing green tech calls for higher quantities of critical metals, such as lithium, nickel, and rare earth elements (REEs). REEs are necessary to produce the powerful magnets found in nearly every emerging clean technology, such as electric vehicles and wind turbines. China produces between 80 and 90 percent of all REEs on the planet. This monopoly raises concerns among world governments, as countries with ambitious goals to become carbon-neutral are effectively dependent on China.
The Australian government recognizes this challenge while acknowledging its untapped REEs and critical mineral deposits. The success of Hasting Technology Metals’ (ASX:HAS) Yangibana Project in the Gascoyne Province has rekindled interest in REEs. Reducing its dependence on imported critical metals is why the government committed AU$240 million to critical mineral projects, ranging from mining operations to building new refineries.
Reach Resources Limited (ASX:RR1), is a Perth-based exploration and development company, aiming to develop a critical metals supply chain in Australia through a portfolio of high-potential mineral assets in the prolific Gascoyne Province and an investment in their downstream technology. This diversified critical minerals portfolio comprising lithium, rare earth elements (REE) and niobium (Nb) as well as an advanced gold asset, is strategically located in close proximity to other successful projects in Yinnetharra, Western Australia. Reach Resources' critical minerals projects include the Morrissey Hill Lithium project; Camel Hill Li/REE project; and the Wabli Creek Nb/HREE project.
In addition to its lithium potential, recent results from ongoing exploration at Morrissey Hill also revealed high-grade copper, gold and silver. Assays from a recently concluded rock-chip sampling program included up to 33.2 percent copper, 0.2 grams per ton (g/t) gold and 142 g/t silver.
The company’s Primrose Gold Project presents a strategic opportunity to generate cash flow to fund its promising critical minerals exploration projects. The Primrose Gold Project has a JORC-compliant inferred gold resource estimate of ~1 million tons (Mt) at 3.2 grams per ton (g/t) for 105,000 ounces of gold. In addition, nearby mills within the district could enable Reach Resources to refine its raw materials and quickly generate cash flow.
In addition to its promising mining projects, and to exemplify the Company’s ESG objectives, Reach Resources has also invested in an exciting new REE recycling technology. Recycling discarded neodymium (NdFeB) magnets is the foundation of the company’s long-term strategy. It has invested in REEcycle, a US-based magnet recycling company, leveraging technology pioneered at the University of Houston. The current market solution for recycling these magnets dissolves iron and boron in the process, whereas REEcycle’s technology separates them, which means more value is extracted from discarded magnets. Additionally, pilot testing shows that the new technology can achieve up to 99.8 percent recovery efficiency of the REEs. Reach Resources hopes to bring this technology to Australia.
Reach Resources is led by an experienced management team that builds confidence in its ability to reach its goals. Jeremy Bower, CEO, has over 15 years of experience in the global consulting and mining industry, working with the likes of GHD Pty Ltd and BHP Iron Ore. Robert Downey, non-executive chairman, is a commercial lawyer with over 20 years of experience helping companies in the public and private sectors. Additional experts in the mineral industry and corporate governance round out the management team.
Company Highlights
- Reach Resources is an Australia-based exploration and development company with short- and long-term objectives to create near-term cash flow and long-term value with gold and critical metal-focused projects and technologies.
- The company has recently announced high grade lithium oxide assay results up to 2.3 percent at its Morrissey Hill project and up to 14.3 percent niobium with associated heavy REE’s at its Wabli Creek project. Forward plans are focused on a maiden drill program at Morrissey Hill initially before moving to Wabli Creek.
- Reach Resources wholly owns all its projects that allow for near- and long-term value creation.
- Investing in an emerging magnet recycling technology, REEcycle, diversifies the company’s portfolio and could potentially enable them to bring the US-based technology to Australia.
- A strong management team with decades of diversified experience leads the company toward its ambitious goals.
Key Projects
Morrissey Hill Lithium
Morrissey Hill contains historical high-grade lithium, tantalum, rubidium, cesium, niobium results from rock-chip samples. It adjoins Red Dirt Metals’ (ASX:RDT) Yinnetharra Lithium Project, which recently announced initial assay results from drill intersections including 55.6 meters at 1.12 percent lithium oxide including 15 meters at 1.52 percent lithium oxide from 95 meters.
Geology within Morrissey Hill is consistent with Red Dirt Metals’ “Goldilocks Zone” theory for occurrence of lithium-cesium-tantalum (LCT) pegmatites. Numerous outcropping pegmatites have already been mapped at Morrissey Hill. In addition, results show a 5-kilometer lithium soil anomaly (>100 ppm Lithium) untested by drilling.
Project Highlights:
- Historical high-grade samples: Results from historical rock-chip sampling at Morrissey Hill includes: 1.32 percent lithium oxide; 3.62 percent tantalum pentoxide; 1,936 ppm rubidium; 2,276 ppm cesium; and 1.55 percent niobium pentoxide.
- Sampling Confirms High-grade Lithium: Encouraging assay results confirmed high-grade lithium of up to 2.3 percent lithium oxide; 4,295 ppm caesium and 705.8 ppm tantalum oxide.
- High-grade copper, gold and silver: Recent rock-chip sampling also confirmed up to 33 percent copper, 0.2 grams per ton (g/t) gold and 142 g/t silver.
Wabli Creek REE Project
Pegmatites at Wabli Creek were previously evaluated by Great Mines, Kookynie Resources and Nickel Mines while targeting calcrete-hosted uranium deposits between 1974 and 1983. Two mineralised pegmatites have been the focus of exploration to date at Wabli. Reconnaissance assays indicate significant levels of critical elements like niobium and tantalum. A field program is currently underway at Wabli Creek, which includes detailed surface geochemical soil surveys, mapping the individual niobium-tantalum pits and following the niobium-tantalum-heavy-rare-earth mineralisation along strike.
Projects Highlights:
- High-grade assays: High‐grade results from surface eluvial samples at Wabli Creek include: 14.3 percent niobium pentoxide; 6.7 percent tantalum pentoxide; 3,689 ppm total rare earth oxides (TREO) with 70.3 percent heavy rare earth oxides (HREO)
- Consistent high-grade niobium and HREO: Independent geological experts have advised that the consistent high‐grade niobium and HREO are associated with an approximately 2.5-kilometer-long rare element pegmatite swarm identified from historical records at Wabli Creek.
- Future work: Geophysical work using tight spaced radiometrics, gravity and/or aeromagnetics; petrography study using powder X‐ray diffraction and scanning electron microscopy; and drill testing of key targets.
Camel Hill REE Project
The Camel Hill tenement includes historical rock-chip samples with total rare earth oxide (TREO) results of up to 1,357 ppm - an approximately 3.5-kilometer REE soil anomaly of more than 500 ppm REE. Recorded REE anomalies at Camel Hill correspond with thorium radiometric highs.
Primrose Gold Project
Project Highlights:
- Total inferred mineral resources: 1.035 million tons (Mt) at 3.2 g/t gold for 105,000 oz gold; includes higher grade components with 0.582 Mt at 4.7g/t gold for 87,000 oz gold.
- Well-known Gold Field: This project is known for its gold deposits, with historical results of up to 25 g/t found with old equipment and techniques. Now, more recent exploration programs have indicated the existence of substantial gold at shallow depths with high-grade intercepts.
- Nearby Processing Facilities: Two mills within the district may be available for processing the raw materials. However, the mine may eventually support its standalone mill.
- Robust Infrastructure: The project is located a mere four-and-a-half hours north of Perth, adjacent to the Great Northern Highway. A local roadhouse provides accommodations and maintains a nearby airstrip.
- Blue Heaven Prospect: On August 29, 2022, Reach Resources’ wholly owned subsidiary Cervantes Gold was granted a mining lease over the entire Blue Heaven tenure package within the Primrose Gold Project.
Management Team
Jeremy Bower - CEO
Jeremy Bower is an experienced company executive with a strong technical background spanning the last two decades.
He has worked across a diverse range of industries with a major focus on mining and resources with global consulting firms and BHP Billiton Iron Ore.
Bower has developed a unique skill set over the last twenty years working in technical fields such as contaminated sites, environmental impact assessment and tenure management to project management, corporate affairs and as the chief executive officer for several companies.
With the experience and understanding gained from these fields. Bower brings a highly strategic and detailed focus to company management.
Robert Downey - Non-executive Chairman
Robert Downey is a barrister and solicitor in Western Australia and has practiced as a corporate and commercial lawyer for over 20 years. He advises a wide range of public and private companies, and high-net-worth individuals, concerning commercial and corporate transactions. Downey has been a director of many publicly listed and private companies, offering significant experience as a director. He has particular experience in day-to-day listing rule compliance, disclosure, and governance issues.
Sam Wright - Non-executive Director
Sam Wright has over fifteen years of experience in the administration of ASX-listed companies, corporate governance and corporate finance. He is a member of the Australian Institute of Company Directors, the Financial Services Institute of Australasia, and the Chartered Secretaries of Australia. Wright is currently the finance director and company secretary of PharmAust (ASX:PAA) and non-executive director and company secretary of Structural Monitoring Systems (ASX:SMN). Wright is the company secretary at Buxton Resources (ASX: BUX) and Wide Open Agriculture (ASX:WOA).
Matthew O'Kane - Non-executive Director
Matthew O’Kane is an experienced mineral industry executive and company director with 25 years of experience in the mining, commodities, and automotive sectors. He has held senior leadership roles in Australia, the US, and Asia, in both developed and emerging markets. O’Kane has served on the board and as an executive of mining companies in Canada, Hong Kong, and Australia. He is currently the managing director of Comet Resources, non-executive director of Pursuit Minerals and non-executive director of Azarga Uranium. During his career, O’Kane has worked with companies involved in production, exploration, and development.
Chris Achurch - Company Secretary
Chris Achurch provides company secretarial, corporate advisory, and general consulting services to a number of ASX-listed clients.
Odessa Minerals: Exploring for Lithium and Rare Earths in Western Australia's Resource-rich Gascoyne Region
Quarterly Activities/Appendix 5B Cash Flow Report
Reach Resources Limited (ASX: RR1) (“Reach” or “the Company”) provides its activities report for the quarter ended 30 June 2023.
High-Grade Lithium Results at Yinnetharra (15 May 2023)
- Lithium mineralisation confirmed with rock chip samples reporting highly encouraging assays of up to 2.3% Li2O (lithium oxide); 4295ppm Cs (caesium) and 705.8ppm Ta2O5 (tantalum oxide).
- Multiple large, strike extensive, lithium-bearing pegmatites of the Spodumene-Petalite Subtype (Featherstone, J.M, 2004) confirmed at the Company’s Yinnetharra tenements, directly adjoining Delta Lithium (ASX: DLI) and Minerals 260 (ASX: MI6).
- Results from the Bonzer include:
- 23RRRK0003 - 14,422ppm or 1.4% Li2O, 2873ppm Cs ,714.4ppm Ta2O5 and 4891ppm Rb.
- 23RRRK0002 - 12,832ppm or 1.3% Li2O, 2205ppm Cs, 243.4ppm Ta2O5 and 4108ppm Rb.
- Results from the Bonzer include:
Outcropping Copper Gossan Delivers 33% Cu Assays (18 May 2023)
- High grade copper-oxide mineralisation (malachite) confirmed at the Company’s Morrissey Hill Project, Yinnetharra with rock chip samples reporting highly encouraging assays of up to 33.2% Cu; 0.2 g/t Au and 141.8g/t Ag.
14.3% Niobium & 70.3% HREO-Rare Earth Element NYF Pegmatite (1 June 2023)
- Sensational high-grade results from surface eluvial samples at Wabli Creek, Yinnetharra
- 14.3 % Nb2O5, 6.7% Ta2O5, 3689 ppm TREO with 70.3% HREO
- Independent geological experts RSC have advised that the consistent high-grade niobium and HREO is associated with a ~2.5km long rare element pegmatite swarm identified from historical records at Wabli Creek
- Importantly the mineralisation likely extends under cover (Jacobson et al, 2007)
- Source of high-grade niobium and heavy rare earth oxide (HREO) results confirmed as a rare element pegmatite swarm with niobium, yttrium, fluorine (NYF) geochemical signature
- Rare element (NYF) pegmatites are characterised by their unusual enrichment of niobium and heavy rare earth elements (HREE), in contrast to clay hosted or carbonatite deposits which predominantly contain light rare earth elements (LREE)
- Confirmation of a rare element pegmatite system increases the likelihood of identifying additional high-grade niobium and HREE which are listed as critical minerals by governments worldwide
Latest Assay Results Return up to 10.3% Niobium (28 June 2023)
- Spectacular assay results received from the latest surface eluvial and rock samples taken at the Wabli Creek rare element (NYF) pegmatite field have returned high grade niobium of 10.3% Nb2O5 (23RRRK243) and 2.6% Nb2O5 (23RRRK244). Additional anomalous rare earth elements (REE) results returned of up to 7082 ppm TREO.
- Importantly, samples from the latest program were taken up to 400m east of the previously mapped north-west pegmatite trend spanning ~1.5km, which returned results up to 14.3% Nb2O5, 6.7% Ta2O5, 3689 ppm TREO
- Latest results indicate a potential stacked pegmatite sequence and/or a new niobium/REE mineralisation source.
Click here for the full ASX Release
This article includes content from Reach Resources, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
Outcropping Copper Gossan Delivers 33% Cu Assays At Morrissey Hill Project, Yinnetharra
Reach Resources Limited (ASX: RR1 & RR1O) (“Reach” or “the Company”) is pleased to announce that it has received high grade copper, gold and silver results up to 33% copper, 0.2g/t gold and 142g/t silver from its recently completed rock chip sampling program at the Company’s Morrissey Hill Project, Yinnetharra, W. A (Refer to Figure 4).
HIGHLIGHTS
- High grade copper‐oxide mineralisation (malachite) confirmed at the Company’s Morrissey Hill Project, Yinnetharra with rock chip samples reporting highly encouraging assays of up to 33.2% Cu; 0.2 g/t Au and 141.8g/t Ag. (Figure 1).
- Results follow Morrissey Hill assays of up to 2.3% Li2O (ASX Announcement 15 May 2023).
- Mineralisation at the Swallowtail Copper Prospect was mapped over a strike length of at least 150m and remains open in all directions.
- Significant results include:
- 33.2% Cu, 0.2g/t Au and 141.8g/t Ag (23RRRK0039).
- 14.7% Cu, 0.02g/t Au and 55.6g/t Ag (23RRRK0042).
- 4.2% Cu, 0.3g/t Au and 5.7g/t Ag (23RRRK0041).
- 2.3% Cu, 0. 2g/t Au and 5.0g/t Ag (23RRRK0043).
- Historical sampling 3.0km’s west of Swallowtail could potentially extend the strike with historical results returned:
- 18.5% Cu, 1.1g/t Au and 6.8g/t Ag
- 18.5% Cu, 1.1g/t Au and 6.8g/t Ag
- The rock chip results confirm the Company’s targeting methodology and the potential of the area to host significant mineralisation.
- Morrissey has never been drilled & geochemical surveys planned to commence next week.
Commenting on the results CEO Jeremy Bower said:
“The Morrissey Hill tenement at our Yinnetharra Project continues to deliver. These are outstanding copper results and in conjunction with the 2.3% Li20 announced earlier this week, it is clear how prospective the ground is. We’re focused on sourcing the critical and battery minerals of the future and copper is an important part of our strategy. Despite several world class copper‐gold and polymetallic base metal deposits in the East Capricorn Orogen, the West Capricorn and Gascoyne has been massively under‐ explored. We see this as a huge opportunity.
Importantly, we are fully funded to complete our field programs and drilling campaigns earmarked for this year. Our focus remains on thorough geochemical assessment of each target and getting drill rigs out to Morrissey Hill as soon as possible. This will mean consistent news flow for our shareholders over the coming months.”
FIGURE 3: Morrissey Hill showing location of the Swallowtail Prospect along Stringer Fault line
FIGURE 4: Regional location of Reach Yinnetharra projects
The rock chip results confirm the Company’s targeting methodology and the potential of the area to host significant mineralisation. Systematic surface geochemical surveys including soils, stream sediment and rock chip sampling are planned to commence immediately. Results from this work will guide follow up programs which if warranted may include electromagnetic geophysical surveys and drill testing of priority targets.
The results were reported from an outcropping quartz‐veined gossan, the Swallowtail Prospect, showing visible malachite (copper‐oxide) over a strike length of approximately 150m. The gossan strikes east‐ west, appears to dip steeply towards the south and remains open in both directions. A single historical sample located some 3.0km’s west of Swallowtail, and within the same structural corridor, also reported high grade copper, gold and silver assays indicating a potential strike length of the target zone in excess of 3km’s (Refer to Figure 3).
Click here for the full ASX Release
This article includes content from Reach Resources, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
Reach Resources’ Strategic Position Between Two of WA’s Mining Heavyweights
Reach Resources’ (ASX:RR1) strategic position with its Morrissey Hill project has placed the critical mineral explorer on the radar of two of Western Australia’s mining giants Delta Lithium (ASX:DLI) and Minerals 260 (ASX:MI6), according to an article published in The West Australian.
“While Delta and Minerals 260 have between them wrapped up what appears to be the region’s prime ground, both of their maps show a glaring and curious anomaly. Closer inspection reveals that a reasonable chunk of ground, right in the middle of the two bigger players, is held by the $10m market-capped Reach Resources,” the article said.
Reach acquired the Morrissey Hill lithium project in February, at the same time that it acquired the Camel Hill and White Castles tenements prospective for rare earths and manganese, respectively, covering four tenements. Morrissey hosts historical, high-grade lithium, tantalum, rubidium, caesium and niobium, according to Reach.
Click here to connect with Reach Resources’ Limited (ASX:RR1) for an Investor Presentation.
Multiple New Lithium (LCT) Pegmatite Targets Confirmed
Reach Resources Limited (ASX: RR1 & RR1O) (“Reach” or “the Company”) engaged globally renowned geological consultants RSC Consultants Limited (RSC) to assess the potential of the Company’s Gascoyne projects for:
- Lithium (Li): hard rock, high grade LCT Pegmatites
- Rare Earth Elements, Heavy and Light (HREE; LREE): clay/hard rock hosted
- Manganese (Mn): high grade strata bound, supergene, and• Precious and base metals (Au; Ag; Cu-Pb-Zn)
HIGHLIGHTS
- Independent geological experts RSC consultants have identified four priority target areas for Lithium-Caesium-Tantalum (“LCT”) Pegmatites within the Company’s Critical Elements Projects, located in the centre of the rapidly developing Gascoyne “Battery Metals” Province, WA
- Each of the target areas are associated with confirmed fertile parental granites of the Thirty Three and Durlacher Supersuites and contain the same metasedimentary sequences which host Red Dirt Metals (ASX: RDT) Yinnetharra Lithium Project, less than 10 km’s to the NE of Reach Resources’ tenure
- All of the targets are defined by favourable geology, multi-element pathfinder geochemistry and the presence of mapped Geological Society of Western Australia (GSWA) Tin, Tantalum and Lithium pegmatites
- A helicopter supported field reconnaissance program has been initiated to assess the priority areas in more detail
- Drilling of priority targets is scheduled to commence in CY Q3/4 2023 once all regulatory approvals are received
CEO Jeremy Bower commented:
“RSC’s independent expert analysis confirms our belief that our landholding in the Gascoyne has the potential to host significant battery metal deposits.
Phase 1 of the assessment focused on the lithium potential at our Critical Elements Projects and has not only cemented Morrissey Hill as our primary lithium target but importantly has identified three new lithium target areas. Each of the areas are defined by the presence of a highly fertile parent granite and supported by key multi-element geochemistry including lithium, caesium, tantalum, tin and rubidium which are all well documented associations of lithium bearing “rare metal” LCT pegmatite mineral systems.
This is an exciting time for the Company and our shareholders, and we look forward to delivering updates to the market over the coming months. The Future is within Reach”.
Phase 1 of the assessment focused on the lithium potential of the Company’s Critical Elements Projects which includes the newly acquired Morrissey Hill and Camel Hill projects as well as the Wabli Creek project (Figure 1).
Figure 1: Critical Elements Projects
The assessment included a review of relevant deposit models and mineralisation styles of interest, regional and local geology, local mineral systems, academic papers, open file company and government reports and all available geochemical, geophysical and remote-sensed data sets.
Click here for the full ASX Release
This article includes content from Reach Resources, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
Positive Scoping Study for Tumblegum South
Star Minerals Limited (ASX: SMS, “the Company” or “Star Minerals”) is pleased to present the range of outcomes of a Scoping Study for open-pit mining and third-party toll treatment of the Tumblegum South gold deposit (“Tumblegum South” or “the Project”) which is located approximately 40km south of Meekatharra in the Murchison district of Western Australia.
The positive results of this Scoping Study provide a basis to refine material inputs and enhance project economics for the Tumblegum South gold deposit.
Study Highlights
- Various options utilising third-party processing plants operating under a toll treatment agreement were considered. There are currently two active processing plants with a radius of 50km to 150km from Tumblegum South. A range of outcomes were defined based on gold price, and processing cost including trucking costs.
- At gold prices from AUD$2,250 to AUD$3,000/oz, the Production Target for the Project ranges from approximately:
- 116kt at 2.25g/t producing 7.6koz gold, to
- 286kt at 2.00g/t producing 16.6koz gold.
- The Production Target generates an undiscounted accumulated cash surplus after payment of all working capital costs, but excluding pre-mining capital requirements, of approximately $7.2M to $16.3M.
- Mining is contemplated as a single campaign over approximately 18-months.
- Pre-mining capital and start-up costs are estimated to be approximately $0.7M to $1.5M.
- Sensitivity of the Base Case scenario to gold price was assessed. Results suggest that project economics are robust for a broad range of gold prices.
Chair Ian Stuart commented:
The Scoping Study has demonstrated the value and viability of the Tumblegum South Gold Project over a broad range of gold price. Star can now take the next steps to monetising this asset and more accurately assess various strategies to achieve this, including sale, partial sale or joint venture of the Project.
The Scoping Study also serves as basis for analysis by third parties wishing to evaluate the Project as potential ore feed for existing processing operations.
We look forward to building on the knowledge gained through this Study and rapidly advancing the Project to commercialisation.
Introduction
Star commissioned Orelogy Consulting Pty Ltd, a Western Australian based mine planning consulting firm with extensive experience evaluating mining projects across Australia, to undertake a Scoping Study evaluating potential open pit mining at Tumblegum South and ore processing via toll treatment at an existing plant.
The processing plants considered for this study are located within a radius of 50-150km from Tumblegum South. No agreement has been entered into at the time of writing, and there is no guarantee an agreement will be entered into. It is noted the diluted Tumblegum South Production Target at 2.01g/t compares favourably with head grade mined at a number of plants in the Murchison and has the potential to provide valuable mill feed and ore blending opportunities.
Click here for the full ASX Release
This article includes content from Star Minerals, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
Maiden Drilling Program at Ti-Tree Completed
Augustus Minerals (ASX: AUG; “Augustus” or the “Company”) is pleased to advise of the completion of its maiden drilling campaign at its 100% owned Ti-Tree project in the Gascoyne region of Western Australia.
- 9,086m drilled in 78 holes across six project areas
- Campaign designed to test extensive surface mineralisation identified through soil sampling and rock chip analysis
- Visual observations of copper sulphide mineralisation in quartz veining in multiple holes at depth
- Assays are due back progressively over the coming weeks.
- Exploration and drilling activities to re-commence in Q1 2024
The drilling campaign included 78 holes totalling 9,086m of Reverse Circulation (RC) drilling. The program consisted of discovery drilling only and was designed to confirm historical results and to test near surface mineralisation at depth and along strike, with drilling having been limited to approximately 70m vertical depth.
Holes in the Crawfords, Nic’s Bore and Copper Ridge areas also intersected some visible disseminated mineralisation within quartz veins in the form of pyrite, malachite and chalcopyrite and assay are awaited.
Andrew Reid, Managing Director
“Our maiden drilling campaign following the IPO in May 2023 is now completed and has been a great success. The campaign was designed to test for mineralisation both at near surface and at depth and resulted in visually identifying mineralisation/veining in the majority of drill holes at our Minnie Springs copper-molybdenum-gold project.
Minnie Springs could represent a sizeable porphyry hosted copper deposit with the next step to be the completion of drilling in the remaining 50% of the copper-in-soil anomaly yet to be tested during the next drilling campaign in Q1 2024.”
Figure 1. Location map showing prospects drilled to date, Minnie Springs, Copper Ridge,Nick’s Bore, Crawford and Crawford South and COO Creek.
Table 1. List of RC holes completed by prospect location.
Figure 2. Minnie Springs soil sampling, rock chip and drilling location map showing location of the x-section A – A’.
Figure 3. Hole MSRC012 – showing visual pyrite - chalcopyrite – chalcocite – covellite mineralisation in zones from 127 – 139m downhole at the Minnie Springs prospect1.
The second northern-most line at Minnie Springs (Figure 2. MSRC 010 – 012) intersected multiple zones of copper sulphide mineralisation1 co-incident with chlorite-epidote alteration in hole MSRC012, which is characteristic of propylitic alteration commonly seen in in porphyry copper-molybdenum-gold deposits.
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This article includes content from Augustus Minerals, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
EMU Records Gold Assays to 36.1 g/t - Georgetown, Queensland
EMU NL (ASX: EMU) (“EMU” or “the Company”) is pleased to release gold assay results from its maiden reconnaissance field survey conducted during July and August 2023 at the Georgetown Project in Queensland.
HIGHLIGHTS*
- Camp Oven Creek area historic surface rock assay results ranging from 12.9 g/t up to 224 g/t gold and 24 g/t to 135 g/t silver from rock samples in broad rhyolite breccia hosted veins in the NW1.
- 15.4 g/t gold assay results recorded from EMU’s first reconnaissance rock samples in the NE Dagworth area, ~19km east from Camp Oven Creek, along Delany Fault extension2.
- 15 historic rock values greater than 31.1 g/t gold (> 1 Ounce) identified from zones in the Camp Oven Creek, 130 Quartz Vein and Quartz 250 Prospects (“new historic information”)3.
- Three historic rock samples in the Quartz 130 prospect returned values ranging from 51 g/t gold up to 73 g/t gold4.
- Limited historic drilling at Rhyolite Breccia/Turtle Arm returned values to 2m at 15.8 g/t Au and 3m at 2.8 g/t Au.( See table 3).
- 86 historic surface rock samples greater than 1 g/t gold with a weighted average of 17.3 g/t within Georgetown EPM 27667 - NW Camp Oven Creek/Turtle Arm quadrant5.
- 2 EMU first reconnaissance rock samples returned 36.1 g/t gold and 25.6 g/t gold respectively from the Sandy Creek prospect just south of Georgetown6.
- Limited historic drilling at Munitions Creek (EPM 27642) returned values to 4m at 2.73 g/t Au and 1m at 10.85 g/t Au. (see table 3).
- EMU’s geological teams currently in field undertaking follow up sampling from these areas.
Commenting on the high gold values historically reported in the project area coupled with EMU’s latest results, EMU’s Chairman Mr Peter Thomas commented:
“It is quite remarkable that the Georgetown tenements and surrounding areas have not been comprehensively subjected to a modern and systematic exploration effort previously. EMU’s initial “first pass” reconnaissance field survey comprised the collection of a limited number of samples from rock outcrop, termite mounds and stream sediments in multiple areas targeted for gold, base metals, lithium and critical minerals. In addition to the recently reported copper, silver and lead values, the gold assay results and historic exploration results support EMU’s view that the project has the potential to deliver world-class discoveries which underpinned its decision to farm into the project”.
Further to the recent announcement7 confirming a substantial high-grade copper and silver system at Fiery Creek and high-grade lead and silver assays results from Snake Creek, EMU reports high grade gold values from rock chip samples collected from a number of prospective areas at Georgetown.
Recently compiled historic gold and base metal drill hole and surface outcrop sampling values from the Georgetown area and from within the three tenements which comprise the project, confirm the outstanding prospectivity of the project.
EMU is currently undertaking a new, limited and targeted follow-up exploration programme with teams in the field over areas not previously sampled to investigate zones which have historically reported high-grade gold and base metal values.
Figure 1 - Identified current and historic Gold Occurrences at Fiery Creek and Georgetown Tenements
Table 1. Emu’s Significant Gold Sample Assay Results (>1 g/t Au in bold text)
Historical Gold Reported:
Fiery Creek EPM 27667 (Gold + Base Metal Targets)
Based upon significant results that have emerged from the compilation of historic data and the limited field work already completed by EMU, the significant northern portion of the Fiery Creek tenement (EPM 27667) is emerging as a high priority for both precious and base metals. The higher priority targets include structural settings for gold in the Camp Oven Creek, Quartz 130, Quartz 250 and Dagworth Prospect areas, whilst the Fiery Creek prospect within the Yataga Granodiorite demands further attention due to the high-grade outcrop sample assay values for copper and silver.
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This article includes content from EMU NL, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
Investing News Network Creates A Global Platform with Regional Editions
The Investing News Network (INN), a leading source of independent news and educational content for investors, is pleased to announce the integration of InvestingNews.com.au into InvestingNews.com, its flagship publication.
Since 2019, InvestingNews.com.au has been INN's hub for Australia-focused content, and the company is excited to merge this website with InvestingNews.com. This strategic decision allows users to access all INN's content through one streamlined website, and marks a significant milestone in the company's long-term commitment to serving a global audience.
"We are thrilled to announce the integration of InvestingNews.com.au into InvestingNews.com, a pivotal step in our ongoing goal of educating investors and connecting them with opportunities," said CEO Nick Smith. "This consolidation not only simplifies the user experience, but also makes all of INN's content easily accessible to investors across the world."
INN invites users to explore the enhanced features of InvestingNews.com and discover the benefits of this integration firsthand. These include:
- Streamlined access — The integration provides users with a seamless transition to a unified platform, eliminating the need to navigate between multiple websites.
- Comprehensive content — InvestingNews.com now combines the strengths of both platforms, offering a more comprehensive range of investing content. From market trends to expert analysis, users can benefit from a wealth of information, all in one place.
- Enhanced user experience — The consolidation of InvestingNews.com.au into InvestingNews.com is designed to enhance the overall user experience. With a user-friendly interface and improved navigation, investors can enjoy a more intuitive, efficient and customizable journey through the platform.
- Trust and reliability — InvestingNews.com and InvestingNews.com.au are both trusted sources for investing content, and this integration further solidifies INN's commitment to delivering reliable and trustworthy information. Users can continue to rely on INN for accurate and timely financial insights, now in a single place.
About the Investing News Network:
The Investing News Network (INN) is a leading source of independent news and educational content for investors. Since 2007, INN has been providing breaking news, analysis and expert commentary on the latest developments in the resource, tech, life science and cannabis sectors. With a global network of reporters and analysts, INN is committed to providing accurate, timely and actionable information to investors.
For more information, please visit the Investing News Network website at InvestingNews.com.
Contact:
David Nguyen
Investing News Network
+1 (604) 688-8231
dnguyen@investingnews.com
Successful Completion of $0.6M Placement
The Placement was completed in connection with Carbonxt’s capital raise to raise approximately $2.94m before costs, which also comprises a non-renounceable pro-rata Entitlement Offer to existing shareholders (refer ASX Announcement 4 December 2023).
As part of the capital raise, the Company will make a further placement of 8.33m new fully paid ordinary shares at an issue price of $0.06 to Pure Asset Management, to raise an additional $0.5m. These shares will be issued in January 2024 concurrently with the allotment of the Entitlement Offer shares under the Company’s available placement capacity as per ASX Listing Rule 7.1 and 7.1A.
Funds raised will be used to provide funding to the Company for the development of the Kentucky Facility and for working capital purposes.
Managing Director Warren Murphy commented: “We are pleased to confirm the successful completion of the Placement component of Carbonxt’s capital raise. The short time to completion was reflective of strong support from a network of institutional and sophisticated investors. These funds provide the Company with working capital to assist management oversee the accelerated construction activity at our flagship activated carbon production facility in Kentucky, USA. Alongside the funds from the fully-underwritten Entitlement Offer, Carbonxt will be well-capitalised to execute on its stated strategy to deliver a material uplift in production and sales once the NewCarbon facility is operational in CY2024.”
Lead Manager for the Placement were Sanlam Private Wealth. The Lead Manager will be entitled to receive a fee of 6% on the funds raised by them.
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This article includes content from Carbonxt Group, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
Reward Executes Binding Share Sale Agreement to Acquire the Beyondie SOP Project
Reward Minerals Limited (ASX: RWD) (Reward or the Company) is pleased to announce that it has entered into a binding share sale agreement (Share Sale Agreement) with the Receivers and Managers (Receivers) of Kalium Lakes Limited (Administrators appointed) (Receivers and Managers appointed) (ASX: KLL) ACN 613 656 643 (Kalium) to acquire the Beyondie Sulphate of Potash (SOP) Project (Beyondie Project) on a debt-free basis, free of encumbrances for total consideration of A$20 million, comprising a A$250,000 exclusivity payment previously made (see ASX announcement dated 16 November 2023), upfront cash consideration of $14.75 million and deferred cash consideration of $5 million by 30 June 2025. See the Schedule for further details.
Execution of the Share Sale Agreement and submission of a deed of company arrangement (DOCA) proposal (DOCA Proposal) follows the Company’s entry into an exclusivity deed with Kalium and the Receivers, as announced to ASX on 16 November 2023, and represents the next step towards Reward acquiring the Beyondie Project.
Commenting on the Share Sale Agreement, Reward Executive Director, Dr Michael Ruane said:
“Reward is pleased to have progressed the potential acquisition of the Beyondie SOP project on a debt-free basis, free of encumbrances to the execution of the Share Sale Agreement stage.
Assuming that the proposed DOCA with Creditors, Shareholder Approval and Capital Raising are completed, the Reward team are keen to move quickly on evaluation of the plant and flowsheet modifications and costs for potentially recommissioning the Beyondie Project.
The evaluation will also cover the incorporation of the Reward Process into the existing project layout and also for SOP recovery operations at other SOP resource sites.”
Share Sale Agreement
Reward has entered into the Share Sale Agreement for the acquisition of 100% of the issued share capital of Kalium Lakes Infrastructure Pty Ltd (KLI) and Kalium Lakes Potash Pty Ltd (KLP) (together, the Target Entities), on a debt-free basis, free of encumbrances. KLP is the employing entity for the Beyondie Project, with the majority of suppliers contracted through KLP. KLI holds the non-process infrastructure assets for the Beyondie Project.
The material terms of the Share Sale Agreement are summarised in the Schedule.
DOCA Proposal
As a key condition to completion of the Share Sale Agreement, DOCAs for each of KLP and KLI must be approved by creditors of KLP and KLI (with meetings of creditors scheduled to be held on 6 December 2023). The DOCA Proposal submitted by Reward contains customary terms for a document of its nature, and provides that:
- all KLP and KLI unsecured creditor claims and debts will be compromised through effectuation of the DOCAs and the establishment of separate Creditors Trusts, which will act as the vehicle to distribute any DOCA funds to the creditors of KLP and KLI;
- funds will be allocated from the consideration payable under the Share Sale Agreement to satisfy the costs of the administration of KLI and KLP and enable a dividend to be paid to priority employee creditors in full and to unsecured creditors of KLP and KLI;
- KLP and KLI will continue under the ownership of Reward (subject to completion of the Share Sale Agreement);
- priority employee claims will be paid 100 cents in the dollar and under each DOCA, they are afforded a priority claim over unsecured creditors;
- a combined fund of up to $250k will be available to meet the claims of unsecured creditors of KLP and KLI (estimated to represent a dividend of approximately 5 cents in the dollar); and
- the existing unsecured founder royalty of 1.9% of gross revenue from all products extracted from the relevant mining tenements that comprise the Beyondie Project will be extinguished by the DOCA or reduced on such terms to be agreed between Reward and the relevant royalty holders for the purposes of preventing any termination right described in item 7(b) of the Schedule that Kalium might otherwise have under the Share Sale Agreement.
Tyson Loan
As part of the transaction, Tyson Resources Pty Ltd (Tyson Resources), an entity associated with Executive Director, Michael Ruane, has provided $8.750 million of loan funding to Kalium towards prepayment of a post- administration secured debt outstanding from Kalium to a third-party lender (Tyson Loan). The Tyson Loan is secured over the present and after acquired property of Kalium, KLP and KLI (but ranking behind the third-party lender debt), and will only receive interest should the Share Sale Agreement not complete due to the DOCAs not being approved or breach by Kalium or the Receivers (at a rate of 12.5% per annum from 1 January 2024). The Tyson Loan (including attaching interest and security interests) will be repaid and discharged on completion of the Share Sale Agreement. There is no recourse against Reward in relation to the Tyson Loan.
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This article includes content from Rewards Minerals Limited, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
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