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DY6 Metals
Overview
Rare earth elements (REEs) collectively represent some of the most critical minerals in the world. This group of interrelated minerals has an incredibly broad range of applications — everything from military equipment to consumer electronics. They are also pivotal in the global transition to clean energy and decarbonisation. Neodymium magnets, for instance — composed of neodymium, iron and boron (NdFeB) — are increasingly being used in wind turbines and electric vehicle motors. Dysprosium and Terbium are added to high performance NdFeB magnets to increase the magnet’s resistance to demagnetisation, thereby improving performance through higher operating temperatures.
REEs are also essential to the production of devices such as smartphones, lending context to the news that alongside other critical minerals such as lithium and cobalt, global demand for REEs is expected to increase by as much as 600 percent over the next several decades.
It is clear the world needs to ramp up rare earths production — a challenge DY6 Metals (ASX:DY6) understands. This mineral exploration company holds a 100 percent interest in six highly prospective critical metals projects in Malawi. As one of the most stable jurisdictions in Southern Africa, Malawi is home to considerable mineral wealth — a fact which, alongside its mining-friendly government, has seen the country enjoy significant mining investments over recent years.
Successful completion of maiden 35-hole RC and 8 DDH drilling program for 3,643m RC and 900m of DDH at Machinga HREE and Nb project was completed in September 2023. Assay results of the final diamond Drill hole program returned an average of 29 percent heavy rare earth oxide to total rare earth oxide (HREO:TREO) and 3.6 percent dysprosium (Dy) and terbium (Tb) (DyTb:TREO) at a cutoff grade of >0.25 percent TREO.
DY6 expanded its overall strategic footprint in Malawi to a total of 1,080 square kilometres by staking a carbonatite ring complex in southern Malawi known as Tundulu and several licences considered to be highly prospective for lithium. An exclusive prospecting licence application for 91.5 square kilometres was submitted over Tundulu while an additional four exclusive prospecting licence applications totaling 746.7 square kilometres have also been submitted for the company’s Mzimba (West, Central and South) and Karonga projects.
Company Highlights
- DY6 Metals is an ASX-listed company building a portfolio of critical minerals projects in Malawi that are highly prospective for rare earths, niobium and lithium.
- The company has completed a successful $7-million initial public offering.
- DY6 employs an experienced management team which includes geotechnical experts and mining professionals.
- DY6's projects feature near-surface, high-grade historical drillings and/or workings, and are significantly underexplored with considerable potential to define new mineralised zones.
- Malawi as a mining jurisdiction is incredibly prospective for rare earth elements. In recent years, multiple resource companies have been engaged in comprehensive exploration and development within the region, including:
- Malawi is also known for its excellent operating infrastructure, mining-friendly regulations, and push for renewable energy.
Key Projects
Machinga
Machinga project location
Located within the Chilwa Alkaline Province (the same province that hosts Lindian’s Kangankunde project), Machinga is DY6's flagship project. The original exploration licence, covering 42.9 square kilometers, was acquired in light of uranium channel radiometric anomalies located by a country-wide airborne survey in the 1980s. In 2023, the Malawian Department of Mines granted DY6 Metals an additional licence area for Machinga, which increased its total area to 197 square kilometres. The Machinga radiometric anomaly is continuous along a strike of approximately 7 km, indicating that potential to discover further eudialyte-hosted REE mineralisation may be significant.
Project Highlights:
- A significant HREE project
- 40km east of Lindian’s (ASX:LIN) “Kangankunde”
- Successful completion of maiden 35-hole RC and 8 DDH drilling program for 4,543m at Machinga HREE and Nb project
- Initial exploration focused on historical 2010 drill program for 4000m (Machinga North)
- Future exploration includes extending NE into new licence EL0705 and south along the anomalous zone
- 2023 Maiden Reverse Circulation and Diamond Core drill Assay significant results:
- 15.1 metres @ 1.01 percent TREO, 0.36 percent Nb2 O5 from 23.9 metres (3.71 percent Dy/ Tb/TREO) incl. 4 metres @ 1.75 percent TREO, 0.63 percent Nb2 O5 from 33 metres (3.8 percent Dy/Tb/TREO) drilled downdip (MDD007)
- 13 metres @ 0.65 percent TREO, 0.25 percent Nb2 O5 from surface; incl. 1 metres @ 1.06 percent TREO, 0.37 percent Nb2 O5 from 7 metres, and 1 metres @ 1.28 percent TREO, 0.42 percent Nb2 O5 from 9 metres (MR019)
- 7 metres @ 1.42 percent TREO with 0.49 percent Nb2 O5 from 65 metres (MR011) – 16 metres @ 0.54 percent TREO with 0.21 percent Nb2 O5 from 78 metres, incl. 3 metres @ 1.63 percent TREO, 0.7 percent Nb2 O5 from 87 metres (MR005)
- 11 metres @ 0.74 percent TREO, 0.29 percent Nb2O5 from surface (3.8 percent DyTb/TREO) incl. 2 metres @ 1.36 percent TREO, 0.49 percent Nb2O5 from 6 metres (4 percent Dy/Tb/TREO) (MR024)
Mineralisation
- Strongly mineralised hydrothermal breccia system striking NW-SE and dipping shallowly ~35° to the NE has been confirmed by the recent drilling
- Drill cross sections demonstrate excellent continuity with radiometric contour predicting the mineralised higher-grade zone
- High grade HREE-Nb confirmed from RC and DD drill results at Machinga Central Zone
- The mineralisation at the Machinga alkaline complex contains a higher proportion of valuable dysprosium-terbium (DyTb) with results indicating an average 3.6 percent DyTb:TREO in samples greater than 0.25% TREO.
Salambidwe Project
Straddling the Malawi-Mozambique border, the Salambidwe project covers an area of 24.9 square kilometres, associated with the Salambidwe Ring Complex, which is known for hosting multiple notable carbonate deposits. Geology in the area is also associated with high radiometric values, typically associated with REE mineralization.
Project Highlights:
- Considerable Potential: The Salambidwe project is a virgin rare earth carbonate prospect. While no drilling has taken place at the project, rock-chip samples returned 2.05 percent TREO including 214 ppm dysprosium oxide.
- Area Geology: With a diameter of approximately 6 kilometres, the Salambidwe Ring Complex is largely syenite and nepheline syenite with an agglomerate rock core. Based on this geology and the radiometric signal, the project has the potential for REE mineralisation.
2023 Exploration Program
- DY6 has completed the initial geochemical and geophysical exploration programs at Salambidwe.
- Analytical results have been received for the grid-based soil and rock chip sampling. Results from the 128 soil and 386 rock chips expand the known area of anomalous responses.
- The maximum values from separate rock chip samples were 1.21 percent TREO & 0.12 percent Nb2O5; maximum values from separate soil samples were 0.23 percent TREO & 0.09% Nb2O5.
- The 45-line kilometre airborne geophysical program confirmed the highly concentric nature of the intrusive complex.
- DY6 is assessing the combined geochemical and geophysical data to refine targets prior to a maiden drill program.
Karonga Lithium Project
In 2024, DY6 Metals entered into an exclusive option to acquire an 80 percent interest in the Karonga lithium project, with granted licence EPL0659, spanning 39 square kilometres in northern Malawi. DY6 Metals Ltd submitted four (4) exclusive prospecting licence applications totalling 746.7 km2 in northern Malawi for tenements it considers to be highly prospective for lithium. The Mzimba licences cover a large area (710.5km2) and remain significantly underexplored for LCT pegmatites.
Reconnaissance field work at the Karonga identified some pegmatites of up to 500 metres in length with the potential to host lithium mineralisation. Rock chip samples include visually observed spodumene and lithium micas (lepidolite). Initial reconnaissance indicates huge potential for a major Li discovery and initial ground reconnaissance sampling at Mzimba South licence returned grades of 6.2 percent Li2O (lepidolite mica) and 0.3 percent Li2O (pegmatite rock assemblage), and also high in cesium and rubidium with significant potential for LCT pegmatite hosted mineralisation. The first pass program at Mzimba South consisted of 8 samples from 5 outcrop locations, where artisanal workers have been excavating pegmatites for gemstones (tourmaline, aquamarine and beryl).
Tundulu REE Project
‘Tundulu’ is a known carbonatite ring complex with abundant REE mineralisation, predominantly in the form of bastnaesite and apatite. Shallow historical drilling (1988) (>max depth of 50 metres), includes:
- 41 metres @ 3.7 percent TREO, from 8 metres (JMT-22)
- 17 metres @ 1.3 percent TREO, from surface and 14 metres @ 1.1 percent TREO, from 21 metres (JMT-14)
- 11 metres @ 2.2 percent TREO, from 17 metres and 14 metres @ 4.1 percent TREO, from 36 metres (JMT-17)
- 14 metres @ 1.1 percent TREO, from 3 metres (JMT-07)
Samples from a recent reconnaissance field visit at Tundulu have been despatched for laboratory analysis. Tundulu complements the company’s existing REE and critical metals portfolio in Malawi. A geological team recently undertook a reconnaissance field visit over parts of the licence application area and samples have been submitted for laboratory analysis in South Africa.
Ngala Hill
Situated just east of the Thyolo Fault, the Ngala Hill Project's zone of mineralization contains a strong magnetic anomaly indicative of an oxidized intrusive. Like Salambidwe, Ngala Hill is a relatively fresh asset. It has not been the target of any significant modern exploration efforts, though the results from historical works are nevertheless promising.
Project Highlights:
- Multiple Mineralization Zones: Ngala Hill's deposit takes the form of an ultramafic chonolith that intrudes onto an underlying Proterozoic Basement Complex quartz feldspar-amphibole gneisses. The chonolith is also cut by Karoo-age dolerite dykes. Currently, DY6 has identified three zones of palladium-rich palladium-platinum-gold-copper mineralization worthy of follow-up.
- Promising Historic Results: After trenching the deposit in 2000, Phelps Dodge identified the following mineralization:
- 12 metres at 3 grams per ton (g/t) platinum group elements (PGE)+gold
- 70 metres at 1.12 g/t PGE+gold, including 8 meters at 3.3 g/t PGE+gold
- Presence of Massive Sulphides: Historical exploration has identified massive sulphides with grades of up to 4 g/t palladium+platinum+gold and 0.7 percent copper in saprolite/saprock.
- Close Proximity to Major Infrastructure: Ngala Hill is located close to the Nacala rail/port corridor, with easy access to grid power.
Management Team
Dan Smith - Non-executive Chairman
Dan Smith holds a Bachelor of Arts, is a fellow of the Governance Institute of Australia and has over 15 years’ primary and secondary capital markets expertise. He is a director and co-founder of Minerva Corporate, a boutique corporate services and advisory firm. He has advised on and been involved in over a dozen IPOs/RTOs on the ASX, AIM and NSX. Smith is currently non-executive director for several companies on AIM/ASX operating in the resources sector with a focus on critical minerals and has been heavily involved in project origination and evaluation.
Myles Campion - Non-executive Director
Myles Campion has over 30 years’ experience in the natural resources sector, including exploration geology, resource analysis, fund management, equities research and project and debt financing. He started his career as an exploration and mining geologist in Australia covering base metals and gold. This included being the project geologist at LionOre responsible for the exploration, discovery and BFS completion of the Emily Ann Nickel Sulphide Mine.
Campion’s financial experience ranges from Australian and UK equities research to project and debt financing in London and fund manager for the OEIC Australian Natural Resources Fund for five years in Perth. He has been the executive director of Europa Metals since August 2020 and is a non-executive director at Katoro Gold.
John Kay - Non-executive Director
John Kay is an experienced corporate lawyer and corporate adviser. He has over 15 years’ experience in equity capital markets, M&A and resources gained through both private practice and inhouse roles in Australia and the UK. He currently operates a corporate advisory practice, Arcadia Corporate, which provides corporate advisory and capital raising services to listed and unlisted companies in the small cap mining sector.
Kay has previously held a number of non-executive and company secretarial roles for ASX listed mining and energy companies and has advised on over a dozen IPOs/RTOs on the ASX. He holds a Bachelor of Laws from the University of Western Australia and is admitted to practice as a lawyer in Western Australia and England & Wales.
Nannan He - Non-executive Director
Nannan He has over 10 years of experience in geosciences, chemical material trading, exploration and resources investment. Through her investment vehicle Woodsouth Asset Management, she has been actively examining exploration and resource projects worldwide and has built strong networks, particularly in the Southeast Asian market.
Troth Saindi - Senior Exploration Geologist / Country Manager
Troth Saindi’s more than 17 years of experience in the mineral resource sector spans from exploration geology through to development and production. Troth commenced his career with MSA Group Services in 2006, focusing on gold, PGEs and base metal projects in the Barberton Greenstone Belt and the Bushveld Complex. From 2007 to 2013, Troth worked with Platinum Group Metals (PTM) in the Western and Northern Limbs of the Bushveld complex as a project geologist. He successfully led the discovery team in the new Waterberg PGE deposit, where a high-grade PGE ore seam was named after him (T-Reef). From 2013 to August 2023, Troth worked as group geologist with AIM- listed Bushveld Minerals Ltd managing several exploration projects and supporting the company’s mining operations. In September 2023, Troth joined ASX-listed DY6 Metals as a Senior Exploration Geologist and Country Manager for the company’s Malawi based projects. He is currently managing DY6 Metals’ REE & Lithium projects in Malawi.
Allan Younger - Technical Consultant
Allan Younger is a Geologist with over 40 years’ experience in all facets of the resources industry and most commodities. He is a specialist explorer highly experienced in target generation and project generation with advanced expertise in multi-element geochemistry application and Interpretation. Younger has worked for a number of large international and junior mining and exploration companies, within Australia and internationally, both as employee, contractor or consultant.
Currently, Younger serves as exploration manager for White Cliff Minerals (ASX:WCN), a mineral explorer focussing on rare earths and lithium exploration in Western Australia.
Reconnaissance Sampling Program Commences at Ngala Hill PGE Project to Follow up Historical Targets
HIGHLIGHTS
- Targeted reconnaissance sampling program commences at DY6’s highly prospective PGE, Cu & Ni project at Ngalla Hill, Southern Malawi
- At Ngala Hill, 3 key target zones of palladium rich Pd+Pt+Au+Cu mineralisation have been identified from historical trenching and limited drill testing
- DY6 will undertake a rock chip and soil sampling program to follow up on known high grade areas as well as aiming to expand the zone of mineralisation
- No significant modern exploration including electromagnetics (EM) to target massive sulphides has been undertaken at Ngala Hill
- Trenching by Placer Dome in 2000 included results of:
- 12m at 3g/t PGE+Au; and
- 70m at 1.12g/t PGE+Au, including 8m at 3.3g/t PGE+Au
- The main mineralised zone has only had limited modern drilling
The Company’s CEO, Mr Lloyd Kaiser said:“Our team in Malawi has actively built strong relationships with local communities across our projects and this early engagement at Ngala Hill is setting the foundation between the Company and the community as we prepare to mobilise the geo team and embark on our first exploration campaign at Ngala.”
Figure 1: Location of the Ngala Hill PGE Project in southern Malawi
Background on the Project
The Ngala Hill ultramafic chonolith is an arcuate-shaped intrusion, with dimensions of approximately 2.4km by 0.7km and was intruded into the underlying Proterozoic Basement Complex gneisses. The Ngala Hill Project is characterised by an intrusive ultramafic suite of pyroxenites and hornblende- pyroxenites that intrude basement gneisses. The pyroxenite facies of the ultramafic complex is prospective for platinum group elements (PGEs), predominantly palladium, and associated copper.
Initial work at Ngala Hill in the late 1960s included geochemical sampling programs undertaken by the British and Malawian Geological Surveys. Phelps Dodge started an exploration program for PGEs on Ngala Hill in 1999 with approximately 600 m of trenching. Metapyroxenite and amphibolite with an PGE- gold-copper nickel association was intersected trenching and yielded 1.41g/t Pt+Pd+Au and 1,430 ppm Cu over a length of 64m.
In 2000, Placer Dome confirmed further anomalies with encouraging results received from several trenches including 12m at 3g/t PGE+Au and 70 m at 1.12g/t PGE+Au, including 8m at 3.3g/t PGE+Au.
Click here for the full ASX Release
This article includes content from DY6 Metals, 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.
Heavy Rare Earths & Niobium Explorer DY6 Metals Lists On ASX Following Successful $7M IPO
- $7 million successfully raised via IPO, including $2.5 million from Hong Kong- based cornerstone investors, Zhenshi Group and Zhung Nam New Material Company
- Funds to be used for exploration on three 100%-owned rare earths and critical metals projects in southern Malawi
- Malawi is an attractive and stable mining jurisdiction with proven potential for hosting major rare earth deposits including Lindian Resources’ world class Kangankunde discovery (40km east of the Company’s Machinga Project)
- RC drilling is already underway at the flagship Machinga project, with diamond drilling scheduled to commence next month
- Drilling aims to follow up high grade 2010 results by Globe Metals and Mining (ASX:GBE)§Machinga is enriched in heavy rare earths (Dysprosium and Terbium) and Niobium
DY6’s listing follows a successful initial public offering (IPO), which raised $7 million. As part of this, the Company attracted a combined $2.5 million from Hong Kong-based strategic investors, Zhensi Group (HK) Heshi Composite Materials Co., Limited and Zhung Nam New Material Company Limited.
The funds raised in the IPO will be used primarily for exploration at the Company’s three 100%-owned rare earths and critical metals projects located in southern Malawi, a stable and attractive African jurisdiction with proven potential for hosting major mineral deposits.
DY6 has recently commenced a 5,000m program of reverse circulation and diamond drilling at the flagship Machinga project, only 40km east of Lindian Resources’ Kangankunde carbonatite discovery, which is widely regarded as the world’s best undeveloped rare earths project.
Machinga is particularly enriched with high-value heavy rare earth elements dysprosium and terbium. The project also holds significant niobium and tantalum potential as well.
Non-executive Chairman Dan Smith said: “DY6 has recently started its maiden drill program at the exciting Machinga project. In addition to being a potential source of the critical heavy rare earth elements Dysprosium and Terbium, Machinga also contains significant Niobium mineralisation.
The Company is seeking to emulate the success of Lindian Resources in proving up a major critical minerals project in southern Malawi. We believe the projects and the team we have assembled provide us with an excellent opportunity.”
Image 1: RC Drilling underway at Machinga HREO + Nb Project
Six targets have been identified to date within the Machinga North concession and the Company will be following up on previous high grade intercepts from a previous 2010 campaign undertaken by Globe Metals and Mining (ASX:GBE).
DY6’s other projects in southern Malawi, Salambidwe and Ngala Hill, have also been subject to previous exploration: rock chips from Salambidwe returned high grade values of TREO and Nb while soil samples from Ngala Hill and limited previous drilling by Phelps Dodge returned high grade results of Pd, Pt, Au and Cu.
The Company plans to carry out detailed geophysical and geological sampling programs at Salambidwe to aid in defining targets for a maiden drilling campaign towards the end of the year. RC drilling at Ngala Hill is scheduled for around the same time.
Click here for the full ASX Release
This article includes content from DY6 Metals, 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.
Vital Receives Final Drill Results from Tardiff Including 1.8m at 8% TREO from 6.7m
Highlights
- Tardiff drilling results from final 24 drill holes completed in 2023 resource definition drilling program (74 holes totaling 6,664m) continues to return shallow high grades;
- Results from resource conversion program at Tardiff; best results include:
- L23-639: 53.5m at 1.5% TREO from 6.7m incl. 1.8m at 8% TREO within 15.8m at 2.6% TREO
- L23-652: 27.45m at 1.5% TREO from 4.55m incl. 2m at 6.3% TREO
- L23-638: 12.52m at 2.3% TREO from 22.48m incl. 1.65m at 5.3% TREO
- L23-643: 24.7m at 1.5% TREO from 20.25 incl. 1.35m at 4.9% TREO
- L23-664: 55.0m at 1.6% TREO from 20.5m incl. 1.38m at 4.6% TREO
- L23-644: 24.18m at 1.94% TREO from 18.85m incl. 2m at 3.7% TREO
- L23-633: 22.83m at 2.0% TREO from 27.95m incl. 1.87m at 3.3 % TREO
- L23-628: 14m at 1.7% TREO from 75m incl. 1m at 3.4% TREO
- L23-660: 47.07m at 2.1% TREO from 9.12m incl. 8.8m at 3% TREO within 22.24m at 2.4% TREO
- L23-633: 22.83m at 2.0% TREO from 27.95m incl. 1.87m at 3.3% TREO within 10.3m at 2.5% TREO
- Mineralisation remains open to the west, northwest and on the southern margins –
- results confirm potential for shallow, higher-grade resource expansion
- Drilling focused on increasing confidence of the Tardiff Zones 1 and 3 resource definition and grade by narrowing drilling spacing for resource conversion
- Vital will use full results from 2023 program to update a Mineral Resource Estimate (MRE) for Tardiff which currently stands at 213Mt at 1.17% TREO
- Vital is focused on developing the large-scale Tardiff deposit, one of the largest single rare earths deposits in the western world, estimated to contain 623,000 tonnes of neodymium and praseodymium (NdPr) 1
- NdPr offers the largest value market within the lanthanide series of rare earths and provide essential components in the production of high strength magnets.
Vital VP Exploration Dr. Pietrzak-Renaud said: “We are thrilled with these very encouraging assays which round out our results from 2023. Across the board, our results point to areas within Tardiff of more continuous higher-grade mineralisation that we can target in future expansion drilling. The potential expansion of shallow higher grade is exciting as it underscores the large tonnage potential of this world class REE deposit.
“We are pleased to close out the 2023 drill program and focus on the interpretation of the data. Preliminary relogging of drill core points to alteration controlling or significantly influencing mineralisation. We anticipate busy months ahead as we commence new metallurgical testwork shortly, and bring together the geological data; working toward completing our scoping study.”
Summary of Latest Results
Outcomes from this final parcel of results for 24 drillholes (Figure 2) highlight the potential expansion of shallow higher grade mineralization. Results of the 2023 drill program will aid in the interpretation of the geological model as it pertains to mineralization controls, and could aid in further conversion and refining of Inferred resources in future resource estimate updates on the Tardiff deposit.
Vital’s 2023 resource definition drilling program was drilled on a nominal 50m by 50m grid to infill areas previously drilled on nominal 100m to 200m drill spacing. Drilling targeted mineralization above the 150m RL. Vital aims to deliver a scoping study on the Tardiff deposit in the coming months. Further updates on Tardiff resource are planned related to field work and scoping study activities.
Figure 1: Plan view of the 2023 Tardiff drill program. Traces include the 2021 and 2022 drill programs.
Figure 2: Projected drill strings highlighting (in colour) down-hole assays of the 24 drillholes released in this parcel of results from the 2023 drill program. All holes interpreted to intersect the Tardiff Upper Mineralized Zone within the Blachford Lake Complex. View is looking to the northeast. Assay results: Grey 0-1% TREO, blue 1-2% TREO, Orange 2-3% TREO and Fuchsia 3-9% TREO.
Results from this new data highlights shallow higher grades on the western extent of the 2023 drilling (hosting most of the discrete assays above 8% TREO in this parcel of data), which remains open for subsequent expansion. Shallow, higher-grade mineralization is hosted within predominantly strongly altered rock with varying degrees of magnetite, biotite and chlorite alteration and other secondary minerals replacing the majority of the primary mineralogy (i.e. secondary potassium feldspar).
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This article includes content from Vital Metals, 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.
Tennant Creek Technical Review to Drive Copper Exploration Program
HIGHLIGHTS
- Detailed technical review has identified 4 high priority exploration targets to grow CuFe Tennant Creek global resources.
- Review has provided detailed information to initiate assessment of heritage and regulatory approvals for initial near term exploration program including approximately 5,000m of drilling.
- It has identified the potential to grow the Orlando resource based on existing drilling following an external review of the 2023 Orlando Resource and historical underground drill data.
- Detailed analysis to further define targets continues, including reprocessing and interpretation of historical geophysical data.
CuFe Executive Director, Mark Hancock, commented“With the ongoing exploration success of other juniors in the region, the sustained improvement in the copper market and historical highs in the gold price we have initiated a detailed technical review of our Tennant Creek project. The aim is to expand existing resources and highlight the exploration potential remaining in the area. We have developed a detailed suite of targets that we can translate to on ground exploration with an initial drill program to be executed post heritage and regulatory approvals. We see a lot of potential to add resources to underpin the future recommencement of mining in this world class mineral field.”
Technical Review and Scope
A detailed technical review of the Tenant Creek geology, historical data sets and exploration targets has been undertaken by Mr John Dobe as a technical consultant to CuFe. Mr Dobe is a geologist with >30 years of global exploration experience (predominantly Homestake/Barrick) specialising in project generation and project evaluations at all stages of exploration, from grassroots through to brownfields. John has a detailed understanding of mineral deposits with particular focus on porphyry Cu-Au, IOCG, epithermal Au, orogenic Au, Sediment-hosted Cu, SEDEX, and VHMS deposits.
The scope of the review included auditing and consolidation of historical drill hole geological and geophysical databases, exploration target review, generation and ranking. The outcomes of the review have helped derive an exploration strategy with the aim of growing the global resources at the CuFe Tennant Creek Project.
Review Findings and Target Ranking
The Gecko and Orlando Corridors are well explored and current resources are mostly well defined with multiple generations of surface and underground drilling including RAB, vacuum, RC and Diamond. The sharp and well-defined nature of the mineralisation does provide further opportunities for additional resources extensions immediately adjacent to the known deposits. Geophysical data is also abundant and wide ranging including IP, Helitem, magnetics, gravity and seismic.
Exploration targets in aim of growing the global resource have been identified within the Orlando and Gecko Corridor and have been allocated the following categories:
1. Resource extensions and infill
2. Near Resource / brownfields
3. Target Delineation
4. Grassroots / Generative
Resource extensions and infill targets have a higher degree of certainty and potential than those that are grassroots generative and conceptual in nature.
Targets have also been ranked by priority on the basis of their complexity, exploration maturity and prospectivity. Their relative potential size has been estimated based on technical review/analysis and conceptual models and projections (See Figure 1).
Figure 1: Targets defined during the technical review within the Gecko and Orlando corridors.
Four high priority targets have fallen out of the technical review that are located with both the Gecko and Orlando corridors. Spatially the targets are shown in Figure 2.
Figure 2: Location of the targets and the Orlando and Gecko Corridors
Orlando Corridor
Five targets have been identified within the Orlando Corridor, two of which are high priority, potentially adding to resources by extension and near resources / brownfields discoveries. Orlando underground resource extension includes the interpretation and modelling of the Orlando underground resources that are not included within the current Orlando Resource.
Recently MEC consulting was engaged by CuFe to review the Orlando Resources and historical drilling data. The review confirmed that there is drill hole data that supports extensions of copper and gold mineralisation from the existing open pit, into and around the historical underground workings. Currently this mineralisation is not interpreted and or reported in the existing 2023 Orlando Resource (See Figure 3 and refer to CuFe ASX announcement 3 April 2023). An immediate workstream has been initiated to develop a global resource for the Orlando deposit based on an updated validated drill hole data base including recently sourced Grade Control drilling from the Open Pit mining and historic drilling where QA/QC can be achieved. This target ranks high in terms of priority based on the short lead time with no drilling required and minimal execution costs. It also has the potential to grow the underground resource at Orlando with reasonable confidence considering the drill intercepts are confirmed and historical underground mining has recovered cooper and gold from these levels.
The second high priority target within the Orlando Corridor is an area immediately below the open pit and adjacent to the underground where there is a gap in drill coverage that leaves a portion of the resource open along strike and at depth (See Figure 3). Testing this gap will require deep drilling in the order of 350m but the potential scale of this target justifies its high ranking and priority.
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This article includes content from CUFE LTD, 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.
CuFe Acquires West Arunta Tenure with Exciting Geophysical Targets
HIGHLIGHTS
- CuFe acquires E80/6052, located 13km north-east of existing tenure expanding its position in the emerging West Arunta Niobium province to over 281 km².
- Geophysical review of 3D inversion modelling magnetic data over new tenure has identified two prospective targets within E80/6052.
- Land Access agreement negotiations ongoing, with the Parna Ngururrpa Traditional Owners Group to facilitate the commencement of on-ground works.
CuFe Executive Director, Mark Hancock, commented“We are pleased to acquire new ground in the exciting West Arunta region. This acquisition gives us an additional target area that shows the right geophysical characteristics to represent carbonatites / intrusive bodies. The tenement has synergies with our existing landholding and there has been very little exploration undertaken in this area historically. We continue to work with Parna Ngururrpa Traditional Owners Group in aim of securing a heritage and land access agreement, which is required to commence on ground works given the tenure is located with an Aboriginal Reserve area.”
Acquisition Details
CuFe has entered a binding agreement to acquire exploration application E80/6052 from an unrelated entity, Territory Prospecting Pty Ltd. The terms of purchase comprise an upfront payment of $10,000 cash and $25,000 in CuFe shares at an issue price of 1.6c per share (1,562,500 shares). Upon the later of the grant of the tenure or the execution of heritage agreement a further payment is due of $50,000, to be made in cash.
Tenure Update
The new tenement is located 13km North-East of CuFe’s West Arunta Project and 18km North-East of Lycaon Resources Stansmore Nb-REE Project (Figure 1). The tenure is on land of the Parna Ngururrpa Traditional Owners Group and exploration requires the consent of the Minister of Aboriginal Affairs. The tenement covers an area of 64km², this has increased CuFe’s tenement holding from 217km² to 281km² (See Figure 1).
The tenement was previously held by CRA Ltd in the early nineties who were pursuing the geophysical target as a potential kimberlite pipe however no exploration on ground was undertaken.
Figure 1 – New Tenement acquisition E80/6052.
The Company further advises that wo of its three previous tenement applications E80/5925 and E80/5950 have been granted by the Department of Energy, Mines, Industry Regulation, and Safety (DEMIRS) on 30 May 2024 and 4 June 2024 respectively, with the third expected to proceed to grant within the next month. The granted tenure covers an area of 58 km² and forms part of the Company’s 100% owned West Arunta Project in the highly prospective West Arunta region (Figure 1).
On ground exploration activities are restricted until a signed agreement is in place with the Parna Ngurrurrpa Traditional Owners Group and approval is given by the Minster of Aboriginal Affairs. CuFe continues to work with the group on achieving this.
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This article includes content from CUFE LTD, 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.
High Grade Iron Rock Chip Results at Robinson Range – Bryah Basin
HIGHLIGHTS
- High grade iron enrichment identified on CuFe Bryah Basin Tenement E52/1613.
- Early-stage reconnaissance field work yields rock chip assays up to 60.63% Fe with low impurities.
- Corridor of surface supergene enrichment of Banded Iron Formation identified that has the potential to extend for 1.2km strike length.
- Full field mapping and rock chip program planned later this quarter.
CuFe Executive Director, Mark Hancock, commented“Following a review of our Bryah Basin package we have identified prospectivity for Iron Ore within E52/1613 located along the Robinson Range. Our first partial reconnaissance of the tenement has identified a pod of enrichment that is supported by high grade Fe rock chips and further illustrates the breadth of opportunity our exploration portfolio that CuFe shareholders have exposure to.
Although this is not the highest priority within our portfolio (where the focus is on exploration targets for future facing minerals including copper at Tennant Creek, lithium at North Dam and niobium in the West Arunta), we will follow up with more mapping and sampling along strike to further test the potential and to identify drill targets. The project logistics are favourable and offer potential for the style of low Capex DSO project we have experience in developing and executing.”
Tenement Overview
The CuFe Bryah Basin Project includes a package of tenements under various joint ventures and farm-ins, with a primary focus on the potential for gold and copper mineralisation. During a strategic review of the tenure CuFe identified that tenement E52/1613 has the potential for iron ore hosted within the Banded Iron Formation of the Robinson Range. E52/1613 is 100% owned by CuFe’s subsidiary Jackson Minerals following the withdrawal of the tenement from the Auris Minerals Ltd JV in the March 24 quarter.
The tenement covers an area of 34km² and is located approximately 95km north of the township of Meekatharra and 630km east of the Port of Geraldton, in the Midwest / Murchison Region of Western Australia (Figure 1). The Great Northern Highway passes 10km to the south, and the Ashburton Downs- Meekatharra Road passes 15km to the west of the tenement. Several roads and pastoral station tracks extend from these major transport routes and provide excellent access to the project area.
Figure 1: E52/1613 Location – Bryah Basin.
Local Geology and Iron Mineralisation
The project area and more extensively the Robinson Range Formation lies within Bryah-Padbury Basin which is part of the Proterozoic Capricorn Orogenic Belt lying between the Pilbara and Yilgarn Archaean Cratons. The Robinson Range Formation occurs toward the upper part of the Palaeoproterozoic Padbury Group. It contains Banded Iron Formations (BIF) and hematitic shales outcropping within the Robinson Range syncline with its axis trending east-west over an approximate strike length of 30km. The BIF thicknesses are variable along strike and range from less than 50m and up to 400-500m as reported1. The BIF’s are well represented by regional and local scale airborne magnetic images. Supergene enrichment along the BIF outcrop, producing hematite and goethite, ranges in Fe content from as low as 50% to 65% Fe (See Figure 2).
Sinosteel Midwest Group have reported three resources Raven, Raven North and Sparrow with a combined total of 9.3Mt at 56% Fe and 0.07% P. Within this the Raven North deposit is reported at 3.6Mt @ 59.03% Fe and 0.09% P. Recent success by Alchemy Resources (ASX:ALY) on 31st May 2024 reported high grade Fe rock chips from the Valley Bore prospect located 21km to the east along the range from E52/1613.
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This article includes content from CUFE LTD, 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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