Base Metals: Avira fires up Paterson exploration, shares double
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Avira Resources (ASX:AVW) is the latest junior explorer to get in on the Paterson action, revealing this morning plans to raise cash and kick off exploration of its ground in the region.
The decision follows a strategic review that Avira says “identified the Paterson Province as being one of the least explored and most prospective geological terranes for discovery of significant copper and gold ore bodies”.
Activity in the Paterson really started to fire up after the discovery of Greatland Gold’s and Newcrest Mining’s (ASX:NCM) Havieron deposit and Rio Tinto’s major Winu find.
Rio Tinto is now targeting first ‘staged’ production at Winu in 2023. The Newcrest-Greatland Gold JV is also looking to start an exploration decline at the huge Havieron project this year, ahead of first production in 2022-2023.
Spending by the majors in the Paterson, via JVs with junior miners, has exceeded $50m in the past 12 months, according to Avira.
Independence has committed to spend up to $15m on exploration to earn a 70 per cent stake in Yeneena.
Avira says the south western boundary of its Mount Macpherson project is in close proximity to the magnetic anomaly associated with Encounter’s Aria prospect, while the Vines fault appears to extend into the Throssel Range prospect’s southern border with the Yeneena project.
Shares immediately doubled this morning to 0.4c.
The company has now completed a comprehensive geological review of its Throssel Range and Mount Macpherson projects in the Paterson.
Avira ventured into the area in October last year, when it applied for an exploration licence over the Throssel Range project and then later picked up the Mount Macpherson project.
The company says there is key geological evidence to suggest the projects are prospective for multi-element base and precious metals resources including copper, cobalt and gold.
Avira has also kicked off a capital raising to add $500k to the kitty. The company said it has received firm commitments for the total.
The cash will be used to fund the proposed exploration program for the Paterson Range projects as well as maintain the Pyramid exploration tenements in southeast Queensland.
Cassini Resources (ASX:CZI) told investors today it had uncovered visually encouraging zones of nickel and copper sulphides over a 10m zone at its Ovis prospect, part of the Yarawindah Brook project in WA.
Yarawindah sits about 40km north of Chalice Gold Mines’ (ASX:CHN) recent high-grade Julimar discovery.
Cassini says its project is prospective for nickel, copper, cobalt and platinum group elements (PGE) (primarily palladium and platinum) and is part of an emerging new nickel-copper-cobalt-PGE province.
Shares climbed nearly 14 per cent to 12.5c this morning.
Mandrake Resources (ASX:MAN) says a ground magnetic survey undertaken at its Jimperding project has further enhanced the distinct bullseye magnetic anomaly at the advanced Newleyine prospect.
Mandrake says the prospect sits in the same geological terrane and is about 30km east of Chalice’s Julimar project.