Exploration is on its way at Resolution Minerals’ Benmara project after locking in funding. Pic via Getty Images.
BHP-backed Resolution Minerals drills deep into Benmara for battery metals
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Armed with a $150,000 government grant and further funding from BHP, exploration drilling has now kicked off at the Resolution Minerals-BHP Benmara battery metals JV in the NT.
An early mover in the relatively unexplored South Nicholson Basin, Resolution Minerals (ASX:RML) has secured a 3,000km2 position in the new geological frontier where the Fish River and Bauhinia fault zones have been pegged as an ideal location for mineralisation.
RML says the zones are evidenced by the formation of Aeon Metals’ (ASX:AML) nearby Walford Creek Deposit (Cu-Pb-Zn-Ag-Co) and the famous Century zinc mine (Pb-Zn-Ag) – recently acquired by Sibanye Stillwater – which both share equivalent host rocks and similar structural settings to Benmara.
As part of a farm-in deal with BHP, the major has the option to spend up to $4m over five years for a 51% stake in the project, and further exploration at $1m/year until a final investment decision is made will lift that stake up to 75%.
Two planned 1,000m diamond drill holes will push deep into the underexplored Benmara project, hunting for sediment-hosted base metals, including copper, lead, zinc, silver and cobalt.
The explorer said that while the design of the drill holes has been optimised for intersecting mineralisation, the 1,000m deep stratigraphic holes will also give a better understanding of the rock units present at depth.
“This new data will contribute to RML and BHP’s comprehension of the underlying geology and regional prospectivity of Benmara,” the company stated.
“The South Nicholson Basin is one of the last relatively underexplored sedimentary basins left in Australia, so it is exciting to be commencing a drilling program to test high-priority targets and gather new data to understand the base metal potential of the district,” RML MD Chris McFadden said.
“I would also like to acknowledge the value of our partnership with BHP, not just in funding this program, but also the expertise and support in working to develop a program that will give us the best chance of making a significant discovery in this region.”
This article was developed in collaboration with Resolution Minerals, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
