Pinnacle boards US critical minerals train with option to acquire eight projects

• Pinnacle looks to acquire eight antimony, gold and silver projects in Idaho and Washington
• The six Idaho claims surround and share similar geological characteristics with Perpetua’s Stibnite project
• Thunder Mountain project a historical gold producer with potential to host more gold and other metals

Special Report: Pinnacle Minerals is jumping on the US critical minerals bandwagon after executing an option agreement for the acquisition of eight antimony, gold and silver projects in two highly prospective mining regions.

The projects are all near historical mining districts with proven production history. Six of the claims blocks are in Idaho while the other two are in neighbouring Washington state.

The Idaho claims are likely to be especially interesting to Pinnacle Minerals (ASX:PIM) as they surround Perpetua Resources’ Stibnite project that has received $80 million in Department of Defense funding and recently secured development approval under the FAST-41 approvals fast-track program.

It isn’t just nearology that is in their favour either. The six claim blocks are also within the same structural corridor as the Stibnite project and share similar geological characteristics including host rocks, alteration and “roof pendant” mineralisation style.

These projects are considered to be highly prospective for antimony, gold, silver and tungsten with historical grades of up to 7.4% antimony and 35gt gold.

The Idaho projects. Pic: Pinnacle Minerals

The Thunder Mountain project is the lead asset due to its ~US$20m (adjusted to 2025 equivalent) worth of gold production in the early 1900s and was appraised at US$13m in 2004 based on a US$400/oz gold price, well below the current spot price of US$4115/oz.

All projects benefit from existing infrastructure and evidence of significant past production of gold and silver and antimony.

Their acquisition aligns with the company’s strategy of securing high-quality projects in Tier 1 jurisdictions and marks its entry into the US critical minerals space where the government is accelerating efforts to secure domestic supplies.

PIM is acquiring the projects from private vendors for 48m shares in the company, 25m listed options exercisable at 8c and expiring in three years, a deferred consideration of US$300,000 in cash and a 2% royalty along with offtake on Antimony Queen production.

The company has also received firm commitments from sophisticated and institutional investors for a $2m placement.

Washington state projects. Pic: Pinnacle Minerals

Notable projects

Thunder Mountain covers 368 hectares and includes the historical Lightening Peak pit that produced gold at grades of 0.07 to 1 ounce per tonne.

A review of historical data has indicated that there is likely to be significant gold mineralisation remaining below the pit.

Exploration will focus on drilling beneath historical workings to test for extensions of the known gold mineralisation.

There is also potential for other metal mineralisation within the broader project area.

The Yellow Pine project comprises the Big Creek, Routson, Silver Cliff Lode, Smith Creek, and Logan Creek prospect areas that display evidence of historical antimony mineralisation.

Like the Stibnite project, the antimony mineralisation post-dates the earlier gold event and is hosted within roof pendant metasediments, a key geological control that will guide future exploration.

PIM is also keen to get on the ground at the Antimony Queen project in Washington state.

The project comprises a historical stibnite-bearing vein and breccia systems hosted in lime-rich argillite with extensive historical underground workings confirming past small-scale mining activity.

Previous surface sampling and limited underground development confirm high-grade stibnite occurrences over significant strike lengths.

Antimony Queen offers the potential for rapid advancement given the presence of accessible mineralised zones, historical data, and ease of site access.

It may lend itself to low-cost, small-scale restart or pilot production, supporting the growing strategic demand for domestically sourced antimony, which is essential to the defence, energy storage, and semiconductor industries.

This article was developed in collaboration with Pinnacle 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.