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Resources Top 5: A tasty new lithium project and widespread scandium for these explorers
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- Recharge Metals picks up Express lithium project in Canada’s prolific James Bay Region
- A drilling review has flagged near surface and widespread scandium at G88’s Quicksilver project
- Aeon has updated MRES for its Walford Creek copper-cobalt project in QLD by 65%
Here are the biggest small cap resources winners, Wednesday March 15.
The company is buying the 73.5sqkm ‘Express’ lithium exploration project in the popular James Bay region of Quebec, Canada.
Project vendor DG Resource Management previously identified, acquired and vended the Corvette property to red hot lithium play Patriot Battery Metals (TSX-V:PMET, ASX:PMT).
The project comprises 139 mineral claims over 73.5km2 with reported outcropping pegmatites and is 12km southeast of Allkem’s (ASX:AKE) James Bay Deposit (37.2Mt @ 1.3% Li2O) and 15km northeast of Cygnus Metals’ (ASX:CY5) Pontax Lithium Project.
“James Bay is emerging as a world-class lithium province, with the Express Lithium Project located right at the heart of it and surrounded by significant lithium resources and discoveries,” new MD Felicity Repacholi-Muir said.
“We look forward to unlocking the lithium potential at Express with the expertise and input of highly respected Dahrouge Geological Consulting team, who importantly are based in the region.”
The company plans to undertake conditional share placement to sophisticated and professional investors to raise $2.5 million to fund acquisition and exploration activities over the next 12 months.
GOLDEN MILE RESOURCES (ASX:G88)
A review of drilling at the company’s ‘Quicksilver’ nickel-cobalt deposit has confirmed significant “near surface and widespread” scandium mineralisation with best intersections including 32m at 124ppm from 3m (including 20m at 154ppm from 5m).
That’s in addition to the rare earth element mineralisation reported earlier this month of 4m at 3,295 ppm TREO (including 1m at 7,915ppm TREO).
While the primary focus remains on a scoping study for extraction of the nickel and cobalt resources, G88 says the scandium find could potentially have a large positive impact on the economics of the project.
Scandium is on the US government’s 2018 list of 35 critical minerals and is used in the production of strong lightweight alloys for the aerospace industry. It’s also used in solid oxide fuel cells, in specialised lighting applications, ceramics, lasers, electronics and in alloys with aluminium for sporting goods production.
Demand is expected to rise with increased usage of solid oxide fuel cells and aluminium-scandium alloys which has been described as a ‘super alloy’ for electrical vehicles, the company says.
“New sources of stable supply may stimulate the use of scandium in a wider range of new technologies.”
Aeon has updated the Mineral Resource estimates for its advanced Walford Creek copper-cobalt project in QLD by 65% to 72.6 Mt at 1.6% CuEq for 1,173 Kt of CuEq metal, driven by 2022 drill results, MD and CEO Dr Fred Hess said.
“We were able to add 337 Kt of contained CuEq metal at a discovery cost of US$0.006/lb CuEq, a tremendous return on exploration investment,” he said.
“This substantial increase in contained metal across the in-situ Walford mineral deposits was accompanied by an overall increase in copper and cobalt grades for the Copper Mineral Resources.
“Of particular note is the high-grade Amy Mineral Resource, delivering 8.3Mt at 1.35% copper and 0.22% cobalt (2.95% CuEq).
“Globally, Walford Creek is now arguably the largest primary cobalt deposit in Australia, and, the Copper Mineral Resource at Amy (0.22% cobalt), is comfortably the highest grade substantial cobalt resource in Australia.”
Dr Hess says there could be more room for growth, with “significant gaps” in drilling remaining along the Fish River Fault between the Marley/Vardy and Amy mineralisation, “suggesting that further substantial growth in the Mineral Resources is readily achievable with additional drilling along this 10 kilometre strike extent.”
“In addition, we have a substantial pipeline of prospective regional targets covering 52 kilometres of untested potential strike,” he said.
The explorer has flagged high-grade rare earth elements (REE) in samples from historical trenches at the Eurelia project in SA of up to 1.02% (10,250ppm) total rare earth oxides (TREO) and 819ppm niobium (Nb).
The TREO grade is increasing trending south towards the Walloway Carbonatite, which the company believes to be the source of the mineralisation.
“The REE and niobium trench sample assays have confirmed that the Eurelia Project is enriched in REE and presents an exciting drill target with potential for economic REE mineralisation over a significant strike extent,” MD Sean Delaney said.
Drill program approval is pending at Eurelia, with drilling planned for May 2023.
“The Walloway Project to the south of Eurelia is also advancing quickly, where numerous carbonatite-style magnetic anomalies have been identified, comparable to the magnetic response of the Walloway Carbonatite,” Delaney added.
“Magnetic modelling is currently underway to better define these anomalies and define drill targets for potential REE mineralisation.”
(Up on no news)
BOC puts out the same sad announcement every quarter that there has been no production since 15 May 1989, but for the first time in 34 years there could be movement at the station.
The Panguna Mine Legacy Impact Assessment was officially launched in December 2022 and is set to commence as early as March to examine actual and potential environmental and human rights issues associated with the mine and provide recommendations for dealing with legacy issues.
The project is being predominantly funded by Rio Tinto which was the majority owner the mine during its years of operation (and extracted a total of 3 million tonnes of copper, along with associated silver and gold over 16 years) with support from Bougainville Copper as the mine’s former operator.
Production stopped in 1989 after conflict between the Bougainville Revolutionary Army and Papua New Guinea Defence Force escalated into a decade-long civil war.
It is still one of the world’s richest deposits. Today, Panguna still holds an estimated 5.3 million tonnes of copper and 19.3 million ounces of gold – a veritable treasure trove.
In addition, BOC says a decision by the Autonomous Bougainville Government (ABG) in January 2018 to refuse an extension of the company’s exploration licence (EL1) remains subject to a Judicial Review, which has been adjourned until 10 July 2023.
