Resources Top 5: ACDC Metals rocks into Murray Basin for REEs; LKE, SLB and DLI hit the lithium stage
Here are the biggest small cap resources winners in early trade, Tuesday August 15.
Exploration minnow ACDC Metals has plugged in to a high-
voltage grade hit of intervals at the Watchem heavy mineral sand (HMS) and rare earth element (REE) project in the Murray Basin of western Victoria, Australia.
Also rocking the share price upwards for investors – the company reports that on the basis of these results, it’s set to make further tenement acquisitions to secure along strike potential.
Some top tracks from the company’s ASX announcement set list:
• High-grade intervals of >8% total heavy minerals (THM) have been reported from across 78 drill holes at the Watchem Project.
• A new joint venture deal is adding land holding along trend from the results at the project
• Additional results will come with assays from 66 holes at the Goschen Central project and 43 from Douglas Project.
ACDC Metals CEO Tom Davidson grabbed the mic… “We are very pleased to report strong and widespread mineralisation from the first holes drilled by ACDC on the Watchem Project,” he said, adding:
“The additional tenure acquired covers an extensive and prospective shore-line, along strike from high grades reported here. These results place ACDC Metals in a strong position to deliver a significant mineral resource.”
ACDC share price
“Clean lithium” hunter Lake Resources has today confirmed successful extraction and injection testing at its flagship Kachi lithium brine project in Argentina’s Catamarca province. It’s the first successful salar brine injection test undertaken in the area.
This, the company says, confirms favourable hydrogeologic conditions for brine extraction, while the injection trials successfully demonstrated spent brine disposal capability with some 33 million litres of brine injected into the project’s reservoir.
Brine chemistry samples show improved lithium concentration, notes the company’s release, with next steps including detailed wellfield and injection design in support of the testing results.
“The extraction and injection testing confirms highly favourable reservoir hydraulic properties and allows us to optimise the future wellfield,” Lake CEO David Dickson said, adding:
“The tests represent a significant milestone for the project, as they provide important data and higher confidence for our modelling, which is essential for the completion of our DFS for Phase 1.
“The results are indicative of high-yield, production-scale, extraction wells in the core resource area.”
LKE share price
Minerals explorer Stelar, which is into lithium, copper, cobalt and zinc, has this morning announced
stellar beaut high-grade lithium assay results from its first reconnaissance rock-chip sampling at its newly acquired Trident Lithium Project near Broken Hill.
The project extends over the 20km strike length of the Euriowie Tin Pegmatite Field – a highly prospective location for hard-rock lithium mineralisation.
The company reports the LCT-type pegmatites vary in size but are up to 100m wide and over 1km in length and have historically been mined for lithium and tin.
Further highlights we extracted from the company’s morning announcement include the fact 70% of the rock-chips over the Trident Lithium Pegmatite Mine have returned over 5% Li2O. Also, soil samples have returned up to 1,756 ppm lithium and geological mapping defines zoned pegmatites at the mine.
The company added in its detailed report that additional rock-chip assays and soil results are anticipated in late August, while on-ground exploration will continue to be focused on the detailed mapping and sampling of the “abundant” pegmatites within the 20km strike length.
SLB share price
Up on no news
We know you can’t get enough lithium, so here’s more.
Delta Lithium, a $452m market capper, last week gave an update at Diggers and Dealers on activities at both its 100% owned projects at the Mt Ida Lithium Project in the Goldfields region of Western Australia.
The company reported that resource drilling is slowing down there in preparation for a Mineral Resource Update scheduled for September 2023.
The share price plummeted, but it’s possible that may have had something to do with the somewhat “whimsical” nature of DLI’s preso. As Stockhead’s Josh Chiat reported:
The “Award for ‘Most Cooked Presentation’ goes to Delta Lithium’s (ASX:DLI) charismatic front man David Flanagan”.
“No words can do it justice, so here:
“We enjoyed it immensely. The fusty (and undoubtedly dusty) investor cohort at Diggers did not.
“The share price has since dropped ~13%.”
And now, not surprisingly, it looks like someone has taken the bait – big time.
The AFR reports that a big parcel (60 million) of Delta shares, worth $56m, roughly 11 per cent of the company traded at a hefty 23% premium late yesterday, causing some “aftermarket excitement”.
The stock was trading at 92.5c, compared with 75c at its last close yesterday.
“The identity of the buyer and the seller wasn’t known,” noted the AFR. “Delta’s two biggest shareholders are Japanese giant Idemitsu at 14.9 per cent and Waratah Capital Advisors at 10.3 per cent.”
DLI share price
Legacy Minerals Holdings has announced positive results from rock-chip sampling at the Bauloora Epithermal Gold Project in the Lachlan Fold Belt, NSW.
The company notes that recent results at the Breccia Sinter Prospect, one of several high priority targets at the Bauloora Project, have defined a “compelling drill target” for testing later this year: 500m long x 250m wide soil anomaly >20ppb Au, with rock chips up to 32.2g/t Au.
Legacy Minerals CEO and MD Christopher Byrne is pleased, to say the very least, with the strong start to the company’s exploration at the Bauloora Project:
“The return of high-grade results from rock-chip sampling, which detail a new discovery of mineralised low sulphidation epithermal veins at surface, provides momentum for the company as we progress further in this large-scale exploration effort.
“We have completed Phase 1 of the large-scale AMT survey planned to cover 10km2 of the Bauloora vein field. AMT is a resistivity modelling tool that can provide ‘visibility’ down to over 1,000m depth. It has been used successfully in many epithermal discoveries and will vector our upcoming drilling towards the resistive ‘feeder structures’.
“These structures may host high-grade gold-silver mineralisation in ore shoots on veins. Further to this, we now also have detailed magnetic and radiometric surveys completed across the entire Bauloora tenement.”
Also, recently, as reported by Stockhead, Legacy announced it will be acquiring an ancient volcano in NSW’s new England Fold Belt prospective for monster scale copper-gold deposits.
The Drake project includes a 150sqkm collapsed caldera which bears “similar geological characteristics to other major Pacific Rim settings and deposits, [like the] Porgera Goldfield”.
Calderas, the ‘cauldron like’ hollows which form in an extinct volcano, can host rich ore deposits.
LGM share price