Resources Top 5: Battery recyclers, porphyry hunters, and an ‘extraordinary’ uranium discovery
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Here are the biggest small cap resources winners in early trade, Monday September 20.
(Up on no news)
This humble nickel explorer has enjoyed a sizable rerate after moving into the lithium-ion battery recycling game earlier this month.
Hannans wants to recover high purity metals from scrap and spent batteries in Norway, Sweden, Denmark and Finland – the region with the highest electric vehicle (EV) penetration rates in the world.
Subject to securing a feedstock source, Hannans decision on Stage 1 plant locations are expected 1st Quarter next year.
A decision on a Stage 2 plant – which would refine mineral rich ‘black mass’ into high purity nickel, cobalt, lithium and manganese chemicals – is expected in the 2nd half of 2022.
The $83m market cap stock is up 220% over the past month.
92E just chose the perfect time to make a uranium discovery.
A drill hole hit an “extraordinary” 5.5m of 0.12% U3O8 at the ‘Gemini Mineralised Zone’ (GMZ), part of the Gemini project in the Athabasca Basin, Saskatchewan.
Gemini is 27km away from McArthur River, one of the largest and highest-grade uranium deposits in the world.
The GMZ discovery is wide open, 92E says.
“To identify 5.5m of 0.12% U3O8 on the fourth drill hole of our inaugural drilling program is an extraordinary result for 92 Energy,” 92E managing director Siobhan Lancaster says.
“Importantly, the assays from this drill hole display similarities to other early holes at major Athabasca Basin uranium discoveries, in terms of grade, width, alteration types and intensity, and we look forward to the follow up drilling to determine the extent of the mineralisation.”
The $40m market cap stock is up 364% over the past month, and 410% on its April IPO price of 20c per share.
This newly listed explorer raised $6 million in its IPO to look for monster porphyries in the world’s richest copper jurisdiction, Chile.
Porphyries are responsible for ~60 per cent of the world’s copper, most of its molybdenum, and significant amounts of gold and silver.
3200m of drilling has now kicked off at its flagship ‘Las Petacas’ project, where copper has been defined over a ~6km stretch.
“With the ASX listing now complete, we have mobilised our highly experienced exploration team to site and look forward to reporting the results of this drill program which will test several targets over the 6km-long mineralised trend at our Las Petacas project,” Culpeo managing director Max Tuesley says.
“Our team on site is already finding new zones of visible surface copper mineralisation during drill pad construction which is really exciting.”
The $14.5m market cap stock was up 80% on its IPO price of 20c per share in early trade.
The Spain-based lithium play hasn’t allowed the potentially catastrophic cancellation of its project permit by local government prevent it from moving toward a production decision.
‘Bench scale’ (very small scale) met test work has now produced battery grade lithium chemicals – both carbonate and hydroxide — from the ‘San José’ project, INF said today.
A pilot-scale program, designed to confirm the scalability of the process emerging from bench scale test work, is being conducted in parallel.
The pilot scale test work is an integral part in the Feasibility Study for San José, INF says.
The $48m market cap stock is down 26% year-to-date.
Former mining contractor RDG acquired the ‘Lucky Bay’ garnet project in WA earlier this year.
High-quality alluvial garnet products are used in the abrasive blasting and waterjet cutting markets.
Today the stock announced an initial 29-year mine life for Lucky Bay, based on a high confidence ore reserve of 202 million tonnes at 5.4% heavy mineral (HM) with an average garnet grade of 86% in HM.
The project has a net present value (NPV) of $483 million and internal rate of return of 48%.
Both NPV and IRR are a measure of projects’ potential profitability – the higher above zero, the better.
“This is a significant milestone for the project and confirms the value that this project creates for RDG,” managing director Andrew Ellison says.