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Resources Top 5: Condor Energy’s Peruvian gas makes ASX noise

Llama, llama, llama, llama, gas. Pic: Getty Images

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  • Massive resource increase has investors loading up on Peruvian gas play Condor
  • European Lithium runs as Greenland plays catch Trump Bump
  • Killi Resources, Godolphin Resources and Venus Metals up on no news

 

Your standout ASX small cap resources stocks for Thursday, January 16, 2025.

 

CONDOR ENERGY (ASX:CND)

Condor’s Piedra Redonda gas field in the shallow waters off Peru has entered the ranks of giants after an independent assessment increased best estimate (2C) contingent resources by a massive 147% to 1 trillion cubic feet.

The increase from the previous 2C contingent resource estimate of 404 billion cubic feet of gas by leading international independent resource auditing firm RISC advisory follows the reprocessing of 3D seismic over the discovery that was integrated with geological, petrophysical, and geophysical studies.

Importantly, it makes Piedra Redonda – which sits within Condor’s 80%-owned Tumbes Technical Evaluation Agreement LXXXVI (TEA) – an undeveloped offshore gas discoveries on South America’s west coast.

This resource is based on the C-18-X discovery well and the C-13-X appraisal well, and offers the potential for significant additional upside along the interpreted eastern edge of the stratigraphic pinch-out that defines the Piedra Redonda structure.

And this could just be the beginning. The TEA covers almost all of the offshore Tumbes Basin in water depths ranging in depths from 50-1500m and is surrounded by multiple historical and currently producing oil and gas fields.

While this provides a strong hint of its prospectivity, Condor has also defined a significant inventory of over 20 prospects and leads in the underdeveloped basin that provides the potential for further discoveries.

Already, the updated understanding of the trapping style of the Piedra Redonda field, which is likely the result of stratigraphic onlap and pinch-out or combination stratigraphy and structural trap rather than the previously interpreted structural fault-bound trap, indicates that there is both stratigraphic and structural potential in the basin.

Condor has already high graded a number of oil prospects and is in the advanced stages of completing more detailed mapping over these prospects and performing resource estimates. Once this work is completed, it will engage an independent auditor to review and certify resources for the selected high graded oil prospects.

 

 

 

EUROPEAN LITHIUM (ASX:EUR)

(Up on no news)

European Lithium has added another string to its bow since placing stewardship of its Wolfsberg lithium project in the hands of Nasdaq listed Critical Metals Corp, which announced a deal last year to progressively acquire 92.5% of the Tanbreez rare earths project in Greenland.

Found by still majority JV owner, Aussie geologist Greg Barnes, Tanbreez has thrust CRML and EUR, which holds a 7.5% direct interest in the project and close to 75% of CRML’s shares, into the spotlight in recent weeks.

Powering that is the posturing of incoming US President Donald Trump, whose stated ambitions to annex mineral rich Greenland for the United States from Denmark has become major international news ahead of next week’s inauguration.

The attention since the turn of the year has seen Energy Transition Minerals (ASX:ETM), the owner of a similar rare earths project stalled by regulatory challenges, lift 120%, with investors hopeful pressure from the Trump administration could lead to the development of Greenland’s rare earths deposits.

CRML shares are up over 20% in the US, while EUR’s have lifted 95% this month so far, including close to 26% as 3pm AEDT Thursday.

Tony Sage, EUR’s executive chair, told Stockhead this week that Trump’s declarations over Greenland had placed focus on companies who have taken the path less travelled to invest in the enormous glacial island.

“When I decided to buy this asset for CRML, we obviously looked at all the meetings that Greg had with the US State Department, the EU, and we figured that at some point in time, this assets would become extremely valuable,” Sage told Stockhead’s Bevis Yeo.

“Five months after we bought it, it has become extremely important and more valuable because Trump has put everyone’s eyeball on this island.”

EUR entered a trading halt late in the trading day to respond to a price and volume query from the ASX.

READ: Trump’s wooing of Greenland shines spotlight on awakening resource giant

 

 

KILLI RESOURCES (ASX:KLI)

(Up on no news) 

Killi has been exploring for a large epithermal gold and copper find at Kaa, a prospect close to Evolution Mining’s (ASX:EVN) Mt Rawdon gold project.

But it’s also attracted attention since May last year when Gold Fields, the South African gold giant which run the St Ives, Gruyere and Agnew mines in WA, came on board via a $13 million earn-in deal to explore Killi’s ground in the West Tanami gold district.

Gold Fields, which commenced its earn-in back in November, can take an 85% stake in the 1634km2 JV by spending $13m over two stages.

The massive land package sits on the WA side of the state’s border with the NT, down the road from the 500,000oz Coyote gold mine and 14Moz Callie deposit, which sits in the stable of the world’s biggest gold producer Newmont.

Located 120km away from Callie, Killi says just 700,000oz has been found on the underexplored WA side of the Tanami district, compared to 19Moz in the NT.

 

 

GODOLPHIN RESOURCES (ASX:GRL) and VENUS METALS (ASX:VMC)

(Up on no news)

There are plenty more juniors moving higher on little to no news today.

Godolphin Resources has irons in the fire in New South Wales at its Narraburra rare earths and Lewis Ponds gold and base metals projects.

Lewis Ponds is drawing more excitement these days with gold and silver prices lifting to long term highs, containing an inferred resource of 6.2Mt at 2g/t gold, 80g/t silver, 2.7% zinc, 1.6% lead and 0.2% copper.

Investors are waiting on assay results for holes drilled last year at Lewis Ponds, due in late January, with one returning 37m of massive to semi-massive and stringer sulphide mineralisation at GLPSS007, 40m up dip of an historic hole that intersected 22.5m at 8.46g/t AuEq from 178.5m.

The 1500m program was designed to help upgrade some of the Lewis Ponds resource to the higher confidence indicated category and provide core samples for metallurgical testwork.

Venus holds more than 11.5% of the shares in gold developer Rox Resources (ASX:RXL), owner of the Youanmi gold mine in WA’s Mid West. But it also boast its own tenements in the region, including Yuinmery where VMC has outlined a calcrete resource and applied for a mining lease with the WA government.

It also holds tenements at Henderson, where it is exploring for gold in the Mt Ida belt of the WA Goldfields.

RC drilling is planned after the company pulled up high grade rock chip samples from within the vicinity of the historic Hilltop mine, where gold production stopped in 1941, early in World War II.

 

 
Categories: Mining

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