• Desert Metals now up +70% since yesterday after announcing that rare earths system at Innouendy could be substantial
  • Tesoro hits 434.6m at 1.22g/t gold from 15m at the 1.1Moz El Zorro project
  • Horseshoe drills more copper paydirt at 128,000t Horseshoe Lights project

Here are the biggest small cap resources winners in early trade, Wednesday August 31.


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WA explorer DM1 is now up 72% since yesterday after announcing that a rare earths (REE) system at the Innouendy project could be The Big One.

A now completed 12,745m drilling program hit “encouraging” thicknesses of clays (up to 80m thick, average hole depth 41m) across an extensive area surrounding previous REE hits, like 20m @ 2139ppm from 16m.

Clay-hosted REEs, which makes up the vast majority of rare earths produced in the world, are getting more attention following a spate of discoveries.

“If the high value REE grades previously reported are repeated over significant downhole thickness and areal extent, analysis from the current drilling program will be used to help define a resource,” DM1 says.

Drilling also followed up recent promising nickel (Ni) and platinum palladium (PGE) intercepts, including 4m @1.76% Ni within a 12m zone @1.17%.

Samples are currently in the lab for analysis. Assay results will follow.

The $17m market cap stock is up 12% year-to-date. It had $3m in the bank at the end of June.

READ: Why are ASX stocks so in love with clay rare earths projects? A punter’s guide



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Led by former Cassini boss Richard Bevan, NYM listed in April with a focus on giant nickel-copper-PGE and rare earths discoveries in South Australia and WA.

In early August, NYM began testing 180 historical holes from its Ceduna project in South Australia for REEs.

This followed a bunch of nearby potential discoveries by follow explorers Petratherm (ASX:PTR), Indiana Resources (ASX:IDA) and ITech Minerals (ASX:ITM).

Results are pending.

“While Narryer Metals’ primary focus is for a magmatic NiCu-PGE discovery in the Ceduna Project area, the recent discovery of clay hosted ionic adsorption REE mineralisation in the Gawler Craton has provided the company with additional exploration opportunity,” NYM managing director Dr Gav England says.

“The work currently being undertaken in Adelaide is a time and cost effective, first pass exploration tool, with the sourcing of sample material from 180 drillholes geographically spread over ~3,200 km2 of tenure and a variety of prospective rock type, which have never been tested for REE.”

Led by former Cassini boss Richard Bevan, NYM listed in April with an initial focus on giant nickel-copper-PGE discoveries in South Australia and WA.

The $4.5m market cap stock is down 20% on its listing price of 20c per share. It had about $3.9m in the bank at the end of June.



TSO has pulled up a 434.6m long intersection grading 1.22g/t gold from 15m depth at the 1.1Moz El Zorro project in Chile.

That includes 90m section grading over 3g/t.


These intercepts from the main Ternera deposit “confirm continuity and consistency of mineralisation down plunge and have potential to improve resource classification and extend mineralised zones”, TSO says.

Seven holes were completed for 3,275m, with assays outstanding for five of them.

“This is a phenomenal result demonstrating the consistency of gold mineralisation within the host El Zorro Tonalite intrusions,” TSO managing director Zeff Reeves says.

“Hole ZDDH0297 shows multiple high-grade zones within the broader intercept, potentially increasing gold grade throughout the deposit.

“This phase of drilling at Ternera is focussed on improving the classification and expanding the existing 1.1 Moz Resource.

“We believe Ternera will continue to grow with additional drilling with the deposit remaining open in all directions.”

The ‘El Zorro’ gold project (85% owned) “is one of the largest and most prospective gold projects in Chile”, TSO says.

The current resource of resource of 30.5Mt @ 1.12g/t Au for 1.1Moz (at 0.3g/t gold cut-off) comes from exploring just less than 5% of its tenure.

Regionally, TSO is punching holes into multiple ‘Ternera-like’ undrilled gold targets up to 7km long and 6km wide.

The $36m market cap stock is down 40% year-to-date. It had ~44m in the bank at the end of June.

READ: The Small Cap +1Moz Gold Club: A Guide, Part 1



HOR is hitting more copper paydirt at the 128,000t Horseshoe Lights project, with latest drilling results including a highlight 72m @ 1.11% Cu from 32m depth.

The drilling highlights significant mineralised potential outside existing resource, HOR says.

“We are delighted with these latest results which continue to demonstrate the high-grade nature and potential scale of the Horseshoe Lights project,” HOR director and CFO Kate Stoney says.

“Encouragingly, several of the wide zones of copper mineralisation intersected at Motters [target] are outside of the existing resource base, which presents a clear opportunity to quickly grow the current resource with further drilling.

“Drilling is expected to recommence shortly to complete the assessment of these zones and the significant surface material potential in the North Dump and South low-grade stockpiles.”

The historic Horseshoe Lights project, ~60 km from Sandfire Resources’ (ASX:SFR) DeGrussa copper mine, has already produced ~316,000oz gold and 55,000t copper metal in two phases of mining.

Earlier this month the busy explorer also kicked off a maiden 19-hole, 1,500m drilling campaign at the Glenloth goldfield project, near Barton Gold’s 1Moz Tunkillia project in the Gawler Craton of South Australia.

A bunch of gold targets are in the crosshairs, as well as Specimen Flat which is prospective for rare earths.

Samples will be routinely submitted to the labs, which have a turnaround time of about six weeks.

The $20m market cap stock is down 25% year-to-date. It had $2.2m in the bank at the end of June.



(Up on no news)

This greenfields explorer reckons there could be something lurking beneath a 2.5km-long nickel-copper soil anomaly at Dukes, part of the Silver Swan North project in WA.

Importantly, this completely undrilled (for nickel) soil anomaly coincides with a 3.6km long magnetic anomaly. Promising indeed.

“The identification of coincident nickel and copper soil anomalies at Dukes is an exciting development for Moho,” MOH managing director Ralph Winter said yesterday.

“The fact that these anomalies are situated in a classic setting for nickel sulphide mineralisation and have not been identified before is extraordinary and a great opportunity for the company.”

MOH now plans to punch 2-4 holes in Dukes.

The $5m market cap stock is down 40% year-to-date. It had $872,000 in the bank at the end of June.