Resources Top 5: Green steel, copper hits and another company-moving lithium acquisition

Wildcat emerged from suspension after negotiating the nuts and bolts of another lithium acquisition in the Pilbara
Noronex reported a thick copper zone intercepted in drilling at the Witvlei project
Magnum’s recently acquired Appalachian green iron project in West Virginia now has US Government support

Here are the biggest small cap resources winners in early trade, Wednesday May 17.

WILDCAT RESOURCES (ASX:WC8)

The explorer has finally emerged from suspension after negotiating the nuts and bolts of another lithium acquisition in the Pilbara.

The historical Tabba Tabba tantalum mine and lithium-tantalum project includes a bunch of mining leases – important if you want to get into production quickly — large areas of outcropping pegmatites, and a high-grade 318,000t at 950ppm Ta2O5 tantalum deposit.

The project, briefly explored by Pilbara Minerals (ASX:PLS) in 2015, was historically a tanty asset so assays for lithium are limited.

However, there are some nice hits like 8m at 1.42% Li2O from 4m for WC8 to follow up.

The deal will cost WC8 up to 250m shares worth $14.5m at current prices, which makes vendor GAM a major shareholder in WC8.

“Tabba Tabba is a proven LCT pegmatite system that was within Pancontinental’s tantalum portfolio in the 1980s, along with Pilgangoora (Pilbara Minerals), Wodgina (Mineral Resources) and Yinnetharra (Delta Lithium),” WC8 exec Matthew Banks says.

“Our technical team believes there is significant exploration upside at Tabba Tabba, it is located within granted mining leases and we have approval for a 200-hole drill program.

“On deal completion we will welcome a range of major shareholders to the company and look forward to following through with discovery-focussed drill programs earmarked for 2023.”

There’s also various net smelter royalties payable to GAM should the project enter production.

The $40m capped stock is up 200% year-to-date. It had $4.9m in the bank at the end of March.

NORONEX (ASX:NRX)

Sounds like a biotech, actually an explorer with almost 7000sqkm of ground along the mineral-rich Kalahari Copper Belt in Namibia.

Today it reported a thick copper zone intercepted in drilling at the Witvlei project, which included a highlight 14m @ 1.1% Cu from 109m.

The hit from the Daheim prospect came from a broader intersection of 135m @ 0.33% Cu from 44m. Assays are pending from below 278m of hole 1, and the entirety of hole number 2.

Further drilling is required to define the continuity of the system’s central core and test the extent of mineralisation, NRX says.

Today was a nice respite for the $4m capped stock, which has failed to thrill investors since pivoting from coal in late 2020. It had $1m in the bank at the end of March.

MAGNUM MINING & EXPLORATION (ASX:MGU)

MGU’s recently acquired Appalachian green iron project in West Virginia now has US Government support.

The project has been submitted by US Senator Joe Manchin as a Congressionally directed spending request to the appropriations committee.

Congressionally directed spending allows federal lawmakers to direct resources toward constituent priorities and regional needs.

In this case, MGU is trying to get cash for applied research related to the project, which is designed to produce net zero carbon green steel.

“The Senator’s request to the Appropriations Committee is a significant step forward for Magnum, that may result in crucial research and financial support to advance the Appalachian Iron Project to convert waste iron oxide materials from legacy slag dumps into high-value pig iron, using sustainably sourced biochar,” MGU CEO Neil Goodman says.

The stock recently inked a Memorandum of Understanding (MOU) with Mitsubishi for the offtake of all products from proposed operations at the more advanced Buena Vista green iron project in Nevada.

The MOU covers all products from the project including Direct Shipping Ore (DSO), iron concentrate, HIsmelt-produced pig iron and slag, all steel plant wastes, and excess biochar.

The $20m capped stock is up 20% year-to-date. It had $3.6m in the bank at the end of March.

WOOMERA MINING (ASX:WML)

(Up on no news)

WML relisted on the ASX late 2017 with a bundle of lithium projects in WA (mostly hard rock, but also a foray into brines) and copper projects in South Australia.

It then pivoted to gold during the last peak circa 2019-2020, before dusting off ye olde lithium tenements in 2022.

That includes Dundas (a WA brines project – who would’ve thought?) and the early stage (and confusingly named) Mt Cattlin near Ravensthorpe in WA’s deep south.

WML also has ground near the Pilgangoora and Wodgina mines in the Pilbara.

Results from a February auger campaign at Mt Cattlin defined two large, strong lithium anomalies; one of which is 1.5km long and open.

A new sampling program will kick off this month in efforts to fully define the extent of this big boy ahead of drilling.

The $18m capped stock is down 30% year to date. It had $2.4m in the bank at the end of March.

CASSIUS MINING (ASX:CMD)

(Up on no news)

Low profile junior CMD is focused on the advanced Soalara limestone project in Madagascar, the Chenene lithium project in Tanzania, and a legal brawl with the Ghanian government.

At Chenene, soil/rock sampling returned assays up to 1.08% lithium at the 950m long Dulu 1 pegmatite.

The 370m long Dulu 2 peggie assayed 5.49% Li2O from 2m depth. A trenching program is now being planned.

Drillng results from Soalara – designed to upgrade the resource to JORC standards – are also pending.

Meanwhile, CMD’s tussle with the Ghanian government over its Gbane gold project is reaching a head. It is anticipated that the legal action will commence in 2023.

The $6.5m capped stock had just $252,000 in bank at the end of March.