• Resources & Energy Group identifies large and shallow nickel deposit “with prospects for open cut development”
  • WA1 can do no wrong, hitting record highs in early trade on more thick high grade niobium drill results
  • M3 Mining (gold), Solis (lithium) and Odessa (lithium, REE) up on no news

Here are the biggest small cap resources winners in early trade, Monday June 5.



REZ says it has a large and shallow open pittable nickel sulphide deposit at Springfield, part of East Menzies project in WA.

A new drill result hit an economic grade interval of 8m @ 0.64% nickel, 469ppm cobalt and 45ppb (Pt+Pd) from 102m, within a broader 17m interval grading 0.40% nickel, 295 ppm cobalt and 32ppb (Pt+Pd).

This was drilled as a significant ~650m step out from a January 2022 hole which hit 13m at 0.31% nickel and 0.01% cobalt for 0.33% nickel equivalent from about 98m.

This target area spans 3.5km by 1.5km. So far, drilling has defined a tabular, shallow, disseminated body between 40-100m deep with open cut potential.

“This is a strong indication that REZ has identified a large and shallow nickel deposit with prospects for open cut development,” REZ boss J. Daniel Moore says.

Springfield has been explored for both gold and nickel since the late 60s but, until now, no one could put together.

A patchwork of exploration claims was consolidated into East Menzies in 2010, and REZ bought the project in 2018.

“The nickel and gold opportunities within REZ’s Menzies tenements are resulting from the consolidation of 40-50 small prospecting holdings into the extensive 100%-owned package we have today,” Moore says.

“This has also opened the way to modern approaches for exploration and the sorts of drill hits we are now enjoying.”

REZ is waiting on precious metals assays from Springfield in the coming weeks, before planning work commences on the next stage of drilling.

Downhole EM will also be conducted on the highlight hole mentioned above “seeking a massive nickel target”.

The $6m capped stock is up a substantial 150% in early trade Monday. It had $1.4m in the bank at the end of March.



WA1 can do no wrong, hitting a record high $6.09/sh in early trade on more thick high grade niobium drill results at Luni, part of the West Arunta project in WA.

That’s a remarkable and consistent 4400% gain since making the neighbouring P2 discovery October last year.

New drill highlights include 10m at 8.3% Nb2O5 within an overall interval from 78m of 42m at 2.7% Nb2O5.

Shallow, high-grade niobium mineralisation is now evident over a 1km extent, the company says. There’s also bonus titanium in multiple holes, including 144m at 2.9% TiO2, from surface.

Meanwhile early-stage mineralogy indicates the niobium can be liberated easily from the ore.

“These latest assay results now demonstrate that Luni has a large and extremely high-grade niobium footprint which we are working to extend further,” WA1 managing director Paul Savich says.

“We are also very pleased to have received initial mineralogy results reporting high-purity primary niobium-bearing minerals with strong liberation characteristics in the samples examined.

“This is an extremely positive first step as we develop metallurgical test work programs to determine the optimal potential process route.”

Fifty-one RC drill holes have now been completed at Luni this field season. Diamond drilling has kicked off focused on infill for the maiden resource estimate in Q4-2023.



(Up on no news)

M3M soared in early trade before going into a halt pending “exploration results and to reply to an ASX price query”.

A 3500m drilling program was completed mid-May across 3 targets at the Edjudina gold project north of Kalgoorlie, designed to follow up promising maiden hits like 12m at 0.84g/t from 68m.

The project is nestled amongst heavy hitters like AngloGold Ashanti, Sumitomo Metal Mining, and Northern Star’s (ASX:NST) 1.3Moz Porphyry and 2.4Moz Carosue Dam operations.

Following the completion and receipt of assay results, infill drilling will be planned along this corridor “subject to any significant results”.

The $5.5m capped stock is up 12% year-to-date. It had $3.3m in the bank at the end of March.



(Up on no news)

SLM is now up ~270% since announcing the purchase of the Jaguar lithium project in Brazil last week.

At Jaguar – located in Bahia state — the company says there are rock chips grading up to 4.95% Li2O along a 1km long, 50m wide spodumene-rich pegmatite body.

Drilling will kick off this month.

“Brazil is fast becoming a significant player in the hard rock lithium space,” former Delta Lithium (ASX:DLI) boss and current SLM exec director Matt Boyes says.

“Solis’s primary objective is to quickly position itself by acquiring highly prospective underexplored projects in the northeast of Brazil.

“The Jaguar pegmatite hosts confirm LCT-bearing pegmatites with some of the coarsest and most abundant spodumene occurrences I have seen.

“These tenements in what may be a new lithium province are a fantastic addition to our already large tenement position in the northeast of Brazil, and with drilling to commence immediately.”

Big buddy and major shareholder Latin Resources (ASX:LRS) will provide “exploration guidance and country experience”, SLM says.

LRS is currently drilling to expand the size of its 13.3Mt @ 1.2% Li2O inventory at the Salinas project in Minas Gerais, Brazil.

SLM is up 550% year-to-date. It had ~$1.8m in the bank at the end of March.



(Up on no news)

ODE has three projects in the Gascoyne prospective for REEs and lithium; Gascoyne East, Lockier Range, and Lyndon.

A 3000sqkm land package makes it one of the biggest holders in the emerging lithium region, home to Delta Lithium’s (ASX:DLI)  Yinnetharra project and Voltaic Strategic Resources’ (ASX:VSR) Ti Tree discovery.

Lyndon also immediately abuts Dreadnought Resources’ (ASX:DRE) big REE discovery at Yin.

The $11m capped minnow is up 30% year-to-date.