THE BOURSE WHISPERER: The resilience of the small end of town exploration sector continues to show its hand as companies enhance their exploration portfolios.
Cobre completes fifth WA lithium acquisition
Cobre Montana (ASX: CXB) has completed the acquisition of lithium prospective Exploration Licence 74/0543 near Ravensthorpe in southern Western Australia.
It will be the company’s fifth lithium investment in WA, with others including interests in lithium projects south of Perth.
The new tenement is being acquired from Dempsey Minerals, with title transfers having been lodged with WA’s Department of Mines and Petroleum.
The licence area contains a sizeable proportion of the Cocanarup Pegmatite Field which hosts lithium and rare metals and forms part of a geological suite hosting the nearby Mt Cattlin lithium/tantalum project, owned by Galaxy Resources (ASX: GXY) and recently subject to an option to purchase by General Mining (ASX: GMM).
“The Cocanarup pegmatites contain abundant lithium minerals and have been the subject of past beryl production,” Cobre Montana said.
“Cobre’s focus is lithium micas contained within the pegmatites, which it will evaluate as part of the company’s strategy to commercialise the production of lithium from micas.”
Cobre is hoping it can repeat its recent achievements at Ravensthorpe, having been successful in extracting lithium from micas at Lepidolite Hill near Coolgardie in Western Australia and the Cinovec project in the Czech Republic where it has partnered with Focus Minerals (ASX: FML) and European Metals (ASX: EMH) respectively.
The company considers the Ravensthorpe material selected for processing test work to have similar mineralogy to Cinovec which achieved lithium float recoveries of 98 per cent and leach extractions of 99.5 per cent.
GBM to acquire gold project from Drummond Gold
GBM Resources (ASX: GBZ) has struck a binding Share Sale Agreement with Drummond Gold (ASX: DGO), under which GBM will acquire a 100 per cent-interest in Mt Coolon Gold Mines, a wholly-owned subsidiary of DGO.
The terms of the agreement include a consideration payable by GBM to DGO consisting of a cash payment of $850,000 and the issue and allotment of 50 million shares in GBM.
The acquisition of Mount Coolon gives GBM a tenement holding and resource inventory, located 250 kilometres west of Mackay in Queensland in the northern Drummond Basin an established gold mining region.
Mount Coolon Gold Mines has published resources containing a total of 283,000 ounces of gold from three deposits, of which the largest, Eugenia contains 63 per cent of the total defined resource.
This deposit is considered by GBM to have the greater exploration potential.
The tenement package includes four granted Mining Leases, two granted exploration permits and one exploration permit application covering a total area of 802 hectares.
“The Mount Coolon Gold Mines acquisition provides an opportunity to rapidly upgrade the confidence levels of the key Eugenia resource, and to quickly add further resources from known project areas,” GBM Resources said.
“This upgraded resource base will provide the foundation to investigate near term production options, including from heap leaching of oxidised ores at Eugennia.
“GBM will evaluate a range of funding options to progress Mount Coolon.”