Nov 12, 2024

Terra Metals Hits 5.8m @ 0.34% Cu + 0.31g/t Au + 0.54g/t PGM at Reef 1 North, Dante Project, Western Australia

Introduction:

Terra Metals Limited (ASX:TM1) (Market Cap: $15M | Last Close: $0.04 | Cash: $3.6M) has reported copper-gold-PGM intercepts from Phase 1 diamond drilling at its Reef 1 North prospect within the Dante Project in Western Australia, highlighted by 5.8m at 0.34% Cu + 0.31g/t Au + 0.54g/t PGM from 24m.

Drill Results:

5.8m @ 0.34% Cu + 0.31g/t Au + 0.54g/t PGM + 0.80% V2O5 + 22.2% TiO2 from 24m (including 1.8m @ 0.43% Cu + 0.39g/t Au + 0.80g/t PGM from 28m) (UDH008)
5.5m @ 0.32% Cu + 0.27g/t Au + 0.50g/t PGM + 0.69% V2O5 + 19.9% TiO2 from 132m (including 2m @ 0.51% Cu + 0.41g/t Au + 0.41g/t PGM from 134m) (UDH004)
4.0m @ 0.30% Cu + 0.24g/t Au + 0.61g/t PGM + 0.81% V2O5 + 21.0% TiO2 from 141m (including 2m @ 1.00g/t PGM + 0.28% Cu + 0.26g/t Au from 143m) (UDH005)‍
6m @ 0.26% Cu + 0.27g/t Au + 0.52g/t PGM + 0.69% V2O5 + 18.7% TiO2 from 179m (including 2m 0.37% Cu + 0.36g/t Au + 0.94g/t PGM from 182m) (UDH006)

Project Overview:

The Dante Project is located in the West Musgrave region of Western Australia. It contains large-scale magmatic copper, gold, and platinum group element targets, as well as extensive outcropping Cu-PGE-Au reefs. The project is situated in the same geological complex and in close proximity to BHP's Nebo-Babel deposit, one of the world's largest mining development projects.

Reef 1 and Reef 2 at Dante contain approximately 26km of outcropping and sub-cropping strike. The Jameson layered intrusion hosting the Dante Reefs is analogous to the Bushveld Complex in South Africa, which has been mined for over 100 years.

Program Details:

The Phase 1 diamond drilling program at Reef 1 North has delivered consistent and high-quality intersections of copper, gold, and platinum group metals across all 8 drillholes. Results have widened the Bushveld-style, stratiform reef mineralisation by over 100m. The company has also completed Phase 2 reverse circulation drilling targeting shallow copper-gold-platinum mineralisation at Reef 1 North, with results from over 50 new RC drillholes expected in the coming weeks and months.

Understanding These Results:

The reported intersections demonstrate consistent mineralization across multiple depths, from surface to over 180m depth. This reinforces the continuity of mineralization and potential to host a large sulphide deposit containing copper, gold, PGMs, vanadium, and titanium.

A Cu:Au ratio of almost 1 to 1 has been noted in the basal reef in recent results, suggesting the potential for higher grade gold to follow higher grade copper. The widening of the mineralized zone by over 100m increases the potential for additional exploration upside along the 20km strike length of the stratiform deposit.

Management Commentary:

Thomas Line, Managing Director and CEO of Terra Metals, stated:

“These new results show dominance of copper, gold and platinum, and continue to build our confidence in the continuity and scale of this unique, Bushveld-Style reef deposit. Adding 100m of width to the mineralised zone increases the potential for additional exploration upside with such a long striking stratiform deposit.

“Interestingly, a Cu:Au ratio of almost 1 to 1 has been noted in the basal reef in the recent results, suggesting the potential for higher grade gold to follow higher grade copper.

“Importantly, we have just completed over 50 more RC holes at Reef 1 North and we look forward to presenting these results as they become available over the coming weeks and months. Assays from a further 9 diamond holes drilled at Reef 2 are also expected in the coming weeks.”

Next Steps & Catalysts:

Results from over 50 new RC drillholes at Reef 1 North are expected progressively over the coming weeks and months. Assays from a further 9 diamond holes drilled at Reef 2 are also expected in the coming weeks.

The company plans to investigate several other mapped and interpreted reefs throughout the Dante Project, including Reef 3, Reef 4, Reef 5, and Perseus. Some of these targets represent walk-up drill targets and are prioritized for drill testing in 2025.

Commodity Outlook:

The Dante Project is prospective for a range of Bushveld-like mineralization styles, including magnetite layers with high titanium and vanadium, chromite layers with platinum group metals, and silicates bearing sulphide mineralization containing platinum group metals, gold, nickel, and copper. These commodities have strong demand in various industrial and technological applications, particularly in the context of the global transition to clean energy and electric vehicles.

Conclusion:

The latest results from Terra Metals' Dante Project demonstrate significant potential to define a large-scale copper-gold-PGM system analogous to South Africa's Bushveld Complex. With consistent mineralization now defined over approximately 20km of strike at Reef 1, and multiple untested reef targets, the project offers potential exploration upside. Upcoming results from extensive RC and diamond drilling programs are expected to further delineate the scale and grade of the mineralization.

Sources:

TM1 Drill Results Announcement

Additional Figures:

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Nov 14, 2024