Nov 2, 2024

WA1 Resources Hits 17m @ 3.8% Nb2O5 at Luni Prospect, West Arunta Project

Introduction:

WA1 Resources Ltd (ASX: WA1) has reported high-grade niobium intercepts from its Luni prospect at the West Arunta Project in Western Australia, highlighted by 17m at 3.8% Nb2O5 from 46m.

Drill Results:

17m @ 3.8% Nb2O5 from 46m (LURC23-240)
80m @ 1.5% Nb2O5 from 86m (to end of hole) (LURC23-235)
120m @ 1.0% Nb2O5 from 52m (to end of hole) (LURC23-236)
74m @ 1.4% Nb2O5 from 32m (including 17m @ 3.1% Nb2O5 from 38m) (LURC23-239)
17m @ 2.2% Nb2O5 from 86m (LURC23-234)
12m @ 3.4% Nb2O5 from 45m (LURC23-232)

Project Overview:

The West Arunta Project is 100% owned by WA1 Resources and located in Western Australia. The Luni prospect is part of the Sambhar Prospect Area within the project. Drilling to date has focused on outlining mineralization in the weathered zone of the Luni carbonatite complex.

The project is situated in an underexplored region of Western Australia, with WA1 aiming to discover Tier 1 deposits. The Luni carbonatite complex represents a significant niobium mineralized system with potential for both oxide and primary mineralization.

Program Details:

The latest results come from reverse circulation (RC) drilling, including both 200m-spaced step-out and 100m-spaced infill holes in the western area of the Luni carbonatite complex. A total of 200 RC holes, 30 diamond holes, and 5 diamond tails have been completed at Luni to date, with assays from 125 holes now reported. The current program has extended the mineralized footprint to the west and provided evidence for continuity of shallow, high-grade niobium mineralization.

Understanding These Results:

The reported intersections represent significant zones of niobium mineralization within the weathered portion of the Luni carbonatite. The orientation of enriched, oxide mineralization is generally interpreted to be sub-horizontal and coincident with the flat-lying transition between intensely and moderately weathered carbonatite.

High-grade intercepts, such as 17m @ 3.8% Nb2O5, indicate zones of concentrated niobium mineralization that could be economically significant. The broad, lower-grade intersections (e.g., 120m @ 1.0% Nb2O5) demonstrate the extensive nature of the mineralized system.

Management Commentary:

Paul Savich, WA1's Managing Director, stated:

"These latest assay results further consolidate the southwestern zone of Luni by closing the gap between previously reported 200m spaced step-outs. Further step-out holes have also extended the mineralised footprint to the west."

Next Steps & Catalysts:

Diamond drilling is scheduled to recommence later this month, with the drill rig and site infrastructure already in place at Luni. Additional assay results from both RC and diamond drilling are expected over the coming months.

The company anticipates releasing an initial Mineral Resource estimate during calendar Q2-2024. Metallurgical testwork programs have commenced at select laboratories both locally and internationally.

Commodity Outlook:

Niobium is considered a critical metal essential for the transition to a low-carbon economy. The primary product, Ferroniobium, accounts for approximately 90% of the 100,000 tpa market. Niobium pentoxide represents a key growth market, particularly in lithium-ion battery technology. While global supply is concentrated in Brazil (90% of production), demand is widespread with growing applications.

Conclusion:

The latest results from WA1 Resources' Luni prospect demonstrate the potential for a significant niobium resource in Western Australia. With high-grade intercepts and broad zones of mineralization, the project continues to expand and show promise. As drilling progresses and metallurgical studies advance, the company is well-positioned to define a substantial niobium resource in an underexplored region.

Sources:

WA1 Drill Results Announcement

Additional Figures:

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Nov 6, 2024