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3.7M AUD @ 30/09/23
Venus Metals is a West Australian-based company exploring gold, lithium, rare earth, vanadium and base metals. The Company aims to increase shareholder value through targeted exploration success on its projects.
Mr Matt Hogan has a proven track record. Matt was formerly an Executive Director and Chief Executive Officer of United Minerals Corporation NL (UMC), which successfully discovered the Railway Iron Ore DSO deposit in the Central Pilbara. In February 2010, UMC was acquired by BHP Billiton for AUD$204 million.
Mr Hogan was instrumental in the ASX listing of Iron Ore Holdings Limited (IOH). As a result, IOH achieved a market capitalisation of over AUS $200 million, and BC Iron Limited ultimately acquired that Company for AUS $250 million. Mr Hogan was employed by the IOH and assisted the Board and management in that particular role.
The Deep South Lithium mineralization is shaping up as a significant new lithium find at Youanmi greenstone belt. Geological mapping shows three main zones of outcropping Li-rich pegmatite over a 300m x 200m area. Referred to as Central Zone (up to 4.5 %Li2O), East Zone (up to 4.6 %Li2O), and North Zone (up to 4.6 %Li2O) common areas of high Li grade are associated with coarse grained petalite (LiAlSi4O10), a Lithium mineral known to occur with spodumene (LiAl(SiO3)2) in other Lithium deposits in the region (e.g. Mt Holland) (refer ASX release 18 September 2023).
Exploration work has been accelerated to better understand the dimensions and distribution of the pegmatites and includes detailed field mapping and planned drill testing.
IGO Farm-In Joint Venture
VMC’s Greenbushes East Lithium and Bridgetown East Ni-Cu-PGE Projects comprise four granted tenements held by a Venus Subsidiary, E70/5315, E70/5316, E70/5620 and E70/5712, and two exploration applications, E70/6009 and E70/5675 (VMC). The western boundary of the VMC and Venus Subsidiary tenure abuts the Greenbushes mining leases.
IGO Limited Investment Farm-In / Joint Venture and Placement: Farm-in and Joint Venture in which IGO Subsidiary can progressively acquire up to a 70% interest in the Bridgetown Greenbushes Exploration Project by incurring A$6,000,000 of exploration expenditure on the Project. IGO Subsidiary will solely fund all Joint Venture expenditure until the completion of a pre-feasibility study in relation to the Project. IGO Limited subscribed for 9,000,000 fully paid ordinary shares in VMC at $0.23c per share (refer to ASX release 27 June 2022 for details of Farm-in and Joint Venture terms).
MANGAROON NORTH RARE EARTH PROJECT (100% Venus)
Venus Metals has four tenements adjacent to the Mangaroon-Yangibana rare earth (REE) mineralised zone. These tenements are considered prospective for REE due to the presence of similar host lithologies as Dreadnaught’ Yin and Yangibana deposits, geological continuity and linear and circular structures along major northwest-trending trans-lithospheric faults, including the Edmund Fault, that intersect Venus’ tenements. These faults are interpreted to have acted as pathways for carbonatitic or ferro-carbonatitic melts or brine melts. Multiple priority targets at Mangaroon North have been identified based on processed remote-sensed ASTER and Sentinel data, geology and regolith maps, ortho-images, and radiometric data. A field mapping and sampling program are in progress(refer to ASX release 5 September 2022).
MARVEL LOCH EAST RARE EARTH PROJECT (100% Venus)
Venus’ Marvel Loch East Rare Earth Project is comprised of one granted exploration licence (E15/1796) and four applications (ELAs 15/1944, 15/1946, 15/1947 and 77/2721) for a total area of 283 blocks (828 km2 ). E15/1796 covers aeromagnetic highs within granite terrain and has been historically interpreted as representing an arcuate remnant greenstone belt with associated mafic-ultramafic rocks; most of the EL is covered by sandplain and salt lake sediments with few sub-outcrops of mainly granitic rocks. Two strong magnetic anomalies have been defined by the recent aeromagnetic survey within the E15/1796. Of these the most prominent (Anomaly 1) is a north-northeast trending lenticular anomaly approximately 700m in width which can be traced semi continuously over a 25km strike length and that presents priority drill targets for bedrock-hosted REE mineralisation. The radiometric survey has also delineated demagnetised zones that present favourable targets for clay-hosted REE mineralisation. DMIRS awarded EIS grant (up to $157,500) to Venus’ subsidiary Redscope Enterprises Pty Ltd towards 50% of direct drilling costs and mobilisation.
YOUANMI BASE METALS - REE PROJECT (100% Venus)
Wide-spaced reconnaissance aircore drilling on E57/1128 confirmed the presence of sheared mafic-ultramafic bedrock under cover along an east-southeast trending structure that splays off the Youanmi Shear Zone close to the Penny Gold Mine and makes this trend prospective for gold and base metals mineralisation. In addition, anomalous rare earth elements (REE) were detected in several holes (refer to ASX release 31 May 2022). Follow-up RC drilling is planned to explore the extent of the Ree-mineralised zone.
An RC drilling program comprising 13 holes for c. 2,000m was completed at the Pincher Zinc-Copper prospect on E57/1019. The drilling (refer to ASX release 24 May 2022) targeted a historically strong induced polarisation (IP) anomaly located south of previously drilled high-grade zinc mineralisation. At the IP anomaly south of the Pincher North Dome, diamond drill tails are planned to extend two of the recent RC holes and enable downhole EM surveying.
The best results include 12m @ 2.22% Zn, 0.15% Cu and 0.1 g/t Au from 128 m, including 4m @ 5.02%. Zn from 128m. Base metals mineralisation confirmed at IP anomaly, south of Pincher North Dome 20m @ 1.2% Zn, 0.38% Pb and 0.17 g/t Au from 68m (refer ASX release 10 October 2022). Follow-up RC drilling and field investigations are warranted at the Linda Gossan Prospect targeting high-grade gold mineralisation associated with gossanous chert horizons and felsic schist bedrock.
IGO Farm-In Joint Venture
The Mt Ida/Ularring Greenstone Belt is recognised as an emerging Lithium Province following the discovery of spodumene-rich Lithium pegmatites near the Mt Ida gold Mine, located some 15 km northwest of the Henderson Project. Historical geological mapping and recent fieldwork by Venus identified pegmatite dykes crosscutting the greenstone sequence. Exploration by VMC has identified several outcropping LCT pegmatite clusters spread over a total strike length of some 20km (ASX releases 27 October 2021, 7 February 2022). The Emerald SE area is particularly interesting, which shows a relatively high density of outcropping LCT pegmatites with lithium content over 100 ppm LiO2, including a maximum assay of 5.8 %LiO2 returned from one pegmatite.
Venus Subsidiary has entered a binding transaction with a subsidiary (“IGO Subsidiary”) of IGO Limited regarding exploration and, if warranted, development and mineral extraction at the Henderson Nickel-Lithium Project ("Project"). Farm-in and Joint venture in which IGO Subsidiary can progressively acquire up to a 70% interest in the Project by incurring A$4,000,000 of exploration expenditure on the Project and reimbursing VMC A$1,000,000.
IGO Subsidiary will sole fund all Joint Venture expenditure until the completion of a pre-feasibility study in relation to the Project. If IGO Subsidiary completes a pre-feasibility study it has the right to acquire Venus Subsidiary's 30% interest in the Project for a price based on fair market value less an apportioned aggregation of IGO
Subsidiary expenditure incurred in relation to the Project. Should IGO Subsidiary elect not to acquire the 30% interest, the parties will continue to be associated in an unincorporated joint venture.
YOUANMI VANADIUM PROJECT (E57/986 90% Venus)
The Youanmi Vanadium deposit is located on the exploration licence 57/986 (198.5 km2), approximately 40km southeast of the vanadium deposit at Windimurra.
The unique open pit vanadium oxide resource of world-scale deposits has good access to major infrastructure such as gas pipelines and roads. The Company has a JORC 2012 Measured, Indicated and Inferred Oxide Resource of 134.7 million tonnes grading 0.34% V2O5, 6.27% TiO2 and 21.33% Fe (refer to ASX release 20 March 2019) and has the potential to be a significant supplier to the world vanadium market, particularly for emerging renewable battery energy needs. Tests show blended composite raw material grading 0.66% V2O5 and 44.38%. A simple concentrate process can upgrade fe2O3 to 1.07% V2O5 and 65.3% Fe2O3 (Hematite).
Reductive roast followed by low-temperature acid leaching achieves recovery of 80% vanadium (V) and 80% of iron (Fe). A new process achieves low acid consumption after a 70% acid recovery. A provisional patent application for the Youanmi oxide ore process has been lodged and accepted with IP Australia.
Further test work is planned to quantify vanadium pentoxide from the leach liquor produced. Results from this research, together with the outcomes of the previous research, will form the basis for the design and operation of a pilot plant study.
YOUANMI GOLD PROJECT
Venus Metals Corporation Ltd (ASX: VMC) and Rox Resources Ltd (ASX: RXL) have consolidated ownership in the Youanmi Gold Project in Western Australia. Transaction simplifies the ownership structure for the Youanmi Gold Project. Venus Metals Corporation Ltd is the top shareholder of Rox Resources Ltd (ASX: RXL) with an 18% shareholding after consolidating the ownership of the gold project, the Youanmi Gold Mine, located 500km northeast of Perth. The Youanmi Gold Mine is now wholly owned by Rox Resources Limited.
For updated information on the Youanmi Gold Project, please refer to Rox Resources Ltd (ASX: RXL)