FEATURED COMPANIES

The world is hungry for the metals of the future, and the only way to meet that need is through new discovery and production. Meet the companies striving to be part of a new metal era.

Disclaimer

Companies included in this Featured Companies section are advertising clients of Stockhead. The articles in this section have been developed in association with the companies featured. The views, information or opinions expressed in these articles do not represent the views of Stockhead. Stockhead does not provide, endorse, or otherwise assume responsibility for any financial product advice contained in these articles.

*Figures for Market Cap and Share Price were sourced from asx.com.au

KEY POINTS

◾ Company Name: Ardea Resources

◾ Company ASX code: ARL

◾ Key Commodities: Nickel, cobalt, scandium, rare earth elements

◾ Key Personnel: Mathew Longworth, Non-Executive Chair | Andrew Penkethman, Managing Director & CEO

| Ian Buchhorn, Executive Director

◾ Locations: Western Australia

◾ Market Cap as of 25/01/23: $137.20M

◾ 52-Week Share Price Range at 25/01/23: $0.550 - $2.050

◾ W: ardearesources.com.au

Investment Highlights

NOVEMBER 16: Metallurgical results suggest ARL could process additional 200,000tpa of feed grading 1% nickel at the Kalgoorlie Nickel Project (KNP) from mineralised neutraliser sourced from open-pit mining.

OCTOBER 14: ARL reveals plans to evaluate 4200sq km tenement portfolio for critical minerals, including lithiumcaesium-tantalum and rare earths.

MARCH 18: KNP awarded Major Project Status for national and strategic significance, giving access to the Major Projects Facilitation Agency, Critical Minerals Office, and other agencies for intergovernmental coordination of project support and approvals.

ANDREW PENKETHMAN MANAGING DIRECTOR & CEO

Ardea Resources

Project Status in March last year.

KEY POINTS

◾ Company Name: Auroch Minerals

◾ Company ASX code: AOU

◾ Key Commodities: Nickel, lithium, copper

◾ Key Personnel: Robin Cox, Technical Director | Mike Edwards, Executive Chairman

◾ Locations: Western Australia, Nevada, US

◾ Market Cap as of 25/01/23: $26.09M

◾ 52-Week Share Price Range at 25/01/23: $0.048 - $0.155

◾ W: aurochminerals.com

INVESTMENT HIGHLIGHTS

■ Transformative new high-grade lithium discovery, with aggressive exploration programs planned to run in parallel at the Nepean and Nevada lithium projects.

■ Leveraged to future battery metals demand from stable mining jurisdictions where existing high-grade shallow nickel sulphide resources offer potential to drive near-term development and production.

■ Drill rigs on the ground at the Kangaroo Hills and Nevada lithium projects.

COMPANY PROFILE

With the largest nickel-cobalt resource in the developed world on its books, Ardea Resources has enough nickel to produce 147 million electric cars – almost 14 times the number of EVs sold globally in 2022.

The company’s 100% controlled Kalgoorlie Nickel Project (KNP) and its sub-set, the Goongarrie Hub, have a mineral resource of 5.9 million tonnes contained nickel and 384,000t contained cobalt.

That makes it number one in WA when it comes to contained nickel alone, surpassing BHP’s renowned 3.7-million-tonne Mt Keith operation by more than 2 million tonnes.

In recognition of KNP’s national strategic significance to the Australian economy and its potential to assist a transition to clean energy, the KNP was awarded Major

Auroch Minerals

(ASX:ARL) (ASX:AOU)

COMPANY PROFILE

With rigs on the ground at transformative lithium projects in the world-class exploration regions of Nevada and Western Australia’s Goldfields, Auroch Minerals is strengthening its case as a future metals heavyweight.

The company, which holds a strategic portfolio including nickel and lithium in toptier mining jurisdictions, recently commenced drilling at both the Nevada project and the Kangaroo Hills lithium project.

AOU holds 80% of each project and is simultaneously testing the duo this quarter as part of what the company's technical director, Robin Cox, describes as “an ambitious exploration strategy”.

At the recently acquired Nevada project,

Securing the prized status was a major boost to ARL’s plan to be a significant producer of nickel and cobalt for the lithiumion battery sector. It gives the company enviable access to the Major Projects Facilitation Agency, Critical Minerals Office, Export Finance Australia and other key government agencies that can streamline the approvals process and allow access to additional sources for potential project funding, as well as opening doors to national experts and potential investment partners.

And in a sector where customers demand an ESG-compliant supply chain for nickel, cobalt and other inputs, Ardea aims to be one of the lowest-impact producers globally.

“We generate all of our own power off grid, completely independent of fossil fuels,” Andrew Penkethman, Ardea managing director and CEO, said.

“Our emissions are in line with BHP Nickel West, which promotes itself as one of the lowest carbon emission nickel producers in the world.”

As a testament to its sustainability practices, Ardea has been awarded a “BBB” ESG score for corporate and KNP practices by internationally leading and independent ESG disclosure platform for the mining industry Digbee ESG.

This initial accreditation is a highly favourable outcome for an emerging company and paves the way for operational and reporting improvements to be made so ARL can achieve an AAA score as it grows. reverse circulation (RC) drilling is testing the Siebert Formation, which hosts American Lithium’s TLC deposit, for the presence of claystone lithologies elevated in lithium.

Ardea’s main focus is developing the KNP through activities such as resource optimisation to define an updated ore reserve, open pit mine design, capital and operating cost definition, and the development of a detailed engineering design and plant layout.

In line with its ESG commitments, Ardea has developed an industry-leading low carbon emission flow sheet for its processing, with sustainable and ethical products to meet strategic partnership requirements. Further metallurgical testwork and feasibility studies are continuing and have gained pace since KNP was awarded Major Project Status.

While it progresses the KNP, Ardea will also put its recently expanded technical capacity to good use to evaluate more closely other compelling critical mineral opportunities. These include LCT, rare earths and lithium across its significant 4200sq km tenement package in WA’s Eastern Goldfields.

The initial work covers the San Antone East and Western Flats prospects, with another three – Traction, Lone Mountain and Heller – being progressed to drillready status. The project is located 340km southeast of the Tesla Gigafactory and close to major California ports.

At Kangaroo Hills, a new discovery which sits on the company’s Nepean nickel project ground, RC drills are targeting three identified pegmatite targets defined by recently completed mapping and sampling, including a mineralised pegmatite swarm, which returned a peak assay of 2.37% lithium oxide early in January.

Selective drill holes will also test for potential strike continuity of the initial discovery hole, which hit 6m at 1.38% Li2O from 198m.

They’re great signs in a hungry market and furthered by the fact AOU already holds significant nickel resources.

The 100% owned Saints and Leinster projects are located in WA’s NorsemanWiluna greenstone belt. Saints hosts a high-grade nickel resource of 911,000t at 2.3% nickel and 0.2% copper for 21,000t nickel and 1600t copper in arguably the best address globally for nickel sulphide mineralisation.

Two-thirds of the resource sits in the higher confidence indicated category.

The projects are surrounded by significant processing capability, including BHP’s Mt Keith and Leinster plants, Saracen Mineral Holdings’ (ASX:SAR) Sinclair plant and Poseidon Nickel’s (ASX:POS) Black Swan processing plant.

Meanwhile, Nepean is home to the historic high-grade Nepean mine, which was the second producing nickel mine in Australia –producing 32,202 tonnes at an average grade of around 3%.

In September, Auroch revealed a mineral resource estimate of 236,000t at 1.5% nickel and 0.1% copper for 3615t nickel and 252t copper, mapping shallow mineralisation only. That was before lithium pegmatites were identified at Kangaroo Hills.

Auroch recently boosted its coffers to just under $5 million, leaving the junior explorer well-funded to accelerate its lithium hunt in Western Australia and Nevada, and advance its nickel assets in Western Australia.

With nickel sulphides in increasing demand from global battery makers, Auroch is also nearing the completion of scoping studies to assess the potential development of its shallow high-grade resources.

Key Points

◾ Company Name: Azure Minerals

◾ Company ASX code: AZS

◾ Key Commodities: Nickel, copper, cobalt, lithium

◾ Key Personnel: Tony Rovira, Managing Director & CEO | Brian Thomas, Chairman

◾ Locations: West Pilbara, Western Australia

◾ Market Cap as of 25/01/23: $98.58M

◾ 52-Week Share Price Range at 25/01/23: $0.160 - $0.460

◾ W: azureminerals.com.au

Investment Highlights

■ The Andover project encompasses a highly fertile, mineral-rich district, where Azure has discovered multiple nickel-copper-cobalt sulphide deposits and identified significant lithium-rich pegmatites.

■ The mineral resource estimate (MRE) for the Andover deposit contains +75,000 tonnes of nickel, copper and cobalt, with the MRE for the neighbouring Ridgeline deposit due for release in Q1 2023.

■ Andover hosts abundant lithiumrich pegmatites with surface sampling returning high grades of up to 3.32% Li2O, and lithium-focused drilling to start in Q1 2023.

TONY ROVIRA MANAGING DIRECTOR & CEO

Azure Minerals

(ASX:AZS)

COMPANY PROFILE

Azure Minerals is on the fast track to a development decision at its Andover nickelcopper-cobalt project, which is now also revealing its lithium riches in the West Pilbara region of Western Australia.

The company is defining a new nickel province where it has made four significant discoveries and identified a pipeline of undrilled targets along a 4km-long mineralised belt in what is now recognised as the newest, and one of the most exciting, nickel districts in Australia.

The Andover project is 60% owned by Azure and 40% held by renowned billionaire prospector and mine finder Mark Creasy, of Bronzewing and Nova fame.

The project is geologically similar to major discoveries like Panoramic Resources’ (ASX:PAN) Savannah nickel-copper-cobalt mine in the East Kimberley, the NovaBollinger nickel-copper-cobalt mine in WA’s Fraser Range, and the Julimar Intrusive Complex that hosts Chalice Mining’s (ASX:CHN) Gonneville palladium-platinumnickel-copper-cobalt project.

While Azure’s extensive and focused exploration continues to successfully uncover nickel, copper, and cobalt, it is also quickly revealing Andover’s strong lithium potential.

The company has identified numerous outcropping lithium-rich pegmatites within an area more than 4km long and 2km wide, with surface sampling returning high grades of up to 3.32% Li2O. This has prompted Azure to start lithium-focused drilling in the first quarter of 2023, and attracted the attention of global lithium heavyweight SQM, which took a $20 million, 19.99% stake in AZS in January.

To date, AZS has drilled around 90,000m across 200 holes, which has culminated in a maiden resource of 4.6 million tonnes at 1.41% nickel equivalent – over 80% of which is in the higher confidence indicated category.

The resource currently hosts over 75,000 tonnes of nickel, copper, and cobalt, which is only expected to grow with a resource for the neighbouring Ridgeline deposit, located just 200m from the Andover deposit, slated to be delivered in the first quarter of 2023.

In November 2022, Azure reported the highest-grade nickel intersection so far from the Ridgeline deposit, after drilling hit a broad, high-grade zone that returned 18.2m at 1.93% nickel, 0.65% copper and 0.08% cobalt, including 9.3m at 2.58% nickel, 0.75% copper and 0.1% cobalt from 510.5m.

This drill hit also confirmed that the strongly mineralised shoots containing massive nickel sulphides remained open down-plunge, providing further upside for resource expansion.

Azure has also received positive metallurgical results from Ridgeline that show it can deliver high-grade concentrates and excellent metal recoveries.

The company is rapidly progressing the Andover project towards production via a dual pathway strategy of successful exploration and resource definition, while simultaneously fast-tracking project development studies.

Successful delivery of this strategy will grow Andover into a major nickel-copper sulphide mining and processing operation with multiple deposits, feeding a central processing plant.

AZS is leveraged for success through its strong balance sheet, exposure to highvalue and in-demand battery metals that now includes lithium, and supportive and reputable major shareholders.

Key Points

◾ Company Name: C29 Metals

◾ Company ASX code: C29

◾ Key Commodities: Lithium, copper

◾ Key Personnel: Jeremy King, Executive Director | David Lees, NonExecutive Chairman | Phil Thomas, Project Manager Argentina

◾ Locations: Argentina, Queensland & New South Wales

◾ Market Cap as of 25/01/23: $10.09M

◾ 52-Week Share Price Range at 25/01/23: $0.087 - $0.365

◾ W: c29metals.com.au

Investment Highlights

■ Drilling underway at its Pocitos 7 lithium project within the South American lithium triangle in Argentina with a view to rapidly establishing a mineral resource.

■ Location of Pocitos 7 and Pocitos 9 projects places them close to established infrastructure, accelerating potential project development timeline.

■ C29 also exploring for copper-gold at the Mayfield project in Queensland, and copper at the Sampsons Tank project in NSW at a time of heightened interest in the red metal’s green infrastructure applications.

C29 Metals

(ASX:C29)

Company Profile

C29 is drilling at the Pocitos 7 lithium project in Argentina, as the explorer seeks to establish its presence in premium battery metal territory.

Pocitos 7 is in the heart of South America’s lithium triangle, home to 75% of the essential battery component’s global supply, and current drilling is designed to establish the presence of lithium-charged, aquifer-held brines, which would form the basis for a mineral resource estimate at the project.

That would be a significant step for C29, given lithium is arguably the world’s most sought-after mineral owing to its use in the emergent electric vehicle battery industry.

Previous geophysical work at Pocitos 7 has established the potential for a large aquifer hosting lithium-charged brines. C29 is out to prove the concept.

“We are extremely pleased to kick off proceedings at Pocitos 7,” Jeremy King, C29 executive director, said on announcement of drilling in late December.

“The company has the opportunity to rapidly establish a meaningful resource at this salar as part of a wider drive to create a significant lithium operation.

“Local lithium logistics and services infrastructure provide important foundations to enable such an outcome.

The locational advantage King alluded to is a reference to the triangle’s status as a lithium producer. Helping C29’s development cause is access to infrastructure, including power, gas transmission and all-weather roads, allowing transport of refined lithium carbonate through a major port.

Pocitos 7 is not alone on C29’s books. The company signed an option agreement to acquire 80% of the exploration licenses to Pocitos 7 and the nearby Pocitos 9 in October.

Both projects are positioned in the miningfriendly Salta province, in proximity of established global industry players including SQM, Albemarle, Orocobre, Toyota, Ganfeng, Lithium Americas, Lithium LSC, Argosy, Livent, Galaxy, POSCO and Galan Lithium (ASX:GLN).

Closer to home is C29’s 100% owned Mayfield copper-gold project in the highly prospective eastern fold belt of the Proterozoic Mount Isa Inlier in Queensland.

Mayfield sits just 25km south of Carnaby Resources’ (ASX:CNB) discovery at Nil Desperandum and Lady Fanny, and 50km from Hammer Metals’ (ASX:HMX) Kalman project.

Over 80% of the project area sits under thin alluvial cover, which exhibits extensive near-surface mineralisation associated with magnetic anomalies.

With copper sentiment strong on the back of green-technology requirements, C29 is looking to define and rank targets with a view to drill here in 2023 as well.

At its 100% owned Sampsons Tank copper project in NSW, having identified three coherent bedrock conductors, the company is looking to further define targets by way of ground geophysics before moving to drill in 2023.

Sampsons Tank sits within an emerging high-grade copper district – it shares key geological, geophysical and geochemical features analogous to the nearby Trition Cu Mine, Collerina Cu, Tottenham Cu and Iron Duke Cu projects.

KEY POINTS

◾ Company Name: Caspin Resources

◾ Company ASX code: CPN

◾ Key Commodities: Platinum-group elements, nickel, copper, gold

◾ Key Personnel: Greg Miles, Chief Executive Officer | Cliff Lawrenson, Chairman

◾ Locations: West Yilgarn & Musgrave provinces, Western Australia

◾ Market Cap as of 25/01/23: $46.45M

◾ 52-Week Share Price Range at 25/01/23: $0.365 - $1.190

◾ W: caspin.com.au

Investment Highlights

■ Major new platinum-group element-nickel-copper discoveries at Serradella and Vicia prospects, inside its Yarawindah Brook Project, and potential for new discoveries at greenfield site Mount Squires project.

■ Significant pipeline of drilling campaigns planned for 2023, with results pending from Mount Squires project where +10% copper was recently reported at surface.

■ Well funded for exploration, with no debt and $6.8m cash at bank as of September and backing of strategic shareholders including Chalice Mining (ASX:CHN).

GREG MILES CEO