NARRYER METALS

(ASX:NYM)

COMPANY PROFILE

Exploring for renewable energy resources in the right places, with a money-in-theground approach and a highly experienced management team, Narryer Metals is making all the right moves in its hot pursuit of rare earth elements (REEs) and platinum group elements (PGEs).

Since listing in April last year, Narryer has aggressively tackled its 100% owned ground prospective for nickel-copper-platinum group metals and rare earth elements in its namesake Narryer Terrane region of Western Australia – in the same geological setting as Chalice Mining’s (ASX:CHN) prolific Gonneville discovery – as well as the Gawler Craton in South Australia.

Drilling kicked off at Mt Nairn at the end of October targeting anomalies identified during electromagnetic surveying. The 3700m program is now complete, with assays pending.

A rare earth elements target was also identified from the presence of thorium at Mt Nairn, as the region began to establish itself as a REE hotspot.

Desert Minerals (ASX:DM1) nearby Innouendy prospect has shown evidence of nickel-PGE and ionic clay-hosted REE mineralisation, while Krakatoa Resources (ASX:KTA) made a major ionic clay-hosted REE discovery at its Mt Clere project.

NYM’s project has similar geology to Innouendy and Mt Clere, and REE fieldwork is underway to follow this up.

In September, Narryer’s management doubled down on REEs when it entered an option to acquire the Rocky Gully project along the Albany Fraser Belt in WA’s Great Southern.

REE and scandium mineralisation have been identified at Rocky Gully and the company is undertaking metallurgical test work on historical drill material alongside the Australian Nuclear Science and Technology Organisation, with plans to undertake additional on-ground exploration in line with results in the first quarter of 2023.

Most recently, re-assaying of pulp samples obtained in previous drilling at Rocky Gully returned a significant intercept of 24m at 3066 parts per million magnet rare earth oxides (MREO) and 337ppm scandium oxide from 4m, including 4m at 5030ppm total rare earth oxides.

The same hole featured an intersection containing a high-grade zone of valuable scandium – 8m at 546ppm scandium oxide. Scandium is considered one of the most expensive of all the natural elements, owing to its natural rarity.

Across the border in South Australia, Narryer is progressing work at the Ceduna and Sturt nickel-copper-cobalt-PGE-REE projects in the iconic Gawler Craton.

Previous exploration of Narryer’s ground here has identified anomalous nickel sulphides and PGEs, which the company said had remained inadequately tested.

REE exploration in the region has also generated astounding results, including Indiana Resources’ (ASX:IDA) Lake Labyrinth discovery, Petratherm’s (ASX:PTR) Comet discovery, Itech Minerals’ (ASX:ITM) Caralue Bluff discovery and Chemx Materials’ (ASX:CMX) Kimba prospect.

Narryer has been cost effective in its testing at Ceduna, assessing more than 300 samples from the project stored in the SA Drill Core Library. Assays are expected this quarter, with drilling expected to follow.

Extending the exploration undertaken last year, 2023 will be an exciting period for this junior explorer.

Key Points

◾ Company Name: New World Resources

◾ Company ASX code: NWC

◾ Key Commodities: Copper

◾ Key Personnel: Mike Haynes, Managing Director | Richard Hill, Chairman

◾ Locations: Northern Arizona, US

◾ Market Cap as of 25/01/23: $98.94M

◾ 52-Week Share Price Range at 25/01/23: $0.028 - $0.074

◾ W: newworldres.com

Investment Highlights

◾ Working to restart production at the Antler copper mine in Arizona, with an initial scoping study last year showing potential for over 30,000t of copperequivalent production per annum, with projected free cashflow of $135 million/ pa and 42% internal rate of return.

◾ Close to infrastructure, including roads and power lines, reducing project infrastructure costs.

◾ Completed $8 million placement in December to progress work at Antler.

MIKE HAYNES MANAGING DIRECTOR

New World Resources

(ASX:NWC)

Company Profile

New World Resources is bringing a highgrade copper mine, closed since 1970, back into production, right as the world recognises the importance of the red metal to its future infrastructure needs.

The Antler mine in northern Arizona produced a total of around 70,000 tonnes of ore, with copper grades of 2.9% (plus 6.2% zinc), before its closure in 1970.

New World Resources acquired an option over the deposit in 2020 and wasted no time, having put in the hard yards since to bring the deposit’s high grade JORC resource to 11.4 million tonnes at 4.1% copper equivalent (CuEq), at a 1% CuEq cut-off.

The resource was most recently updated in November last year, when it increased by a whopping 48%.

A scoping study has been completed at Antler, based on the previous mineral resource. The study revealed a project with significant potential – 9.3 million tonnes of production over a projected mine life of 10 years, with $200 million in capital expenditure, 271,000t CuEq metal output, and free cash flow of $135 million per annum.

The study also estimated the project’s C1 cash costs, on a CuEq basis, of US$1.66 per pound over the forecast initial operating life, which would put the mine towards the lower end of global copper producers. The project would have an internal rate of return of 42%.

New World is planning to update its scoping study with the latest resource estimate early this year, while continuing with its aggressive drilling program, which could further expand the project’s impressive resource.

In December New World reported it had intercepted the highest-grade mineralisation encountered at Antler to date – 10.7m at 13.7% CuEq in the deepest hole yet drilled at South Shoot.

NWC said the mineralisation at Antler remained completely open at depth.

“This hole intersected the South Shoot 66m down-dip from another recently completed hole that intersected a combined thickness of 26.8m at 7%CuEq,” Mike Haynes, New World managing director, said.

“This shows that these ultra-high grades are present within a substantial area.

“It also reinforces our view that, because of its very high grades, the Antler deposit could be profitable through almost all commodity price cycles. The project stands to deliver exceptional returns if high copper prices prevail, as forecast, later this decade – by which time Antler is expected to be in full operation.”

Cashed up thanks to an $8 million raise in December, New World plans to release a pre-feasibility study on the Antler project by the end of 2023.

As the world shows signs of recognising the need to secure supplies of copper critical to the development of infrastructure required for a greener energy future, New World may have timed its run at Antler to perfection.

Key Points

◾ Company Name: Octava Minerals

◾ Company ASX code: OCT

◾ Key Commodities: Lithium, gold, platinum group metals

◾ Key Personnel: Clayton Dodd, NonExecutive Chairman | Damon O’Meara, Non-Executive Director | Bevan Wakelam, Managing Director & CEO

◾ Locations: Western Australia

◾ Market Cap as of 25/01/23: $6.22M

◾ 52-Week Share Price Range at 25/01/23: $0.117 - $0.280

◾ W: octavaminerals.com

Investment Highlights

JANUARY 17: Octava enters JV with Future Metals (ASX:FME) over Panton North and Copernicus North tenements, with Octava to be freecarried to decision to mine.

NOVEMBER 24: Multiple pegmatites identified at Talga and an expanded area identified for further detailed exploration.

NOVEMBER 10: Analysis of soil geochemical samples identifies 1.5km target at Pinnacle Well lithium prospect, while mapping confirms pegmatites with geology similar to Global Lithium Resources’ (ASX:GL1) Archer deposit of 18Mt at 1% lithium oxide, only 10km away.

BEVAN WAKELAM MANAGING DIRECTOR & CEO