Resources Top 5: DeSoto sets pace with REE acquisition; OAR cuts through with Brazilian uranium expansion

DeSoto Resources got off to a flyer earlier, on the back of announcing a new rare earths acquisition in the NT
Meanwhile Oar Resources has significantly expanded its Brazilian uranium ground
And OD6 has doubled the resource at its rare earths Splinter Rock project in WA

Here are some of the biggest resources winners in early trade, Wednesday May 29.

DeSoto Resources (ASX:DES)

DeSoto is this morning’s ressie pace-setter, pulling ahead to a +100% gain early doors before settling into a slightly more cruisey stride around 50% intraday.

The critical minerals exploration junior has announced it’s buying a rare earths project in the Northern Territory called Spectrum, where previous drilling pulled up a highlight 6m at 6.55% total rare earths (TREO) from 248m – that came within an intercept of 50m at 1.55% TREO.

This comes after the company conducted an airborne survey over its Fenton gold project in the Pine Creek region oof the NT.

With a strike length of 4.5km, as well as a large electromagnetic anomaly to the south of it – it’s a “walk-up start” for the explorer, noted MD Chris Swallow in a new interview with Stockhead’s Sarah Hughan.

DeSoto also notes the project contains a large 2km by 0.5km untested strong semi-coincident copper-lead-zinc geochemical and geophysical anomaly, which is about 1.5km along strike from the REE prospect.

The company plans to spend $2 million for exploration activities at Spectrum in its first 15 months, supported by its $6 million cash position.

The Spectrum Project, with historic high-grade Rare Earth Element intercepts in the Pine Creek region of the #NorthernTerritory.

Best intercept of 50m @ 1.55% TREO, incl. 12m @ 4.51% TREO (14.9% Nd/Pr)

Learn more: https://t.co/JrqorS0kSr #ASXnews #REE #NT pic.twitter.com/WD6WfJxQGs

— DeSoto Resources (@DesotoResources) May 28, 2024

Swallow added:

“This highly complementary acquisition gives us a strategic, critical minerals position in the Northern Territory.

“With the confirmed mineralisation and supporting geophysical anomalies in the surrounding Fenton Project, we are now positioned for an accelerated phase of exploration and drilling.”

Oar Resources (ASX:OAR)

Oar, a uranium and critical minerals explorer and aspiring producer, has announced the expansion of its Brazilian assets by the pegging of an additional 650km2 of prospective ground in the states of Rio Grande Do Sul and Goiás.

This is an increase of 283% and brings the total Brazilian landholding to 880km2. The acquired tenements are considered prospective for sandstone and sedimentary hosted uranium mineralisation.

Both projects are located within 10km of historic uranium occurrences identified by the Industrias Nucleares do Brasil (INB), which is a Brazilian state-run company engaged in the prospection, exploration and extraction of uranium and other heavy metals.

OAR notes it’s working closely with the INB to ensure that all regulations pertaining to the exploration of uranium are being followed.

OAR Resources CEO Paul Stephen noted in a prepared statement:

“The acquisition of these two highly prospective tenements in the Rio Grande Do Sul and Goiás states of Brazil support our strategic objective of developing a diversified project portfolio for a decarbonised future.

“The additional Amorinopolis and Grande Project tenements are well located within 10 kilometres of historic uranium occurrences identified by INB and we are working closely with INB to ensure we can rapidly develop these projects over time.”

What happens next? Field work, with drill target identification the aim for June.

Oar Resources Limited (ASX: OAR) is pleased to announce the expansion of its Brazilian assets by the pegging of an additional 650km2 of prospective ground in the states of Rio Grande Do Sul and Goiás.

— Oar Resources (@OarResources) May 29, 2024

OD6 Metals (ASX:OD6)

OD6 Metals has doubled the resource at its rare earths Splinter Rock project – to 682Mt at 1,338ppm TREO.

“This mineral resource estimate sets OD6 apart from any other clay-hosted rare earth project in Australia, and highlights Splinter Rock to be one of the largest and highest-grade projects globally,” MD Brett Hazelden says.

Splinter Rock is located in the Esperance-Goldfields region of Western Australia – about 30 to 150km northeast of the major port and town of Esperance.

The Total Resource of 682Mt includes an Indicated Resource of 119Mt at 1,632ppm TREO, and this, notes the company, will help enable the completion of a Scoping Study, due at the end of this year.

@Od6Metals is delighted to announce a MRE update for its Splinter Rock Rare Earth Project

Total MRE doubles in size to 682Mt @ 1,338ppm TREO at 1,000ppm cut-off grade, including an Indicated Resource of 119Mt @ 1,632ppm TREO at Inside Centre

$OD6 ASX https://t.co/1mYcZqXpct pic.twitter.com/e075mwk5Mb

— OD6 Metals (@Od6Metals) May 28, 2024

Pursuit Minerals (ASX:PUR)

Some lithium love, at last…

Pursuit has “significant high-grade lithium” news resulting from its maiden Stage 1 drilling program at the Maria Magdelena tenement of its Rio Grande Sur brine project in Argentina.

That’s a vast landholding that comprises five tenements covering 9,260 hectares in the province of Salta.

Intercepts have occurred in drill hole numero uno, at shallow depths of about 131 metres. Highlights include:

• 408mg/L (“milligrams per liter of Lithium”) from an interval of 17.75m to 25.80m
• 412mg/L from an interval of 38.85m to 48.30m
• 424mg/L from an interval of 56.40m to 64.50m

Significantly, says Pursuit, grades of over 600mg/Li are the highest achieved at this shallow depth.

The company notes that additional lithium-bearing brines continue to be intercepted below 130m to a current depth of 500m, with assays pending and results expected over the coming weeks.

Pursuit MD and CEO Aaron Revelle said:

“The initial results from DDH-1 are particularly sensational as we progress our initial exploration phase of the Rio Grande Sur Project.

“With these initial intercepts we are continuing the significant advancements we have made in our understanding of the RGS Project mineralisation, with the results commencing to demonstrate the potential significant scale of the project,” adding that, with the “outstanding high grade brine intercepts” the project is “exceeding our expectations”.

DY6 Metals (ASX:DY6)

(Up on Monday’s news)

Minerals exploration minnow DY6 is still trading nicely off Monday’s news that saw it burst up more than 300% at one stage earlier this week.

There’s nothing fresh to report, but in case you missed it:

“Exceptional” high grade historical drill hits confirm the Tundulu rare earths project in Malawi as a significant asset, says the company.

As we reported earlier, Malawi has been brewing as an attractive African mining jurisdiction since its government installed its Mines and Minerals Act in March last year, which incorporated incentives for foreign investment into the sector.

The country’s president, Lazarus Chakwera, has bold plans to increase the mineral sector’s long-term contribution to GDP from today’s ~1% up to 20%.

Highlights from the 7,000m program in 2014 included 101m at 1.02% TREO and 3.6% phosphate, from surface, as well as 91m 1.09% TREO and 7.6% phosphate from 46m.

DY6 CEO, Mr Lloyd Kaiser said:

“These additional historical results further illustrate the potential for a significant carbonatite rare earth deposit with scope to expand the extent of mineralisation over the southern and western side of Nathace Hill and across Tundulu Hill, areas that remain largely unexplored.

“We look forward to commencing the preliminary geological model from all the historic drill data. This will improve our knowledge of the mineralised nature of Tundulu and assist in mapping the next phase of exploration activity.”

At Stockhead we tell it like it is. While DeSoto Resources, Pursuit Minerals and DY6 Metals are Stockhead advertisers, they did not sponsor this article.

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