Octava Minerals Unveils High-Grade Antimony Discovery at Yallalong
OCT (OCT) Share Update September 2024 Monday 16th
Octava Minerals Announces High-Grade Antimony Discovery at Yallalong
Octava Minerals Ltd (ASX:OCT) has announced a significant high-grade antimony discovery at its Yallalong project in Western Australia. The company plans to focus its exploration efforts on these promising targets.
Instant Summary:
- Historic drilling at the Discovery Antimony Prospect returned high-grade intersections.
- Significant drill results include 3m @ 6.83% Sb and 7m @ 3.27% Sb.
- The mineralization is open in several directions, indicating potential for further discoveries.
- A 10km north-south striking mineralized corridor has been identified.
- China's recent export controls on antimony have driven prices to over US$24,500/t.
- Octava plans to commence drilling to outline a resource.
Discovery Details
Octava Minerals Ltd (ASX:OCT) has reported significant high-grade antimony intersections at its Yallalong project in Western Australia. Historic drilling at the Discovery Antimony Prospect returned notable results, including:
- YRC06: 3m @ 6.83% Sb from 21m, including 1m @ 13.6% Sb from 22m
- YRC16: 7m @ 3.27% Sb from 12m, including 1m @ 11.5% Sb from 18m
- YRC27: 6m @ 1.35% Sb from 13m
The high-grade antimony mineralization at Discovery is open in several directions, with prior drilling focusing only on the shallow oxide material. Previous soil and rock chip programs identified a 10km north-south striking mineralized antimony corridor, including a quartz vein sample, YA123, which assayed 60.1% antimony (Sb), 0.28% lead (Pb), 0.14% copper (Cu), and 31ppb gold (Au).
Strategic Importance
Antimony is on the critical minerals list of several countries due to its dual-use applications in both commercial and military sectors. China, which accounts for approximately 50% of global production and 80% of global processing, has recently announced export controls on antimony-related products. This has resulted in the price of antimony increasing substantially to over US$24,500 per tonne.
Octava Minerals' Managing Director Bevan Wakelam stated, 'Following the completion of a base metal reconnaissance drill program in early 2024, the team has been re-examining project data to determine the next steps for Yallalong. It was noted that historic drilling for antimony had been carried out at the project, and with ingot prices increasing from ~$8000/tonne to now over US$24,500/tonne, there is definitely unfinished business for antimony at Yallalong.'
Next Steps
Octava Minerals plans to conduct deeper drilling to test for possible larger sulphide bodies. The company also aims to explore several undrilled antimony targets where high-grade surface samples have been recorded. POWs (Programs of Work) have been submitted, and drilling is planned with the aim of outlining a resource.
The discovery of high-grade antimony at Yallalong is significant, especially given the recent increase in antimony prices due to China's export controls. This could positively impact Octava Minerals' stock price as investors react to the potential for substantial returns from the project. The company's strategic focus on high-grade targets and the potential for further discoveries could enhance investor confidence.
Investor Reaction:
Analysts are likely to view this announcement positively, given the high-grade nature of the antimony intersections and the current market conditions. The increase in antimony prices and the potential for further resource delineation at Yallalong could attract investor interest.
Conclusion:
Investors should monitor Octava Minerals' progress as it moves forward with its exploration plans at Yallalong. The high-grade antimony discovery and the company's strategic focus on this critical mineral could present significant opportunities. Stay tuned for further updates as Octava outlines its resource and continues its exploration efforts.