This is the first in a two-part feature series.
This article is a sponsored feature from Mining.com.au partner Belararox Ltd. It is not financial advice. Talk to a registered financial expert before making investment decisions.
For a junior exploration company to overcome a myriad of challenges such as inclement weather and lack of access to drill rigs yet still achieve the objectives it set out at the start of the year – that’s impressive.
Executing a capital raise amid such turbulent times with strong support from both new and existing sophisticated and professional investors adds to the lustre that is Belararox (ASX:BRX).
As a mineral explorer focused on securing and developing resources to meet the surge in demand from the technology, battery, and renewable energy markets, forging ahead is more than just an objective. It’s a necessity.
Focused on the Belara zinc-copper-lead-silver-gold project located 100km north-northeast of Orange in Central New South Wales, Belararox is an advanced mineral explorer focused on ‘high value’ clean energy metals.
During the September 2022 quarter, the company focused on completing its maiden drill campaign to deliver a Mineral Resource Estimate (MRE) at the Belara Project.
As Managing Director Arvind Misra explains, Belararox is ticking all the boxes and overall, the December quarter is shaping up to be another exciting quarter as the company continues to ramp up exploration activities at the Belara Project.
The company’s maiden drilling program has delivered ‘highly encouraging’ results which highlight the large scale and quality of the project as well as its expansion potential.
Staying on course
Misra explains: “We have had a positive response from the market, as they can see we are well on track to deliver the resource, and we have near targets identified, and along with the drilling we have planned, we still have money in the bank.
When you look at where we are at, with what we have done and we have done everything we said we would, it is looking very good for the company and all our shareholders.
“When you look at where we are at, with what we have done and we have done everything we said we would, it is looking very good for the company and all our shareholders”
If you look at the timeline of delivery that we said to the market that we’d do, we’ve done it all and we achieved exactly what we said. There has been a slight delay in some things due to COVID and wet weather in New South Wales but our story hasn’t changed one iota; it just hasn’t changed.
And I’m proud we have been able to do all that despite a few challenges along the way, but we have pushed ahead and I think the market, hopefully, is really starting to see that now.
We are sticking exactly to the script, apart from like I said some challenges due to COVID, but we’re sticking to the script.”
“We are sticking exactly to the script”
That script was written in 2021 and announced to the market in January this year when Belararox began trading on the Australian Securities Exchange (ASX) in an initial public offering (IPO) which raised $5.06 million through the issue of 43 million shares.
At the time, the company laid out its plans and timelines for exploration works at the Belara zinc-copper-lead-silver-gold project in the Lachlan Fold Belt in NSW.
Objectives achieved
The MD says back in January, those objectives for the year ahead have not only been achieved but Belararox has done so amid a very challenging environment.
The objectives included, starting drilling by March with results from gravity geophysics and DTM surveys; completing the initial drilling program by May; reporting a 2012 JORC compliant resource by mid-2022; and undertaking extension drilling based upon initial geophysics over the full strike length and porphyry targets, as well as expand the resource estimate in 2H 2022.
“We’ve done everything I’ve promised to the market … that includes the second phase of drilling.
“We’ve done everything I’ve promised to the market … that includes the second phase of drilling”
We have got so many targets to drill that we’re going to be very busy. And we’re lucky in that way that we have so many targets as it gives plenty of opportunity to extend the project, the resource, and it really is great that we have all these targets to focus on next.”
Misra notes that the phase two drill program planning is well underway to increase the resources at both Belara and Native Bee, as well as to assess for the potential of mineralisation extending further south.
It is envisaged drilling will start imminently dependent on potential delays related to ongoing inclement weather, access, and contractor availability. A heritage agreement with the Warrabinga Wiradjuri Native Title Claim Group has also been executed, with grant of 2 Exploration Licence Applications (ELA6176 and ELA6287) progressing.
Exploration planning for these tenements is underway and exploration will commence once the 2 tenement applications have been approved.
The Native Bee mineralised trend comprises a coincident GAIP – 1VD – FLEM anomaly extending from the area of recent phase one drilling, and area of reported Inferred Resources, southwards over some 1,500m. Phase two drilling aims to target the full extent of this 1,500m trend and will aim to identify additional Inferred Resources in the vicinity of the Native Bee mine and assess for the potential of mineralisation extending further south.
In addition, a close spaced airborne magnetic survey will be completed over portions of the 20km structural corridor south of Belara and Native Bee, including ELA6176 once it is granted. It is envisaged this will identify targets for follow-up ground truthing including mapping, sampling, and ground-based geophysics.
Pushing ahead despite challenges
Bullabulling drilling is also expected to start in early 2023, with 2 diamond core drill holes planned to target the 2 highest priority targets identified from recently completed 2D prospectivity mapping and 3D mineral potential mapping. The targeted tenements contain a large 3D model target, of a scale similar to the Geko deposit located further north.
Misra says accessing drill rigs has now eased and the cost of drilling seems to have subsided for the most part. At the moment, there are a “few good options” around in terms of accessing drill rigs, which for much of 2022 has not been the case given such a large number of juniors have been exploring at the same time.
The MD adds: “I think maybe the overall market has slowed down a bit. Some companies seem like now they have slowed down their exploration programs and so demand has come down, in my opinion I think that’s what we’re starting to see.”
While some companies are putting the brakes on drilling, Belararox is pushing ahead
While some companies are putting the brakes on drilling, Belararox is pushing ahead. Or as Misra reiterates, the company is sticking to the script.
That mindset to forge forward and seek solutions to overcome whatever hurdles presents itself has piqued the interest of shareholders during a recent capital raise and helped lead Belararox to deliver on its aforesaid stated objectives.
“If I’m honest, the past few months the market has been pretty ordinary so a lot of companies are maybe either sitting on some cash and not doing the work or can’t access the cash to be able to do their exploration programs.”
In part two of this series, the MD explains how sticking to the script has led Belararox to successfully deliver a 2012 JORC compliant Inferred Resource in just 10 months since listing, highlighting the strength of the mineralisation and the significant ongoing growth potential.
Write to Adam Orlando at Mining.com.au
Images: Belararox Ltd & iStock
