Catalina Resources (ASX:CTN) has completed the acquisition of the Breakaway Dam Copper and Lithium Project from Forrestania Resources (ASX:FRS).
The company has settled all conditions under the agreement, issuing 13.83 million ordinary shares and various options to Forrestania.
Executive Director Ross Cotton says Breakaway Dam provides Catalina with exposure to both an ‘emerging’ copper discovery opportunity and an ‘underexplored’ lithium opportunity within a single project area.
“The combination of an expanding copper-rich VMS [volcanogenic massive sulphide] system and lithium potential provides additional value creation alongside our growing Mid-West gold portfolio and our recently acquired Lake Johnston projects,” Cotton says.
As part of a portfolio rationalisation strategy, Catalina also divested its Laverton project portfolio to Forrestania.
Breakaway Dam, situated 17km east of Menzies in Western Australia, hosts an established copper-rich VMS system and underexplored lithium potential.
Previous drilling at the project returned intercepts including 9.2m @ 0.48% copper from 181.4m and 1.47m @ 1.97% copper and 0.24% zinc from 236.35m.
Catalina’s maiden drilling program expanded the known mineralised strike by approximately 70% to 1.2km and identified multiple priority conductor targets.
Recent results from this program include 1.9m at 2.17% copper from 198m and 2.9m at 0.57% copper from 204m.
The system remains open with potential strike extending to approximately 1.8km.
Historical exploration at the project by Forrestania identified anomalous multi-element geochemistry consistent with fractionated pegmatites, which are considered prospective for lithium-caesium-tantalum mineralisation.
Catalina has commenced a comprehensive review of Breakaway Dam to prioritise the next phase of exploration across both copper and lithium opportunities.
Catalina Resources is a diversified mineral explorer and developer focused on prospective gold, base metal, lithium, and iron ore projects.
Write to Paula Fabe at Mining.com.au
Images: Catalina Resources
