OD6 eyes Splinter Rocks resource expansion

OD6 Metals (ASX:OD6) is expecting a fresh round of assay and metallurgical test results in November following an ‘exciting’ September quarter. 

In its latest quarterly report, the $15.87 million market capitalisation company recapped the delivery of a maiden 344 million tonne (Mt) @ 1,308 parts per million (ppm) total rare earth oxide (TREO) Mineral Resource Estimate (MRE) for its Splinter Rock Rare Earth Project in Western Australia. 

The MRE is based on a 1,000ppm cut-off grade and defines Splinter Rock as ‘one of the largest and highest-grade clay-hosted rare earth resources in Australia’, according to company Managing Director Brett Hazelden. 

Moreover, OD6 says Splinter Rocks holds ‘real and substantial’ potential for an MRE expansion based on initial results generated from a phase three drilling in the project area. 

OD6 says the drilling comprised 145 holes for 7,435m at an approximate average depth of 51m and a maximum depth of 104m, with initial assays demonstrating a ‘significant’ expansion of the Prop prospect potential, as reported in September. 

Results returned up to 4,159ppm TREO and demonstrated that observed clay thickness continued to correlate ‘strongly’ with data obtained from a previously completed airborne electromagnetic survey (AEM). 

Results from Australian Nuclear Science and Technology Organisation (ANSTO) ANSTO metallurgical testwork and assays from the Centre prospect are yet to be received. 

Hazelden says the initial results from the phase three drilling work completed so far are ‘fantastic’.   

“I’m pleased to report on what has been another exciting quarter of exploration and project advancement, culminating in the declaration of a large, high-grade maiden MRE at Splinter Rock. This immediately put us on the map with our Splinter Rock Project emerging as one of the largest and highest-grade clay-hosted rare earth resources in Australia.

“This immediately put us on the map with our Splinter Rock Project emerging as one of the largest and highest-grade clay-hosted rare earth resources in Australia”

We continue to prudently manage exploration spending, with our treasury position remaining strong, which is anticipated to be further bolstered by a large R&D tax rebate during the current quarter. 

The OD6 team is excited for the next phase of project advancement, where we delve into the pending results from the ANSTO mineralogy and metallurgical test work.”

OD6 Metals is an ASX-listed rare earths explorer focused on uncovering opportunities within the critical minerals sector. 

The company’s wholly owned Splinter Rock project is in the Esperance-Goldfields region of Western Australia, about 30km to 150km northeast of the major port town of Esperance. 

OD6 Metals had $2.03 million cash at hand as of 30 September, with an additional ‘significant’ tax research and development (R&D) tax rebate expected to be received in the current quarter.

Write to Adam Drought at Mining.com.au

Images: OD6 Metals
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Written By Adam Drought
Born and raised in the UK, Adam is a sports fanatic with an interest in Rugby League and UFC/MMA. When not training in Muay Thai and Brazilian Jiu Jitsu, Adam attends Griffith University where he is completing his final year of a Communication & Journalism degree.