- 01Target: 22-40 Mt @ 0.15-0.30% WO3 across five zones.
- 02Weathered zones to ~120 m; open laterally.
- 03Non-core asset; potential sale/spin-out/JV.
Flagship Minerals (ASX: FLG) has defined an Exploration Target of 22 to 40 million tonnes at 0.15% to 0.30% tungsten trioxide (WO3) across five mineralised zones at its 100%-owned Khao Soon tungsten project in southern Thailand.
The target is supported by historical and recent drilling, surface geochemistry and geological interpretation across about 4.5 kilometres of aggregate mineralised strike, with the weathered zones modelled to conservative depths of up to 120 metres and remaining open laterally and at depth.
The target has been prepared in accordance with the 2012 Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.
Flagship has classified Khao Soon as a non-core asset and is considering a full sale, a spin-out into a dedicated listed vehicle subject to required shareholder and market approvals, or a joint venture with a strategic partner.
The project sits adjacent to the historical Khao Soon tungsten mine, where Flagship estimates historical production grades of 2-4% WO3 and a 1974 US Geological Survey visit described mining material estimated at 5-12% tungsten, equivalent to about 6-15% WO3.
Five Zones Define Target
The Exploration Target combines information from five interpreted zones—Than Pho West, Last Hill, Than Pho Ridge, Target 2, and Target 1—using drilling, soil and rock-chip sampling, and geological observations.
Than Pho West contributes the largest individual range at 9Mt to 14Mt grading 0.20% to 0.30% WO3, while Last Hill is estimated at 5Mt to 10Mt grading 0.20% to 0.40% WO3.
Diamond and aircore drilling, supported by surface sampling and mapping, has identified near-surface tungsten mineralisation across several prospects and provided the geological basis for the target ranges.
“Flagship has held the Khao Soon project since 2014 as its production history, geology, scale potential, and location render the project as potentially one of the largest and most strategically positioned tungsten projects in Asia,” managing director Paul Lock said.
“Khao Soon provides Flagship’s shareholders with meaningful exposure to an advanced and strategically positioned tungsten exploration asset in a price environment which suggests that […] assets such as Khao Soon are becoming increasingly valuable.”
Strategic Options Under Review
Flagship sees Khao Soon as a potential source of non-dilutionary capital that could be applied to the Isidora gold project and other gold and copper initiatives while its broader strategy remains focused on advancing Isidora and securing additional gold or copper opportunities.
Any move towards a Mineral Resource would first involve metallurgical evaluation of the weathered mineralisation, followed by additional drilling where justified, with sample recovery identified as an important consideration for future work.
Flagship has also proposed further geophysics including drone-based magnetics and induced polarisation, with magnetotellurics and micro-gravity surveys among other methods that could be considered to locate underlying primary tungsten targets.
Flagship holds three special prospecting licence applications spanning about 26 square kilometres, although the application containing the old Khao Soon mine requires Thai Cabinet approval because much of that area is classified as conserve forest and watershed Class 1.
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