Resolution Minerals (ASX: RML) is adding 1,566 sq km to its Benmara exploration project in the Northern Territory which is prospective for sediment-hosted battery metals and unconformity-style uranium.
This involves two transactions: the acquisition of two surrounding granted tenements covering 541 sq km and applications being lodged for 1,025 sq km in the South Nicholson Basin.
Resolution has described Benmara as complementary to its nearby Wollogorang project, which is prospective for copper and cobalt.
The company has signed a binding term sheet with private vendors which gives it a 12-month option to buy 100% of two granted tenements.
‘Commanding’ land position in hunt for battery metals
Resolution managing director Duncan Chessell said the company now holds a commanding ground position of 2,230 sq km in what he describes as an under-explored area.
“While we are actively drilling on the project, testing large-scale sediment-hosted battery metals targets, we are also reviewing the potential for unconformity-style hard rock uranium given the recent strengthening of uranium spot prices,” he added.
The option of the two granted tenements will cost $50,000 and the final outright purchase will see Resolution pay an additional $250,000 in new shares.
Resolution can walk away from the tenements and can also extend the option period at the rate of $20,000 per month.
The new tenements applications are in the same nearby geological setting where drilling is under way for battery metals.
The company says Benmara lies along strike from the Walford Creek deposit, owned by Aeon Metals (ASX: AML), which has a mineral resource estimate of 40 million tonnes at 2% copper equivalent and is located on the Fish River fault.
Geophysical survey revealed potential source of mineralisation
This year Resolution completed a geophysical survey over the central zone of the tenement, targeting the basin margin where prospective onlapping sediments from the South Nicholson abut the Murphy Inlier.
The company’s proposed model is the Murphy Inlier which acts as a wall directing upwelling fluid flow carrying metalliferous fluids to flow up the Fish River fault.
“These fluids then flow up and through the potentially reductive sediments close to surface.
“The shaley-reductive units can act as traps sites for base metals to precipitate, potentially forming deposits,” the company stated.
Resolution said it is well funded after a recent $1.7 million placement.