Oar Resources completes drilling at Gibraltar Halloysite-Kaolin Project

By Trevor Hoey. Published at Apr 14, 2021, in Mining

Halloysite is a rare derivate of kaolin, a clay mineral. It has traditionally used in ceramics and as a petroleum cracking catalyst, however it has a raft of exciting new applications in emerging industries set to only expand in the decades to come – energy storage, batteries, supercapacitors, carbon capture, and cancer therapeutics.

Those new applications have excited the market, especially given halloysite globally is in short supply, and since China recently closed a number of environmentally damaging mines.

Currently pure Halloysite sells for up to US$3,000/t, so a material discovery on this imminent drilling campaign could be a strong share price catalyst for the $66M capped Latin Resources (ASX:LRS).

LRS continues to make strong progress with the Noombenberry Halloysite Kaolin Project and has now received the majority of test work results from the project as it moves closer to establishing a resource estimate.

Interestingly, LRS’s WA project has very similar geology to Andromeda Metals' (ASX: ADN) projects in South Australia.

In September last year, ADN was just 4.5 cents, today it is circa 28 cents after being as high as 43 cents in mid March.

LRS is in a similar position to that of ADN back in September, but with a resource estimate due soon it would be hoping for similar traction.

While recent assay results would suggest MD Chris Gale's confidence in the project is justified at this stage, shareholders would also be interested to know he has other halloysite interests that are also progressing well.

Read: Latin Resources finalising results ahead of resource estimate

Gale's second halloysite interest is via Oar Resources Limited (ASX: OAR) for which he is executive chairman, and shareholders in that company will be hoping that his experience will assist in successfully developing the Gibraltar Project.

Gibraltar moves forward

Diversified mining group, OAR has advised that the latest phase of extension air-core drilling has been completed at its Gibraltar Halloysite-Kaolin Project in the Eyre Peninsula, in South Australia.

The project is located to the north and adjacent to the well-credentialled Andromeda Metals Ltd (ASX:ADN) Mt Hope Kaolin-Halloysite Project.

Oar completed approximately 1,400 metres of shallow drilling in 40 holes of wide-spaced 400 metres x 400 metres grid pattern in this latest phase of drilling.

This was completed directly adjacent and to the north of the company’s previous drilling completed in late 2020 which successfully confirmed the presence of high-grade halloysite mineralisation (20%) within a blanket of saprolitic clays.

Logging of drill cutting from holes in the most recent drilling has shown good white kaolinitic saprolite development in the southern portion of the drilling grid, adjacent to and along strike from the previous phase of drilling with the depth to basement/thickness of cover increasing to the north.

The following map shows the substantial landholding held by Oar, as well as illustrating its close proximity to Andromeda’s Mt Hope Project.

Results expected in May

Based on this logging, selective infill drilling on a 200 metres x 200 metres grid pattern has commenced in this area, to better define this material.

A total of 20 holes for an estimated additional 700 metres will be completed.

Approvals have also been received for a regional reconnaissance drilling program over the wider project area.

The program will aim to identify areas of granite basement favourable for the development of the targeted kaolinite clays.

This drilling will commence immediately following the current infill drilling program.

Composite samples from the early stages of the drilling have been dispatched to the laboratory for detailed test work, with results anticipated to be returned from May 2021.

View Our Investment Portfolios

S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.

Conflict of Interest Notice

S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.

Publishers Notice

The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.

Australian ASX Small Cap stocks | Why Finfeed.com is Australia’s leading small cap publication

Founded seven years ago, Finfeed.com is Australia’s leading and longest standing website for investor and finance news, education and expert opinion.

Published by StocksDigital, Finfeed was created to report daily on the comings and goings of ASX listed stocks in the small cap market.

As the first digital publication dedicated specifically to this space, Finfeed soon became the most trusted publication in the market, quickly garnering over two million page views – a number that continues to rise.

Finfeed.com provides its readers with informative articles that tackle the latest in market moving #ASX small cap news, plus exclusive content you won’t find anywhere else. It is aimed at those with an interest in investing, market education, company performance, start-ups and much more.

Finfeed.com is the only media organisation operating under the strength of a Financial Services License and is backed by leading journalists and analysts all with brands of their own.

The website aims to inform, educate and entertain with content that drills down into the heart of financial matters.

Finfeed is a leading source of investor and market information, with everything investors need to know about how to invest written in a way that anyone can understand. 

Over the years, the website has expanded beyond exclusively reporting on small caps, to profile Australia’s leading ASX listed small, mid and large caps as well as some of the country’s most successful CEOs and business leaders to find out what makes them tick.

Every day you will find fresh content covering:

Fast Facts

Over 4,000 articles published

Over 2.3 Million Page Views and counting

Over 10,000 followers on social media

Subscriber list growing by 2% monthly

Thanks for subscribing!