Tempest Minerals (ASX:TEM) Shares Soar on High-Grade Magnetite Discovery at Yalgoo

Highlights

• A high-grade magnetite exploration target has been identified at the Remorse Prospect within the Yalgoo Project.
• The project is strategically located near world-class iron ore operations and processing infrastructure.
• The company plans metallurgical testing, economic and infrastructure assessments, and further drilling at the newly identified exploration target.
• TEM shares rose by 20% during morning trading on 3 December 2024.

Shares of Tempest Minerals Ltd (ASX:TEM) surged by 20% to AU$0.006 per share during morning trading on 3 December 2024, following an update on the discovery of a significant high-grade magnetite exploration target at the Remorse Prospect. This discovery is part of the company’s wholly owned Yalgoo Project, which is situated near several world-class iron ore operations.

The newly identified magnetite deposit is considered to be robust and conservative. Moreover, the deposit is strategically located close to the established, world-class processing infrastructure.

Exploration target summary (Image source: company update)

To validate the identified exploration targets, the company plans to undertake metallurgical test work, obtain the necessary regulatory approvals for future work including environmental studies, conduct economic and infrastructure studies along with planning for additional drilling. This work is expected to commence in 1Q 2025.

Increased Confidence in Remorse Target Deposit

In October 2024, the company completed an exploration drilling campaign at the Remorse Target, uncovering thick, high-grade magnetite within the footwall of the targeted geological sequence. Significant drill Intercepts include:

Data source: Company update

Drilling intersected several magnetite units, with six mapped at the surface. The northern-most zone explored to date has demonstrated significant economic potential with a true thickness of up to 27m and composite grades exceeding 30% Fe, peaking at up to 39% Fe.

The program primarily targeted the geological sequence above the main magnetite zone, with only four drill holes definitively intersecting the key sequence. While these results are promising, they are insufficient to establish a reportable resource estimate, and the outcomes are considered from the exploration target perspective.

The company notes that the confidence in this deposit exceeds typical exploration target levels, with the lower range estimates being conservative due to several factors:  

• Consistent geometry, thickness, and grade across drill results.
• Strong correlation between pre-drilling models and findings.
• Extensive outcrop matching drilling data over multiple kilometres,

 Tempest plans to continue advancing exploration on the project throughout 2025.