Viking Mines (ASX: VKA) wraps up March quarter with advances across battery mineral projects

Highlights

• Canegrass Pit Optimisation Study (POS) highlighted the potential for favourable economic viability.
• Assays for the First Hit Project defined nineteen targets, with a maximum lithium value of 138 parts per million (ppm).
• Viking won two ballots, securing more than 32 km² West of its existing tenure.

Viking Mines Limited (ASX: VKA)  focused on advancing its Canegrass Battery Minerals Project in Western Australia and the First Hit Lithium and Gold Project during the three months ended 31 March 2024. The company achieved outstanding results in pit optimisation study, exceeding strategic objectives with high-grade resource estimate for its Canegrass project. Additionally, the company identified significant lithium anomalies across the First Hit project and secured additional territory, advancing exploration in a promising district.

The company ended the March quarter with a robust cash balance of AU$4.44 million.

Successful POS at Canegrass Battery Minerals Project

During the March quarter, Viking completed a POS on the Canegrass Battery Minerals Project Mineral Resource Estimate (MRE). The resource stands at:

In the POS all scenarios produced pit shells which showcased the potential for positive economic viability under the assumptions used.

The results exceeded Viking's strategic goal of identifying a high-grade open pitable resource of over 30 million tonnes by more than double. Six scenarios of pit optimisation were conducted, evaluating different revenue potentials for V₂O₅, iron (Fe), copper (Cu), nickel (Ni), and cobalt (Co) at different cut-off grades to identify the most valuable options. All six pit optimisation scenarios proved successful and delivered in pit mineral resources in the range of 31Mt to 92Mt. The results reaffirmed the robust nature of the project, highlighted VKA.

The Company will now initially focus on the Fold Nose Deposit as the in-pit MRE is of sufficient size, 39Mt at 0.81% V₂O₅, to assess the potential for a 15+ year mine life Project, with optionality remaining for further feed from Kinks and Kinks South

High vanadium recovery rates recorded at Canegrass

During the reported period, the company also concluded sighter roasting testwork on high-quality magnetic concentrate samples, delivering vanadium recoveries of over 93% through a water leach. This highlighted a total recovery of 86.7% V₂O₅ from the ore feed.

The LIMS process delivered a high-quality magnetite concentrate grading of 1.43% V₂O₅, 59% Fe & 11.7% TiO₂. The firm highlighted that recoveries from the ore are high at 93.0%, 83.7% and 79.5%, respectively.

Lithium anomalies defined at First Hit Lithium and Gold Project

The company also received encouraging assays from auger drilling at the project.

A wide-spaced drilling was completed over ~55km² of prospective tenure and it resulted in nineteen targets:

• Received peak lithium assay values of 138ppm;
• 95 samples returned values over 50 ppm:
• The anomalies obtained were significant in size.

A substantial lithium anomaly “Loki” (1.6km x 1.7km >50ppm) is believed to be located within transported cover. To identify the source, the company needs to undertake further work.

Viking Mines won two of four ballots held on 31 January 2024, related to tenement application E30/571. With this, the company secured more than 32km² West of its existing tenure. Now, the company’s total land package in this prospective lithium and gold district is around 493km² (granted & under application).

VKA shares traded at AU$0.011 apiece on 2 May 2024.