Perpetual Resources Completes Air Core Drilling; Undertakes Successful Capital Raising to Fund Future Growth

  • Apr 02, 2020 AEDT
  • Team Kalkine
Perpetual Resources Completes Air Core Drilling; Undertakes Successful Capital Raising to Fund Future Growth

A dedicated explorer and producer of silica sands, Perpetual Resources Limited (ASX:PEC) has been gaining massive traction from mining enthusiasts and market participants for possessing one of the most lucrative project profiles of ASX-listed E&P companies.

The Company owns four discrete project areas -Beharra Project, Eneabba & Eneabba North Project and the Sargon Project. All are great prospects for high purity silica sand and construction sand products, while located proximal to existing infrastructure in Western Australia

Currently, PEC is focused on its flagship asset, the Beharra Project, which leverages from accessible infrastructure and has local skilled labour available to support operations.

 

PEC

 

PEC’s stock last traded at $0.025 on 23 March 2020, further placed in a trading halt on 31 March 2020 pending it releasing an announcement. The Company went on to garner shareholder attention with not one, but two announcements, depicting the progressive growth trajectory that PEC is on-

  • Completion of the Air core resource definition drilling program
  • Successful capital raising to accelerate the exciting Beharra silica sand project

 

Let’s deep dive-

Completion Of Air Core Drilling At Beharra Project

On 24 March 2020, Air core resource definition drilling program commenced at Beharra with the aim to define maiden Mineral Resource in Accordance with 2012 Guidelines and test ~4,900m of strike length of prospective formation, width of 1,600m and an average depth of 10m.

READ HERE FOR DRILL PROGRAM INSIGHTS- Perpetual Resources Begins Aircore Drilling at Beharra Post Successful Beneficiation Test Work

On 1 April 2020, PEC intimated about the completion of this program, with geological logging of all intervals approaching completion. The visual logging affirms that the Project comprises of extensive white silica sands (across a considerable area).

Drilling Program & Future Path

Total 40 drill holes for 507.5m of drilling was completed across the southern area of the Project. Geological logging will now be undertaken with all relevant field samples before it is submitted for laboratory analysis at Nagrom Analytical in Perth, WA.

Upon the receipt of lab analytical results by this month end, resource estimation will begin to delineate PEC’s inaugural JORC resource. Concurrently, metallurgical beneficiation test work will be conducted to refine the specifications (published previously) capable of being produced from the Project’s silica sand product suite.

Post consultation with end users for potential product analysis, it should allow for initial discussions on potential product off-take.

Successful Capital Raising to Progress Beharra Project

Continuing its optimistic announcement spree, on 2 April 2020, PEC updated about a capital raising, wherein it received commitments for a placement of at least $700k at $0.015 per share.

Placement Details

  • Directors intend to subscribe for a combined $220k of the placement, post shareholder approval at an upcoming EGM, demonstrating strong show of confidence.
  • The Placement will result in ~ 33.3 million shares being issued along with the Directors participation that will result in 14.67 million shares (if approved).

 

Notably, the Company continues to progress the Beharra Project along with additional project evaluation activities even in the current challenging environment for listed companies.

According to the company,

The capital raise is a significant value for the shareholders and validates the continuation of planned works, including finalisation of a maiden JORC resource, likely commencement of a prefeasibility study, other Government approvals to advance towards potential production.

Perpetual Resources is now funded to progress the Beharra Project and remains fully funded through the remainder of CY20, anticipating significant high impact activities.

 

PEC Chairman comments

 

Casting Eye on The Beharra Project

Situated 300 km North of Perth, the Beharra Project is almost 96 km south of Geraldton (the port town) in WA. Access to the area is from Geraldton and Perth (sealed Brand Highway). Mt Adams unsealed road provides access to the tenure centre. HMS mining takes place (to the south) of the Project vicinity. Besides this, natural gas production occurs to the south and lime sands mining to the west.

The latest auger drilling has affirmed the occurrence of high purity and extensive silica sands at the Project. Moreover, the metallurgical beneficiation test work has asserted that this silica can be well upgraded to meet the requirements of glass manufacturing businesses. It depicts that product exceeds specification for float and container glass applications (99.85% SiO2 final product with ~90% yield).

GOOD READ- Initial Beneficiation at Perpetual Resources’ Beharra Project Exceeds Expectations, Further Test Work Underway


Disclaimer
This website is a service of Kalkine Media Pty. Ltd. A.C.N. 629 651 672. The website has been prepared for informational purposes only and is not intended to be used as a complete source of information on any particular company. The above article is sponsored but NOT a solicitation or recommendation to buy, sell or hold the stock of the company (or companies) under discussion. We are neither licensed nor qualified to provide investment advice through this platform.

 

All pictures are copyright to their respective owner(s).Kalkinemedia.com does not claim ownership of any of the pictures displayed on this website unless stated otherwise. Some of the images used on this website are taken from the web and are believed to be in public domain. We have used reasonable efforts to accredit the source (public domain/CC0 status) to where it was found and indicated it below the image.

 

Which stock gained the most attention in 2019? Find out in our exclusive report on the much talked about lithium stocks which gained the most investor attention amidst the volatile and high drama electric vehicle market.

Read about the shift in the Electric Vehicle market in 2020 and the consequent focus on Lithium in our report.

Get an insight into the lithium prices and the trends. The supply glut kept the lithium prices in check. The escalated bilateral trade dispute between the United States and China significantly impacted the lithium chemical prices.

Understand the performance of mining companies. The lithium mining companies managed to sail through the turbulent white gold market by limiting the production in correspondence with the demand from the offtake partners.

CLICK HERE FOR YOUR FREE REPORT!
   
x
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK