- Platina Resources is awaiting final assay results from soil sampling programs at the Challa Gold Project, after which, a maiden rotary air-blast (RAB) drilling program is planned.
- The Company has acquired a new Western Australia-based highly prospective asset, Xanadu Gold Project.
- PGM had AU$3.44 million in cash at the end of March 2021.
Platina Resources Limited (ASX:PGM) has recently released its quarterly activity report for the period ended 31 March 2021, highlighting exciting developments with a strategic focus on Western Australian gold.
The Company’s activities during the period were primarily focused on the Challa Gold Project. Also, subsequent to the end of the quarter, the Company signed a conditional term sheet to acquire the Xanadu Gold Project in WA.
Challa Soil Sampling Programs Completed
During the March quarter, the Company progressed with reconnaissance and soil sampling programs at the project. PGM is testing the soil sampling technique as a methodology to identify gold anomalies over potential gold systems at depth.
Since the beginning of exploration in November 2020, over 1,880 soil samples have been finalised.
With the final soil program completed in mid-April, the Company is awaiting the assay report. After which, it plans to commence a maiden rotary-air-blast (RAB) drilling program at the project to target various prospects generated by the soil sampling programs.
Xanadu Gold Project Acquired
In line with its strategy to focus on gold projects in Western Australia, the Company added a new gold project to its portfolio.
The Xanadu Gold Project in the Ashburton Basin in Western Australia lies in close proximity to the Mt Olympus gold deposit (containing 1.65Mozs)
Spread over an area of 498 sq km, Xanadu holds five exploration licences and seven prospecting licences. The project has immense appeal, owing to the number and width of economic-grade gold drill intercepts. What adds to the excitement is that these intercepts have never undergone a systematic exploration.
Image source: PGM update, dated 15 April 2021
Platina's exploration strategy would initially comprise low-cost geochemistry and geophysics to build a better understanding of the project potential, as well as to define both shallow and deeper targets for drilling.
To know more, read here: New Project Acquisition to Add Lustre to Platina Resources’ (ASX:PGM) Gold Portfolio
Other Operational Highlights
Munni Munni Platinum Group Metals & Gold Project - The project is located in the Pilbara region of WA. PGM has a 30% interest in the project, which is a JV with Artemis Resources Ltd (Operator).
During the end of February, PGM updated the market about the Supreme Court verdict on its proceedings against Artemis.
Detailed Discussion at: Platina Resources (ASX:PGM) Hails Supreme Court Ruling in Munni Munni Case
Mt Narryer Project - The project is located 580km north of Perth. PGM is awaiting the Western Australian Mines Department's approval for the exploration licence (E 09/2423) at Mt Narryer South to commence a planned soil sampling program.
Platina Scandium Project – The company is currently looking for offtake agreements to enable financing options for the New South Wales-based project.
Major Precious Metals’ Shares Sold - PGM also sold 6 million shares of Major Precious Metals for AU$2.74 million. The Company retains 49 million Major Precious’ shares valued at C$23 million.
Other Investments - PGM has 6 million shares each in Nelson Resources Limited (ASX: NES) and TSXV-listed Blue Moon Zinc.
Cash Position - At the end of the quarter, PGM had AU$3.44 million in cash, including Major share sale proceeds. The investments totalled AU$25.7 million.
PGM was trading 12.962% higher to AU$0.061 on 23 April 2021 (AEST 11:20 AM).