- Podium Minerals Limited, a PGM focused company, has made significant progress at its Parks Reef project over the period of time.
- Substantial base metal results, as well as PGM results, have been achieved since the beginning of the current year.
- Podium plans to begin drill programs at the project in July and has undertaken a capital raising to advance its growth strategy at the Parks Reef PGM Project.
After a decent start, the year 2020 unfolded COVID-19 as the most powerful force bringing the dislocation in the worldwide economy. So far, companies have been struggling, and markets have been reflecting mixed sentiments.
However, for several mining and resources companies, the journey throughout 2020 has been relatively better as they explore and identify fresh mineral resource potential at their projects and undertake significant developmental activities at their projects.
Let us look at the journey of one of the ASX-listed exploration and resources development company, Podium Minerals Limited (ASX:POD), at its Parks Reef PGM Project so far in the year 2020.
Significant Base Metal Results Extend Mineralised Widths
After reporting the second set of platinum group metal (PGM) and gold results from its Q4-2019 drilling programme December 2019, POD further added the base metal results to these intercepts. The base metals added significant credits to the platinum group metal (PGM) and gold results and offered further confidence in the resource potential of Parks Reef.
The Q4-2019 drilling program showed significant mineralisation consistently intersected in the main PGM Horizon of Parks Reef. Moreover, Multi-element assays were completed for all the drill holes which demonstrated a horizon of base metal and gold enrichment in the hanging wall above and overlapping with the upper layer of the main PGM Horizon including:
POD was optimistic that the base metals should provide the potential for further revenue and mining efficiencies.
54% Growth in Parks Reef Resources
POD managed to reach another milestone through its systematic approach to drilling that allowed to efficiently compile a substantial resource base while building confidence in the ultimate potential of Parks Reef.
The drilling took the Company well beyond the one million-ounce milestone. This was seen to lay the foundations for further stages of POD’s work with further resource extensions along with test work and engineering to define a pathway to production for the project.
With contained metals increasing to a total of 1,140,000 ounces of combined platinum, palladium and gold and base metal credits with 37,300 tonnes copper, POD made a significant improvement in the Mineral Resource estimates for Parks Reef.
Source: Company's Report
Moreover, POD was optimistic about the positive outlook for the PGM market with continued price increases that were driven by strong market fundamentals.
Concentration of Rhodium High-Value Rhodium Identified at Parks Reef
Towards the end of February, POD identified a consistent concentration of rhodium in the footwall of Parks Reef through the re-assay of samples from the Company’s drilling programmes. POD re-assayed samples from seven drill holes from the western and eastern sectors of Parks Reef for rhodium.
All drill holes that were tested exhibited a concentration of rhodium in the footwall of Parks Reef corresponding to the lower portion of the main PGM horizon, including footwall concentration as follows:
Identification of Rhodium was a significant upside for POD as it is one of the platinum group metals and is the preferred material to initiate the reduction of nitrogen oxides to harmless nitrogen. Moreover, prices for rhodium have been escalating over the years on the back of increased demand for the metal.
More importantly, there was a 10% increase in demand for rhodium during 2019 as a result of more stringent vehicle emission regulations being adopted in most major auto markets.
Resource Drilling Commencement at Parks Reef
POD shared its plans to commence resource drilling at the Parks Reef PGM Project in July with a view to grow and enhance the current Mineral Resources which presently stands at 1.14Moz 3E PGM plus 37kt Copper.
POD aims to define a continuous 6.1km long resource block in the western half of Parks Reef and increase the extent of total resources to a combined length of 8.5km through the drill programme.
On the back of the opportunity for the deposit to host a substantial platinum group metal (PGM) resource, POD seeks to progress with its growth strategy for Parks Reef with clear work programmes. The programmes are aimed at defining a credible pathway to production, including the following:
Oversubscribed Share Purchase Plan Completed
By the end of June 2020, POD successfully closed a heavily oversubscribed Share Purchase Plan with valid applications of $1,040,000 received for the planned SPP worth $500,000.
POD shall utilise the funds to advance its growth strategy at its 100% owned extensive Parks Reef PGM Project with clear work programmes to define a credible pathway to production.
POD acknowledged the exceptional response to the Share Placement Plan by shareholders and is optimistic that the funds raised shall help to advance its work programmes while strengthening its position.
On 20 July 2020, POD stock was noted at $0.038 with a market capitalisation of $9.83 million. During the past three months till 17 July 2020, POD has delivered 100% returns to its shareholders.