Jindalee holds a strong and diverse portfolio of projects with potential for gold, nickel, lithium, magnesite and iron ore, with several of these projects being explored by third parties at no cost to the Company. Jindalee also provides shareholders with indirect exposure to a range of commodities through our investee companies, including uranium (through Energy Metals) and gold and copper (through Alchemy Resources). New opportunities are constantly being reviewed by Jindalee’s geologists.
Lithium is listed on the critical materials lists for the US Department of Defence and South Korea, is ranked number 15 on the British Geological Survey ‘2015 Risk List’, and is one of 23 commodities in the 2017 ‘Critical Mineral Resources of the US’ report by the United States Geological Survey.
Mid 2018 Jindalee announced the acquisition of two lithium projects in the USA (McDermitt and Clayton North) where lithium is found in extensive fine grained sediments outcropping at surface. Drilling by Jindalee in 2018 and 2019 has confirmed McDermitt as one of the largest lithium deposits in the US. In Australia, Jindalee’s Widgiemooltha project has potential for pegmatite hosted lithium mineralisation, similar to that supporting the nearby Mt Marion and Bald Hill lithium mines.
Jindalee is targeting the extensions of mineralised trends where previous exploration has been minimal or interpreted to have been ineffective due to transported cover or other impediments. We believe these areas represent the “last frontier” for the discovery of large gold deposits in Australia. Jindalee is currently rebuilding its portfolio of gold projects with recent applications in the Eastern Goldfields and in the Widgiemooltha area. Jindalee also retains an indirect interest in gold through its shareholding in Alchemy Resources Limited (ASX: ALY).
Jindalee’s landholding in the Widgiemooltha district has continued to grow. The district is highly prospective for the discovery of nickel sulphide deposits and exploration targeting is well underway.
The Company’s shareholding in Alchemy Resources provides shareholders with exposure to Alchemy’s Bryah Basin gold and base metals project (WA), the Karonie gold project (WA), and a farm-in and joint venture agreement with Heron Resources Limited over properties in central NSW (the Cobar Basin/Lachlan Fold Belt and West Lynn Projects) prospective for gold, base metals and high purity alumina. Further information on Alchemy’s activities can be found in their announcements on their website.
Jindalee’s granted Exploration Licence (EL5/2016) at Prospect Ridge covers the Arthur River and Lyons River magnesite deposits, located in north-west Tasmania.
A JORC 2012 resource estimate for the Arthur River deposit was released in October 2017 with estimated Inferred resources of 25Mt @ 42.4% MgO at a cut-off grade of 40% MgO. No resources were estimated for the Lyons River deposit where drilling by Rio Tinto in the 1990’s recorded encouraging intercepts including 200m @ 42.0% MgO.
In joint venture with GWR Group, Jindalee is growing its resource base on the Joyners Find Project, which has been incorporated into the Wiluna West Project, held by GWR. Indicated and inferred resources within the joint venture ground total 7.7Mt at 63% Fe.
The Aries project is located in the central Kimberley region of Western Australia, approximately 270km east of Derby. The project comprises a granted exploration licence E80/5027 and the diamond rights on adjacent tenement E80/5117.
The project covers the Aries kimberlite cluster, including the Aries, Athena, Helena and Persephone diamondiferous kimberlite pipes. Although significant exploration was undertaken in the period from 1986 to 2005, Jindalee believes there is very good potential to find additional diamondiferous pipes and alluvial diamond deposits in the area. Encouragingly, 95% of the diamonds recovered from the project have been gem quality.
Jindalee maintains indirect exposure to uranium through its investments in uranium-focused explorer, Energy Metals Limited (ASX: EME). Energy Metals controls nine projects (total area >4,000 sq km) located in the Ngalia Basin in the Northern Territory (NT) and in Western Australia (WA). Initial exploration has concentrated on the Bigrlyi Project in NT (53.3% owned by Energy Metals), where previous drilling returned relatively high grade intercepts with excellent metallurgical recoveries. At a cut-off grade of 250ppm U3O8, the published Bigrlyi resource estimate (Indicated and Inferred) totals 29.4M lbs of U3O8. The Ngalia Basin area also hosts a number of other uranium deposits for which resources have been published by Energy Metals and these additional deposits have the potential to further extend the life of any future mining operation at Bigrlyi.
Further information on Energy Metals’ uranium projects can be found in their announcements and on their website: www.energymetals.net