ASX-listed BMG Resources has acquired an exclusive option for a 90% interest in three exploration licences located in a region of Western Australia where niobium and rare earth element (REE) tenure is highly sought after.
The tenements under option – to be called BMG’s Dragon niobium-REE project – include ground that abuts the tenure for the West Arunta project of WA1 Resources, where it has made the world-class Luni niobium-REE discovery.
“We are very excited by the opportunity to acquire a large landholding in the West Arunta region, including ground immediately adjacent to WA1 Resources’ significant Luni discovery and also adjacent to global major Rio Tinto.
“Since listing on the ASX in February 2022 following an IPO of its shares at $0.20 a share, WA1 has been spectacularly rewarded for its exploration success at the West Arunta with its share price now at $10.006.
“The West Arunta is under-explored elephant country where exploration investments have potential to deliver remarkable returns for investors,” said BMG nonexecutive chairperson John Prineas.
The tenements comprise the granted E80/5873 and the applications for E80/5872 and E80/5896. The tenements cover a total area of 1 470 km2. A large, contiguous landholding in the West Arunta of this scale is rare and presents an opportunity for BMG to be a dominant player in the region.
BMG’s preliminary review of the tenements under option confirms that they are prospective for carbonatite-hosted niobium and other REE mineralisation.