Australian junior EV Resources Ltd (FRA: R1EA) (ASX: EVR) has entered the Nevada antimony (Sb) mining game with the acquisition of a past-producing project in Nye County.
It resides nine kilometres south of the Last Chance Sb operation being developed by Military Metals Corp (CNSX: MILI) (OTCMKTS: MILIF) (FRA: QN90), another historic mine with a history of production that is more well-documented. Between 1917 to 1965, Last Chance yielded over 1,750 tons of antimony metal and more than 6,100 tons of high-grade ore.
This proven rate of production in Nye County served as incentive for obtaining the site, EV has highlighted. White Pine County in the northeast is also known to have proven Sb mineralization. NevGold Corp‘s (CVE: NAU) (OTCMKTS: NAUFF) (FRA: 5E50) Limo Butte project is a key development-stage operation therein.
“Its proximity to Military Metals Corp’s Last Chance Project underscores the emerging potential of the district as a new antimony hub,” said EV Non-Executive Chairman, Shane Menere, in the ASX announcement.
He says EV is “over the moon” about it and explained that it was located in strategic proximity to the state’s newly established critical minerals stockpile. The company is “laser-focused” on antimony due to the ongoing supply shortage and unprecedented price, according to Menere.
“With assays up to 40 per cent Sb and a geological setting comparable to other world-class antimony deposits, Dollar represents an exceptional opportunity for EVR to position itself as a key player in the development of critical mineral supply chains in the United States.”
EV will be kicking off a mapping and sampling program at Dollar during this year’s fourth Quarter. The aim will be to pinpoint high-priority drill targets while delineating and extending the site’s mineralized zones.
The junior miner bought the asset from Nevada mining investment group Strategic Minerals Inc. It was provided in exchange for US$50,000 cash and a 2 per cent net smelter royalty on potential future production.
Nevada’s Jeff Mining District where the project resides is known to be rich in other critical minerals like copper and tungsten. It also holds significant silver and lead mineralization, EV has pointed out.
In tandem with the acquisition announcement, EV revealed that it has received firm commitments for C$5 million in a strategic funding round to propel its antimony ambitions in Nevada and Mexico.
Read more: GoldMining chooses to retain its NevGold shares for next 18 months
EV to supply Locksley with antimony ore
In other important news, these two ASX-listed operators have entered a non-binding ore sales agreement. The material will come from EV’s Los Lirios Sb project in Mexico’s Oaxaca state.
“We’re going to send over some samples,” Menere explained in an interview, “and Locksley Resources Ltd (OTCMKTS: LKYRF) (ASX: LKY) is going to take a look, do some test work, metallurgies and recovery with their technologies.”
In exchange for the samples, once shareholder approval has been received, Locksley will invest C$0.69 million into EV as part of the aforementioned fundraising.
“By securing near-shore feedstock alongside our fast-tracked mining plans in California, Locksley will be well positioned to accelerate the U.S. return to domestic antimony processing,” said Locksley Chairman, Pat Burke, in regard to the deal.
Read more: Antimony recovery results from NevGold’s Limo Butte project exceed expectations
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