Trinex’s Dudley Lithium Project Poised for Drill Test Amid Cash Constraints

Exploration Momentum Builds at Dudley Lithium Project

Trinex Minerals Limited (ASX: TX3) has reported a series of encouraging developments in its December 2024 Quarterly Activities Report, centered on the Dudley Lithium Project located on Kangaroo Island, South Australia. The company holds an option to acquire up to a 90% interest in this highly prospective lithium asset, which features multiple pegmatite systems extending over six kilometres with surface thicknesses up to 80 metres.

During the quarter, Trinex executed a Key Landowner Access and Compensation Agreement, a critical milestone that facilitates advanced exploration activities on priority targets. This agreement underpins the company’s submission of an Exploration Program for Environment Protection and Rehabilitation (E-PEPR) application, seeking approval for Reverse Circulation (RC) drilling. Drilling is anticipated to commence in the March 2025 quarter, marking a transition from surface sampling to subsurface testing.

Soil Sampling Reveals Multiple Lithium Anomalies

In late November 2024, Trinex completed an extensive soil sampling program, collecting 1,200 samples across the most prospective areas of the Dudley project. The samples were analyzed using the Mobile Metal Ion (MMI) technique, which is adept at detecting highly mobile elements such as lithium (Li), rubidium (Rb), and caesium (Cs) within weathered soil profiles.

Results released subsequent to the quarter-end revealed strong anomalies not only coincident with the known 80-metre thick Dudley Pegmatite but also across numerous other targets (T1-14) within the project area. These anomalies include elevated levels of lithium and multiple pathfinder elements such as tantalum (Ta), niobium (Nb), tin (Sn), tungsten (W), and bismuth (Bi). The presence of these elements, especially in areas with limited outcrop, suggests the existence of previously unrecognized fractionated pegmatites, enhancing the project's exploration upside.

Strategic Corporate Developments and Financial Position

On the corporate front, Trinex announced a leadership transition with Ms Su-Mei Sain stepping down as Executive Director to assume a Non-Executive Director role while retaining her position as Company Secretary. This change aligns with the company’s ongoing cash flow management strategy, which also includes a 15% pay reduction for Managing Director Will Dix effective December 2024.

Financially, Trinex reported a cash balance of A$0.78 million at the end of December 2024, with approximately A$451,000 spent on exploration and evaluation activities during the quarter. The company’s prudent financial management will be critical as it advances drilling programs and further exploration initiatives.

Broader Lithium Portfolio and Next Steps

Beyond Dudley, Trinex continues to expand its lithium footprint with projects in the Northwest Territories, Canada, including the Halo-Yuri and East Yellowknife Lithium Projects. The company is progressing permitting for drilling in Canada, with fieldwork expected to commence in the 2025 summer season.

Back at Dudley, the immediate focus is on finalizing target rankings from the soil geochemistry data and commencing RC drilling to test the pegmatites and associated anomalies at depth. The drilling program aims to penetrate the weathered profile, reaching fresh rock where lithium mineralization is more likely to be preserved.

Trinex’s methodical approach, combining strategic land access, advanced geochemical techniques, and planned drilling, positions the company well to unlock value from the Dudley Lithium Project. The upcoming drilling results will be pivotal in confirming the extent and grade of lithium mineralization, potentially enhancing Trinex’s standing in the competitive lithium exploration sector.