Estrella Resources has reported significant manganese discoveries in Timor-Leste, highlighted by exceptional rock chip assays and promising geophysical survey results. The company is advancing towards its first drilling campaign, backed by recent capital raising.
- Discovery of two new supergene manganese zones at Ira Miri and Sica
- Rock chip assays from Sica and Lalena prospects show manganese grades up to 58%
- Induced Polarisation (IP) surveys identify low resistivity anomalies supporting mineralisation targets
- Preparation underway for reverse circulation (RC) drilling in early 2025
- Successful $1.25 million placement strengthens funding for exploration activities
Exploration Breakthroughs in Timor-Leste
Estrella Resources Limited (ASX: ESR) has delivered a compelling update on its manganese exploration activities in Timor-Leste, revealing two significant new supergene manganese discoveries within its Lautém Exploration Licenses. The Ira Miri and Sica prospects, located approximately 4.5 kilometres apart, have been identified through a refined geological model that integrates stratigraphy with mineralisation styles, enhancing the company's ability to predict high-grade manganese zones.
These discoveries are particularly notable for their in-situ secondary supergene manganese mineralisation, a form that typically offers both higher grades and larger deposit potential compared to primary manganese sources. At Ira Miri, initial pXRF readings indicate manganese oxide concentrations of up to 63.4%, while rock chip assays from Sica and the nearby Lalena prospect have returned grades ranging from 19% to 58% manganese, underscoring the quality of the mineralisation.
Geophysical Surveys Bolster Targeting
Complementing the geological findings, Estrella has employed Induced Polarisation (IP) geophysical trials at key prospects including Samalari, Sica, and Ira Miri. These surveys have detected low resistivity anomalies consistent with supergene manganese mineralisation beneath surface cover, providing robust targets for upcoming drilling programs. Notably, the IP data at Ira Miri aligns well with surface outcrops, suggesting continuity of mineralisation at depth.
The use of IP technology marks a pioneering approach in Timor-Leste’s manganese exploration, with Estrella operating the FlashRes Universal 64 system locally, leveraging in-country expertise. This integration of geophysical and geological data is expected to significantly de-risk the exploration process ahead of drilling.
Advancing Towards Drilling and Development
With exploration momentum building, Estrella is preparing for reverse circulation (RC) drilling campaigns targeted for the first half of 2025. The drilling will focus on the most promising prospects identified through mapping and IP surveys, including Samalari, Ira Miri, Sica, and Lalena. The company has secured essential drilling equipment and logistics support, including a track carrier and sampling systems sourced from Vietnam and Australia, positioning it well for efficient field operations post-wet season.
Estrella’s Managing Director, Christopher Daws, emphasised the strategic importance of these developments, highlighting the potential for establishing mineable manganese resources in a previously underexplored jurisdiction. The company’s partnership with Murak Rai Timor E.P. further strengthens its local presence and operational capabilities.
Financial Position and Corporate Updates
Financially, Estrella has fortified its position through a $1.25 million placement completed during the quarter, primarily to fund ongoing exploration and the imminent drilling program. The company ended December 2024 with $728,000 in cash, maintaining sufficient liquidity to support near-term activities. Director remuneration and corporate costs remain controlled, reflecting prudent capital management.
Additionally, Estrella has joined the International Manganese Institute, aligning itself with global industry stakeholders and gaining access to broader market insights and technical resources. The company continues to maintain its Carr Boyd Nickel Project in Western Australia on a care and maintenance basis, with potential future drilling contingent on exploration results and market conditions.
Outlook and Market Implications
Estrella’s recent discoveries and methodical exploration approach position it as a notable emerging player in manganese exploration within Southeast Asia. The high-grade assays and geophysical anomalies provide a strong foundation for resource definition, while the company’s engagement with local partners and regulatory bodies suggests a thoughtful approach to sustainable development.
Investors will be watching closely as assay results from Ira Miri and further drilling outcomes become available, which will be critical in validating the scale and economic potential of these manganese deposits. The company’s ability to navigate environmental approvals and community engagement will also be key factors influencing its progress.
Bottom Line?
Estrella’s manganese discoveries in Timor-Leste mark a promising start to 2025, with drilling campaigns set to unlock the next phase of exploration and potential resource development.
Questions in the middle?
- Will upcoming drilling confirm the extent and grade continuity of the supergene manganese deposits?
- How will Estrella manage environmental and cultural approvals to maintain exploration momentum?
- What are the implications of joining the International Manganese Institute for Estrella’s market positioning?