Funding Tightness Poses Challenge as Miramar Advances High-Potential WA Exploration
Miramar Resources reports encouraging drilling and sampling results across multiple Western Australian projects, reinforcing its strategic focus on nickel-copper-cobalt-PGE and sedimentary exhalative mineralisation.
- Mount Vernon drilling confirms mafic cumulate rocks with pentlandite and chalcopyrite
- Chain Pool soil sampling reveals SEDEX-style Pb-Cu-Zn-Ag mineralisation extending under cover
- Reinterpretation at Whaleshark identifies IOCG alteration signatures akin to major SA deposits
- Gidji JV seismic and multi-element data reprocessing underway to refine gold targets
- Company rationalises tenements, focusing on high-potential Bangemall and Chain Pool areas
Exploration Highlights in the Bangemall Region
Miramar Resources Ltd (ASX: M2R) has delivered a robust quarterly update for the period ending 31 December 2024, showcasing significant progress in its exploration portfolio across Western Australia. The standout results come from the Bangemall Ni-Cu-Co-PGE Projects, where recent reverse circulation (RC) drilling at Mount Vernon intersected differentiated dolerite sills containing mafic cumulate rocks. Micro-XRF analysis confirmed the presence of key sulphide minerals pentlandite and chalcopyrite, hallmark indicators of magmatic nickel-copper mineralisation.
Executive Chairman Allan Kelly emphasised the strategic targeting of Norilsk-style magmatic systems, noting that the new data validates the company’s approach and underpins the potential for a large-scale deposit. The company is advancing plans for a diamond drill hole at the high-priority Trouble Bore target, supported by Western Australia’s Exploration Incentive Scheme (EIS), alongside further geophysical surveys and mineralogical studies.
Chain Pool Project: SEDEX Mineralisation Confirmed
At Chain Pool, located in the Gascoyne region, Miramar completed a comprehensive soil sampling program that delineated geochemical anomalies consistent with sedimentary exhalative (SEDEX) mineralisation. The Joy Helen prospect, historically known for high-grade copper, lead, zinc, and silver mineralisation, shows signs of extending northeast beneath shallow cover, supported by alteration halos analogous to those at the Lady Loretta deposit in Queensland.
This systematic exploration effort, including rock chip sampling and planned maiden aircore drilling, aims to better define the extent and continuity of the mineralised system, potentially unlocking a new sediment-hosted base metal resource in the region.
Eastern Goldfields and Whaleshark Projects: Data Reinterpretation and Target Refinement
Miramar’s Eastern Goldfields projects continue to be a focus, with the Gidji JV (80% owned) undergoing detailed reprocessing of regional 2-D seismic lines to refine structural interpretations of the Boorara Shear Zone. Concurrently, a re-interpretation of multi-element drill results from over 3,200 holes, including more than 900 aircore holes drilled since 2020, is underway to reprioritise targets for 2025 drilling campaigns.
Meanwhile, at the Whaleshark Project near Onslow, reinterpretation of aircore end-of-hole geochemical data has identified alteration signatures comparable to those at the Prominent Hill and Carrapateena iron oxide copper-gold (IOCG) deposits in South Australia. The company plans to expand aircore drilling and explore hydrogeochemical sampling techniques to enhance target definition.
Portfolio Rationalisation and Financial Position
Miramar has rationalised its tenement holdings, withdrawing less prospective applications and focusing on high-potential areas such as Mount Vernon, Trouble Bore, and Chain Pool. This strategic pruning aims to concentrate resources on projects with the strongest geological indicators.
Financially, the company ended the quarter with approximately $215,000 in cash and holds minor investments valued at around $23,700. Exploration expenditure remains the dominant cash outflow, averaging about 71% of cashflow since listing. Miramar is actively assessing its capital requirements for upcoming programs and anticipates receiving government refunds related to drilling campaigns, which should provide some near-term financial relief.
Discussions are ongoing regarding potential divestments of some Eastern Goldfields assets, reflecting a pragmatic approach to funding and portfolio management amid a challenging market environment.
Looking Ahead
For 2025, Miramar plans to advance its exploration agenda with further seismic data processing, passive seismic surveys at Glandore, diamond drilling at Trouble Bore, and expanded geochemical and geophysical programs across its Capricorn Orogen projects. These initiatives, contingent on funding and approvals, aim to build on the promising groundwork laid in 2024.
Bottom Line?
Miramar’s focused exploration and strategic portfolio management set the stage for critical discoveries, but funding constraints will test its momentum in 2025.
Questions in the middle?
- Will Miramar secure sufficient funding to sustain its aggressive exploration plans in 2025?
- How will the reinterpretation of seismic and geochemical data at Gidji JV influence upcoming drilling targets?
- Can the SEDEX mineralisation at Chain Pool be extended and economically defined through planned drilling?