Full Ownership Brings Bryah Iron Ore Project Closer to Production—but Risks Remain
Alchemy Resources has acquired the remaining 50% stake in the Bryah Iron Ore Project, consolidating full ownership and advancing plans for maiden drilling after confirming high-grade iron ore outcrops.
- Acquisition of remaining 50% iron ore rights for $75,000 cash plus royalty
- High-grade hematite assays up to 65.9% Fe and calcined Fe grades to 67.4%
- Extensive banded iron formations with outcrops up to 80m wide and 2km strike
- Permitting advanced with heritage surveys complete and drilling logistics underway
- Strategic location near Great Northern Highway and major sector players
Full Control Secured
Alchemy Resources Limited (ASX, ALY) has taken a significant step in its iron ore ambitions by acquiring the remaining 50% interest in the Bryah Iron Ore Project’s iron ore rights from Carey Mining Pty Ltd. For a modest cash consideration of $75,000 plus a tiered royalty on iron ore sales, Alchemy now holds 100% ownership of the iron ore rights across multiple tenements in the Bryah Basin, Western Australia.
This consolidation simplifies project management and aligns exploration and development strategies under a single operator, potentially accelerating progress toward production.
Promising High-Grade Mineralisation
Fieldwork conducted in 2024 has revealed extensive banded iron formations (BIF) with outcropping hematite lenses ranging from 10 to 80 metres in width and extending over 2 kilometres in strike length. Rock-chip assays from these outcrops have returned impressive iron grades, with some samples reaching up to 65.9% Fe and calcined iron grades as high as 67.4% Fe. These grades are notable for their potential as direct shipping ore (DSO), which could reduce processing costs and improve project economics.
Importantly, these high-grade zones remain undrilled, presenting a compelling exploration upside. The Valley Bore prospect, in particular, stands out with its granted mining lease and proximity to infrastructure.
Advancing Toward Drilling and Development
Alchemy has made significant progress on permitting, with approved Programs of Work and completed heritage surveys. Logistics planning for a maiden drilling program is underway, signaling the company’s intent to rapidly advance the project’s resource definition.
Strategically, the Bryah Iron Ore Project is located just 12 kilometres from the Great Northern Highway, a major transport corridor, and is surrounded by established players in the iron ore sector. This positioning enhances the project's attractiveness for future development and potential partnerships.
Historical Context and Future Outlook
The iron ore potential of the Robinson Range, where Bryah is situated, has been recognized since the 1970s. Alchemy’s previous exploration campaigns in 2008 and 2009 laid the groundwork by identifying high-grade hematite mineralisation with low deleterious elements, reinforcing the project's quality.
Looking ahead, Alchemy plans to finalize drill program preparations at Valley Bore and extend exploration efforts to delineate further mineralisation along strike and at the Old Highway prospect. These steps will be critical in upgrading the project’s resource base and attracting development capital.
Bottom Line?
With full ownership secured and high-grade iron ore confirmed, Alchemy is poised to unlock Bryah’s value through imminent drilling and exploration.
Questions in the middle?
- What will the maiden drilling results reveal about the extent and continuity of the high-grade iron ore?
- How will the royalty agreement impact the project's long-term profitability and financing options?
- What are the timelines and potential hurdles for moving from exploration to production at Bryah?
