How Neometals’ Barrambie Gold and Lithium Tech Deals Could Reshape Its Future

Barrambie Gold Project Milestone

Neometals Ltd has marked a significant step forward in its Barrambie Gold Project with the completion of the first Mineral Resource Estimate (MRE) for the Ironclad deposit. The inferred resource stands at 250,000 tonnes grading 1.6 grams per tonne of gold, equating to approximately 13,000 ounces. This maiden estimate substantiates historic data and aligns with the company’s strategy to prioritise near-surface mineralisation for potential development.

Alongside this, Neometals completed a diamond drilling program comprising eight holes totaling 760 meters at Ironclad and the nearby Mystery prospect. While assay results are pending, these efforts are part of a broader exploration campaign aimed at unlocking the potential of the 40-kilometer greenstone belt within the Barrambie tenure, an area with limited modern exploration since the 1990s.

Strategic Moves in Titanium and Vanadium

In parallel with gold exploration, Neometals continues discussions regarding the divestment of its Barrambie titanium and vanadium assets. The Barrambie Ti-V Project boasts one of the world’s largest and highest-grade vanadiferous titanomagnetite mineral resources, positioning it as a valuable asset. The company’s focus on divestment suggests a strategic reallocation of capital towards its core growth areas.

Downstream Processing and Technology Collaborations

On the technology front, Neometals’ lithium chemicals division, operating through Reed Advanced Materials (RAM), has entered a non-binding Memorandum of Understanding with Rio Tinto. This agreement aims to explore collaboration opportunities to optimise and industrially validate the ELi Process™, a patented electrolysis-based method for producing lithium hydroxide and carbonate with potentially lower costs and carbon footprint. This partnership could accelerate the commercialisation of the ELi Process, leveraging Rio Tinto’s Rincon brine resource and global expertise.

Meanwhile, the lithium-ion battery recycling joint venture Primobius GmbH, co-owned with SMS group GmbH, is advancing the installation and commissioning of a 2,500 tonnes per annum recycling plant at the Mercedes-Benz site in Germany. Concurrently, process improvements and testing continue at the Hilchenbach facility, enhancing the production of intermediate products from battery waste streams. Primobius also expanded its technology portfolio through a strategic partnership with Duesenfeld GmbH, integrating patented dry-shredding technology into future recycling plants.

Vanadium Recovery Project Progress

Neometals’ Vanadium Recovery Project (VRP), operated via Recycling Industries Scandinavia AB, is progressing its financing phase with multiple parties engaged in the project data room. The project targets the production of high-purity vanadium pentoxide from steelmaking slag by-products, aiming for low operating costs and a reduced carbon footprint. The company’s approach to commercialisation through technology licensing reflects a broader trend of leveraging intellectual property to scale sustainable materials production.

Financial Position and Outlook

At quarter-end, Neometals reported a cash balance of A$4.4 million, alongside investments and receivables totaling A$11.0 million, with no debt on the balance sheet. The company’s cash flow reflected ongoing investment in exploration and technology development, with net operating cash outflows consistent with its growth phase. Neometals also holds significant equity stakes in related battery recycling and metals companies, including a 26% holding in Redivium Ltd and an 18% stake in Critical Metals Ltd.

Looking ahead, the company is preparing for mining lease applications at Ironclad, awaiting assay results from recent drilling, and advancing partnerships to validate and commercialise its lithium and vanadium technologies. These developments position Neometals at the intersection of critical mineral exploration and sustainable processing innovation.