Hawk Resources Raises $5M to Unlock Massive Scandium Potential at Olympus
Hawk Resources has raised A$5 million and secured an option to earn up to 80% of the Olympus Scandium Project in Western Australia, aiming to advance exploration of a large-scale scandium anomaly in a Tier-1 jurisdiction.
- A$5 million placement completed with strong institutional support
- Option to earn 80% interest in Olympus Scandium Project, WA
- Historical data reveals a 7km × 4km scandium soil anomaly with high grades
- Scandium’s strategic importance in advanced alloys and clean energy
- Next steps include permit acquisition, confirmatory assays, and drilling
Strategic Capital Raise and Acquisition
Hawk Resources Limited (ASX, HWK) has successfully completed a A$5 million placement, bolstering its balance sheet to pursue critical minerals exploration. The funds will primarily support advancing drilling at its Cactus copper-gold project in Utah and de-risking the Olympus Scandium Project in Western Australia’s West Musgrave region. The company has also secured a binding Heads of Agreement to acquire an option to earn up to 80% of the Olympus project, a significant step in expanding its critical minerals portfolio.
Olympus, A Large-Scale Scandium Opportunity
The Olympus project hosts a substantial scandium anomaly spanning approximately 7 kilometers by 4 kilometers, identified through historical portable X-ray fluorescence (pXRF) soil sampling and shallow RAB drilling conducted by Redstone Resources between 2001 and 2009. Select drill intercepts have returned impressive scandium grades, including intervals up to 11 meters at 934 ppm and peak 1-meter samples exceeding 2,000 ppm scandium. While previous exploration focused on copper, nickel, cobalt, and precious metals, scandium was not targeted, leaving significant upside for Hawk to apply modern quality assurance and control to validate and expand these findings.
Scandium’s Strategic Role and Market Context
Scandium is a rare and critical metal prized for its ability to strengthen and lighten aluminium alloys, with applications spanning automotive, aerospace, defence, and emerging clean energy technologies such as solid oxide fuel cells. It also plays a role in next-generation 5G and 6G telecommunications infrastructure. Global supply is constrained, primarily sourced as a by-product from nickel and titanium mining, making new, scalable sources like Olympus strategically valuable. The metal commands a premium price, with current market quotes exceeding US$3,000 per kilogram.
Path Forward, De-Risking and Development Plans
Hawk’s immediate plans for Olympus include securing permits to enter traditional lands, conducting confirmatory laboratory assays to validate historical pXRF results, and initiating systematic drilling to assess mineralisation continuity and thickness. The acquisition terms include milestone payments tied to drilling success and resource definition, alongside a royalty agreement with the original tenement holder. The project benefits from tenure security and accessible infrastructure, situated in a Tier-1 mining jurisdiction known for stable regulatory frameworks.
Broader Portfolio and Leadership
Alongside Olympus, Hawk is advancing its Cactus copper project in Utah and holds lithium assets in Brazil, positioning the company at the nexus of critical minerals demand. Led by Managing Director Scott Caithness, a seasoned exploration veteran, and Chairman Tom Eadie, Hawk aims to deliver near-term value from copper while building optionality in high-value critical minerals like scandium and lithium.
Bottom Line?
Hawk’s strategic capital raise and Olympus option position it to potentially unlock a rare, large-scale scandium resource in a stable jurisdiction, setting the stage for critical minerals growth.
Questions in the middle?
- How will laboratory assays compare to historical pXRF scandium results at Olympus?
- What timeline and budget will Hawk allocate to the upcoming drilling program?
- How might evolving scandium market dynamics influence Hawk’s development strategy?
