Exploration Risks Loom as Constellation Targets Untested Hydrogen and Copper Zones

Constellation Resources advances its exploration in Western Australia with encouraging natural hydrogen and copper-gold findings, supported by CSIRO studies and a $2.1 million capital raise.

  • Extensive natural hydrogen project area across three major basins in WA
  • CSIRO confirms presence of hydrogen, helium, and associated gases in drill cores
  • Strong total organic carbon values indicating potential for thermogenic hydrogen generation
  • New copper-gold soil anomaly identified at Ularring with upcoming drilling funded by government grant
  • Successful $2.1 million entitlement and shortfall offer strengthens financial position
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Expanding Frontiers in Natural Hydrogen Exploration

Constellation Resources Limited has reported significant progress in its natural hydrogen exploration projects across Western Australia, focusing on the vast Edmund-Collier, Yerrida, and Ashburton Basins. Spanning an impressive 87,602 square kilometres, these projects are strategically located near the Goldfields Gas Pipeline and major industrial consumers, including iron ore mines exploring green steel production pathways.

Recent studies by CSIRO have provided compelling evidence of naturally occurring hydrogen, helium, and associated gases trapped within drill core samples from historic mineral exploration. These findings, partially funded by a Co-Funded Energy Analysis Grant, suggest active generation and migration of these gases within the basins, marking a first-of-its-kind opportunity in the region.

Geological Insights and Seismic Advances

Constellation’s reprocessing of a 2010 Geoscience Australia seismic line has revealed organic-rich formations extending across the Edmund-Collier Basin, with thicknesses increasing significantly in key structural features. These formations exhibit thermal maturity conducive to large-scale natural hydrogen generation, supported by strong total organic carbon (TOC) values from diamond drill holes, some averaging above 5%, well above the threshold considered excellent for hydrogen potential.

The identification of deep regional faults and potential traps further enhances the prospectivity of these basins. The company plans to initiate soil gas sampling programs to detect surface gas seepage, a low-cost method to validate subsurface hydrogen accumulations, leveraging advanced handheld gas detection technology.

Copper-Gold Potential at Ularring

Alongside its hydrogen ventures, Constellation is advancing the Ularring Copper Gold Project, located northeast of Perth within a region known for major intrusion-related deposits. The discovery of a robust 1.3km by 0.45km gold-copper soil anomaly named Chatham, identified through a detailed soil sampling program, has attracted an Exploration Incentive Scheme grant to fund upcoming drilling. This anomaly, coupled with a coincident electromagnetic signature, points to a promising target that has yet to be drill tested.

Financial and Corporate Developments

Financially, the company bolstered its position by raising $2.1 million through a non-renounceable entitlement and shortfall offer, providing the necessary capital to advance exploration activities. Constellation continues to engage with stakeholders and regulatory bodies to secure approvals for ground activities, emphasizing a methodical approach to exploration and environmental compliance.

While no production activities have commenced, the company’s strategic focus on early-stage exploration in underexplored basins positions it well to capitalize on the growing global demand for clean hydrogen and critical metals.

Bottom Line?

Constellation’s pioneering exploration efforts in natural hydrogen and copper-gold could redefine resource opportunities in Western Australia, with upcoming drilling programs set to test these promising targets.

Questions in the middle?

  • Will upcoming drilling at the Chatham anomaly confirm a commercially viable copper-gold deposit?
  • How quickly can Constellation advance from exploration to development in its natural hydrogen projects?
  • What impact will evolving hydrogen infrastructure policies in Western Australia have on project viability?