Neometals has reported promising gold assay results from its Barrambie drilling program and secured substantial conditional funding for its Vanadium Recovery Project in Finland, while progressing new critical minerals opportunities in the US.
- Completed 8,457m drilling at Barrambie Gold Project with high-grade gold intercepts
- Positive metallurgical test results indicate up to 98% gold recovery at Ironclad deposit
- Signed non-binding LOI for potential open-pit mining joint venture at Ironclad
- Secured conditional €48.7M grant and additional €1.5M investment for Vanadium Recovery Project in Finland
- Entered exclusivity agreement to explore lithium-potassium brines in Utah, USA
Barrambie Gold Project Drilling Delivers Encouraging Results
Neometals Ltd has made significant strides in its Barrambie Gold Project, located in Western Australia's prolific Murchison region. During the December 2025 quarter, the company completed an extensive reverse circulation drilling program totaling 8,457 metres across multiple targets including the Barrambie Ranges gold trend, the Ironclad deposit, and the historic Mystery mine. Early assay results have revealed high-grade gold intervals, such as 5 metres at 5.64 grams per tonne and 2 metres at 11.75 grams per tonne, underscoring the project's potential for narrow-vein, high-grade mineralisation.
Complementing these exploration efforts, metallurgical sighter test work on the Ironclad deposit yielded promising outcomes with gravity gold recoveries reaching up to 71% and overall recoveries as high as 98%. These results suggest a straightforward, low-risk processing route that could enhance project economics.
Strategic Joint Venture Talks and Resource Updates
In a strategic move, Neometals signed a non-binding Letter of Intent with BML Ventures Pty Ltd to negotiate a potential production joint venture focused on developing the Ironclad Gold Deposit via open-pit mining. The proposed arrangement envisages a 50 – 50 profit sharing after BML Ventures recovers its costs, with a 90-day exclusivity period set for due diligence and finalising agreements. An updated Mineral Resource Estimate and mine plan for Ironclad are anticipated in the March quarter, which will provide further clarity on the project's viability.
Downstream Technologies and Vanadium Project Funding
On the downstream processing front, Neometals continues to advance its lithium chemicals technology through Reed Advanced Materials Pty Ltd, progressing discussions with potential partners and licensees for its patented ELi Process™. This technology promises lower operating costs and reduced carbon footprint in lithium hydroxide and carbonate production.
Meanwhile, the Vanadium Recovery Project 1 in Pori, Finland, has received a conditional grant approval of approximately A$86.8 million from Business Finland, significantly de-risking the project's financing. Additional investment of around A$2.7 million from EIT RawMaterials GmbH aims to support technical work to enhance project economics. Neometals is working with Nordic bank SEB and EIT RawMaterials to secure the remaining equity and debt financing, although it expects its equity stake to dilute as it does not plan further material funding.
Exploring New Frontiers in US Critical Minerals
Expanding its footprint, Neometals entered an exclusivity and option agreement with Omaha Value, Inc. to evaluate lithium and potassium brines in the Paradox Basin, Utah. This opportunity leverages existing oilfield infrastructure to potentially accelerate and reduce the cost of exploration in a top-ranked mining jurisdiction. The company has secured an exclusivity period to complete due diligence and negotiate definitive access agreements, with historic data indicating promising brine chemistry.
Financial Position and Corporate Developments
Neometals ended the quarter with a cash balance of A$6.4 million, no debt, and investments and receivables totaling A$2.5 million. The company is actively exploring options to raise additional funds to support ongoing operations and strategic initiatives. On the corporate front, Gregory Evans was appointed as an Independent Non-Executive Director, while two non-executive directors retired following the 2025 Annual General Meeting.
Bottom Line?
Neometals’ multi-pronged approach in exploration, technology, and strategic partnerships sets the stage for pivotal developments in 2026, but funding and execution risks remain key watchpoints.
Questions in the middle?
- Will the Ironclad joint venture progress to a definitive agreement and production decision?
- How will Neometals manage dilution risk as it scales the Vanadium Recovery Project financing?
- What are the timelines and commercial prospects for the US lithium-potassium brine exploration?