West Cobar Metals has kicked off metallurgical testing at its Salazar project targeting rare earth carbonate production and announced a new gallium resource, while gold exploration at Mystique confirms widespread mineralisation.
- Metallurgical testwork underway at Salazar for heap leach rare earth carbonate
- Gallium mineral resource estimate completed, adding value to Salazar project
- Gold confirmed over broad areas at Mystique with potential for major deposit
- Re-assaying at Bulla Park to address under-reported antimony grades
- Company cash position steady at $1.65 million with recent $1.5 million placement
Metallurgical Testing Targets Cost-Effective Extraction
West Cobar Metals Limited (ASX – WC1) has commenced a comprehensive metallurgical testwork program at its Salazar Critical Mineral Project in Western Australia. Conducted at the Nagrom laboratory in Perth, the program focuses on evaluating the feasibility of heap leach processing; a lower capital cost alternative to traditional tank leach methods; for extracting a mixed rare earth carbonate (MREC) product. This approach could significantly reduce upfront costs and improve project economics.
The testwork also closely monitors the potential recovery of scandium and gallium, two critical elements with growing demand in technology sectors. Results from this program will inform a scoping study planned for early 2026, which will assess the economic viability of the Salazar project’s mineral resources.
Gallium Emerges as a Valuable New Resource
Adding to the project’s appeal, West Cobar has completed a gallium mineral resource estimate, marking a notable expansion of its critical minerals portfolio. Gallium, essential for semiconductors and advanced electronics, has been identified in significant concentrations at both the Newmont and O’Connor deposits within Salazar. Intersections include up to 79.2ppm Ga2O3 over several metres, indicating promising extraction potential.
The company’s metallurgical work suggests gallium could be recovered alongside rare earths and scandium, potentially creating multiple revenue streams. Exploration continues at adjacent prospects such as Glenmorangie and Talisker, where encouraging gallium assays have also been recorded.
Gold Exploration Confirms Widespread Mineralisation at Mystique
Meanwhile, at the Mystique Gold Project in Western Australia, West Cobar’s recent air core drilling campaign has confirmed gold mineralisation over a broad area. The 66-hole program intersected gold in both saprolite and basement rocks, with anomalous values suggesting a complex regolith history and strong potential for a significant deposit at depth.
Notably, structural controls on gold mineralisation have been identified, guiding future drilling plans to better define high-grade zones. The company has also applied for an additional 639 square kilometres of prospective ground adjacent to Mystique, underscoring its commitment to expanding its gold footprint.
Bulla Park Re-Assay Program and Drilling Plans
In New South Wales, the Bulla Park Copper-Antimony Project is undergoing a re-assay program to correct previously under-reported antimony grades. Early results indicate antimony concentrations may be significantly higher than initially recorded, which could enhance the project’s resource value. West Cobar is designing a follow-up RC and diamond drilling program targeting both high-grade zones and additional tonnage within a large gravity anomaly.
Corporate and Financial Position
West Cobar reported a cash balance of $1.65 million at the end of December 2025, with no debt on its books. The company successfully raised $1.5 million through a placement to sophisticated investors in November 2025, providing funds to advance its exploration and development activities. Leadership changes include the appointment of Lincoln Liu as Non-Executive Chairman, succeeding Mark Bolton who remains on the board.
Overall, West Cobar’s quarterly update reflects steady progress across multiple projects, with critical mineral and gold exploration advancing in tandem. The integration of gallium into the Salazar resource portfolio adds a new dimension to the company’s strategic positioning in the critical minerals sector.
Bottom Line?
As metallurgical results and drilling programs unfold, West Cobar’s evolving resource base could reshape its market prospects in critical minerals and gold.
Questions in the middle?
- Will heap leach processing prove economically viable for Salazar’s rare earths and co-products?
- How materially will the revised antimony grades impact the Bulla Park resource and project economics?
- What scale of gold deposit might Mystique ultimately reveal with further drilling?