Asian Battery Metals PLC has reported strong exploration progress in Mongolia, including excellent copper recoveries at its Oval project and high-grade copper-gold assays at Maikhan Uul, supported by a $6 million equity raise.
- Excellent copper recoveries of 89–95% at Oval Cu-Ni-PGE project
- Confirmed mineralisation extensions along strike and at depth at Oval
- High-grade copper and gold assays from Maikhan Uul due diligence drilling
- Successful $6 million equity placement to fund exploration and acquisition
- Scout drilling confirms lithium-bearing pegmatite at Tsagaan Ders project
Exploration Advances at Oval Project
Asian Battery Metals PLC (ASX, AZ9) has delivered a robust December 2025 quarter update, highlighting significant progress across its Mongolian portfolio. The company’s flagship Oval Cu-Ni-PGE project in Govi-Altai Province saw completion of metallurgical test work that yielded excellent copper recoveries ranging from 89% to 95% across various mineralised composites. These results reinforce the potential for efficient extraction processes at this early stage.
Further, Phase 3 drilling confirmed extensions of mineralisation both along strike and at depth, including a southeast plunge extension. Notably, drillhole OVD049 intersected 23 metres of mineralised intrusion with copper and nickel grades peaking at over 1% Cu and 1.3% Ni in some intervals. The discovery of a large magmatic mafic intrusive body at the MS1 target, continuing to depth, supports a cluster of geophysical anomalies that may indicate further mineralisation potential.
High-Grade Copper-Gold at Maikhan Uul
At the Maikhan Uul Cu-Au VMS (Volcanogenic Massive Sulphide) project, due diligence drilling returned impressive assay results. Drillhole MU2501 confirmed thick, high-grade massive sulphide zones with copper grades exceeding 2% and gold grades up to 0.88 g/t over significant intervals. Shallow gold and silver mineralisation was also identified, including intervals with gold grades above 6 g/t and silver exceeding 126 g/t. These findings underscore the project’s strong potential and support ongoing acquisition efforts, subject to due diligence outcomes and conditions precedent.
Lithium and Graphite Projects Progress
Scout drilling at the Tsagaan Ders Lithium project in Dundgovi Province confirmed lithium-bearing pegmatite at depth, with assays indicating lithium oxide grades up to 1.06%. This is timely given the recent surge in spodumene prices, which have risen by 143% over the past three months, reflecting strong demand for battery materials.
The Khukh Tag Graphite project maintained its JORC-compliant mineral resource of 12.2 million tonnes at 12.3% total graphitic carbon. The company met its minimum exploration expenditure commitments, positioning the project for potential resource growth with further drilling.
Corporate and Market Context
Asian Battery Metals successfully completed a $6 million equity placement in October 2025, bolstering its cash position to nearly $6 million at quarter-end. These funds are earmarked for continued exploration, technical and legal due diligence on the Maikhan Uul acquisition, and general working capital.
The broader Mongolian mining environment is buoyed by recent sovereign credit rating upgrades from S&P Global and Moody’s, reflecting improved fiscal discipline and a surge in copper exports from the Oyu Tolgoi mine. Copper prices peaked at historic highs of $11,771 per tonne in December 2025, with forecasts suggesting sustained strength driven by demand from AI data centres and power grid upgrades.
ESG and Community Engagement
ABM continued to advance its environmental, social, and governance (ESG) commitments, focusing on regulatory compliance, hydrological baseline studies, and meaningful engagement with local communities. Initiatives included playground installations, educational incentives, medical screening programs, and emergency fodder supplies to support herders during harsh winters. These efforts demonstrate the company’s integrated approach to sustainable exploration.
Bottom Line?
With solid assay results and a strengthened balance sheet, Asian Battery Metals is poised to accelerate exploration and acquisition activities in Mongolia’s promising battery metals sector.
Questions in the middle?
- What are the next steps and timeline for the Maikhan Uul acquisition completion?
- How will the company prioritise exploration targets following the recent drilling results?
- What impact might fluctuating commodity prices have on project economics and funding?