Australasian Metals Secures Option to Control West African Lithium Projects

Strategic Entry into West African Lithium Belt

Australasian Metals Limited (ASX:A8G) has secured an exclusive three-month option to acquire up to a 75% interest in the Atex Lithium-Tantalum Project and a 51% stake in the Alliance Lithium Project, both situated in Côte d'Ivoire's highly prospective West African lithium belt. This region, part of the Baoulé-Mossi domain within the West African Craton, is gaining attention for its critical minerals potential amid a supportive regulatory environment and established infrastructure.

The Atex project stands out with significant historical drilling results, including a standout intersection of 67.97 metres at 1.23% lithium oxide (Li2O) from 68.4 metres depth, and other substantial intercepts exceeding 1% Li2O. Lithium mineralisation extends over an 800-metre strike length and remains open, suggesting considerable upside for resource expansion.

Transaction Terms and Funding

The option agreement requires Australasian Metals to pay a A$100,000 option fee upfront, with a subsequent A$1.4 million purchase consideration due upon exercising the option. The company plans to fund this through its existing cash reserves of approximately A$2.3 million, supplemented by a A$1 million placement at A$0.13 per share, which has already secured firm commitments from sophisticated investors. The new shares will rank equally with existing stock and are expected to settle around 10 September 2026.

Due Diligence and Exploration Plans

During the option period, Australasian Metals will conduct comprehensive technical, legal, and commercial due diligence, including site visits to verify historical data, additional geological mapping, representative sampling, and preliminary metallurgical testing. Legal and regulatory reviews will confirm permit status and compliance, while public consultation and permitting processes will support the company's maiden drilling program.

The company will assume operatorship upon completion, with joint venture interests structured at 75% for Atex and 51% for Alliance, with pathways to increase stakes further. The agreement includes a buyout option allowing Australasian Metals to acquire Firering Strategic Minerals' remaining interests for A$5 million plus a 1% royalty on revenues, with flexibility on payment methods.

Regional Context and Project Geology

The Atex licence covers 135 square kilometres and hosts lithium-caesium-tantalum (LCT) pegmatites, with spodumene and lepidolite identified as key lithium-bearing minerals. The geology is typical of the Birimian Supergroup, a prolific Archaean terrane known for hosting significant gold and base metal deposits, as well as pegmatite-hosted lithium resources across West Africa.

Nearby discoveries, such as Desert Metals Limited's recent lepidolite-bearing pegmatite find just north of Atex, underscore the district-scale potential of the region. Australasian Metals' Managing Director Qingtao Zeng highlighted the strategic importance of this acquisition, noting the company's alignment with a diversified critical minerals portfolio and disciplined capital management.

Exploration History and Data Integrity

Previous exploration by Firering Strategic Minerals and partners has included geological mapping, extensive soil and auger sampling, diamond core, and reverse circulation drilling campaigns. The 2022 diamond drilling and 2024 RC drilling campaigns delivered encouraging lithium assay results, with multiple intercepts exceeding 1% Li2O. Sampling and assay methods adhere to industry standards, with quality controls and data verification overseen by qualified geologists and consultants.

Australasian Metals will build on this foundation with further trenching, drilling, and metallurgical studies to refine the project's resource potential. The company's approach reflects a cautious yet opportunistic entry into a region where hard rock lithium is gaining traction among explorers and producers alike.