Pan Asia Metals Reports Strong Results from Khao Soon Tungsten Project in Thailand
HIGHLIGHTS
- Assay results confirm wide, high-grade near surface tungsten mineralisation
- Results include:
- KSDD024: 13.1m @ 0.51% WO3 from surface, incl. 4.6m @ 0.97% WO3 from 8.5m
- KSDD025: 25.0m @ 0.27% WO3 from surface, incl. 9.5m @ 0.54% WO3 from 13.5m
- KSDD032: 32.9m @ 0.53% WO3 from surface, incl. 7.5m @ 1.22% WO3 from 13.6m
- KSDD032: 22.6m @ 0.30% WO3 from 43.6m, incl. 4.5m @ 0.74% WO3 from 60.1m
- KSDD033: 23.4m @ 0.58% WO3 from surface, incl. 13.5m @ 0.75% WO3 from 10m
- KSDD034: 45.8m @ 0.32% WO3 from 2.8m, incl. 15.4m @ 0.57% WO3 from 3.6m
- KSDD035: 54.0m @ 0.25% WO3 from 25.6m, incl. 14.9m @ 0.40% WO3 from 64.6m
- KSDD036: 27.5m @ 0.38% WO3 from 76.1m, incl. 15.5m @ 0.45% WO3 from 82.0m
- Results are in line with Exploration Target models
- Shallow dipping geometry confirmed, good WO3 grades, commencing at surface
- Mineralisation has shape and dimensions potentially amenable to open cut mining
Specialty metals explorer and developer Pan Asia Metals Limited (ASX: PAM) (‘PAM’ or ‘the Company’) is pleased to report that laboratory assays have been received for the drilling program at the Khao Soon Tungsten Project (KSTP) located in southern Thailand.
Pan Asia Metals’ Managing Director Paul Lock said: “We are pleased that the laboratory assays have returned strong results with a large number of intersections at greater than 0.5%, WO3 including 7.5m at 1.22% WO3. These are peer group leading results. At Than Pho West the results are in line with or better than the Exploration Target model, with the grades and geometries shaping up as open cut targets with the mineralisation being open at depth.
Further to our results it is pleasing to see the general buoyancy in the APT market, which is the reference price for tungsten. Fastmarkets MB recently reported that the APT price was $25,000-25,500 per tonne, the highest level since 2019. According to commentators the market is up due to tightness in the scrap and raw materials market and the demand side of the market is faced with the prospect that several large Chinese and Russian mines are reaching the end of their respective lives.
We believe Khao Soon will be one of the few new tungsten projects with the potential to work in the current price environment.”
Overview
KSTP is one of PAM’s key assets and a significant historical high-grade producer. Modern exploration has discovered potentially world-class, district scale tungsten mineralisation across numerous prospects. Previous diamond drilling by PAM has intersected robust widths and grades associated with strong surface anomalies, from which Exploration Targets have been estimated. The current drilling program seeks to test the Exploration Targets, with the ultimate aim of estimating Inferred Mineral Resources.
Target 2 and Than Pho West Assay Results are Very Encouraging
PAM has received assay results for holes KSDD024 to KSDD037 from the Target 2 (T2) and Than Pho West (TPW) prospects. The results support and generally enhance the previously reported spot hand-held XRF analysis on drill core and PAM notes a general increase in tungsten trioxide (WO3) concentrations.
Information on the drillholes and intersections of WO3 are included in Tables 1 and 2, respectively. Drillhole plans and cross sections are provided in this report.
Further details of the current and previous drilling programs can be found in Appendix 1, being JORC Table 1. Readers are also advised to refer to the following ASX announcements:
- October 8, 2020: ‘Technical Reports for PAM Projects’
- November 30, 2020: ‘Khao Soon Tungsten Project Drilling Update’
- December 23, 2020: ‘Khao Soon Tungsten Project Drilling Update’
- January 15, 2021: ‘Khao Soon Tungsten Project Drilling Update’
Target 2
Target 2 is defined by a large high tenor, tungsten in soil anomaly about 450m long and 150m wide (see Figure 1). Shallow drilling by previous explorers intersected tungsten mineralised laterite on the western side of the soil anomaly. Based upon the results of previous drilling and the large tungsten in soil anomaly, an Exploration Target of 6-12Mt @ 0.1-0.3% WO3 was estimated for Target 2, with details reported on October 8, 2020 in ASX announcement ‘Technical Reports for PAM Projects’. Readers are advised that in reference to the Exploration Target, the potential quantity and grade is conceptual in nature, that there has been insufficient exploration to estimate a Mineral Resource and that it is uncertain if further exploration will result in the estimation of a Mineral Resource.
The drilling program at Target 2 had three main objectives:
- Test an Induced Polarisation anomaly
- Test the large WO3 in soil anomaly
- Evaluate the Exploration Target defined at Target 2
Figure 1: Khao Soon Tungsten Project – T2 collar plan and geochemistry
A total of nine (9) holes have been drilled for an aggregate of 773.3m. Drilling results have confirmed robust near surface WO3 grades exist beneath much of the tungsten in soil anomaly which are generally in-line with the grades stated for the Exploration Target (see Figure 2).
Results for holes (KSDD023) drilled to test a deep Induced Polarisation and holes (KSDD030-031) drilled to test laterite hosted WO3 mineralisation west of the soil anomaly, have tended to downgrade these targets, although further drilling is required due to the wide spaced nature of previous and current drillholes at these targets.
Additional drilling is planned at Target 2 and will test the soil anomaly along strike to the northeast and southwest where it remains open. Further holes are also planned to test the mineralised zone down dip. The estimation of a Mineral Resource is contingent upon the results of future drilling.
Figure 2: Khao Soon Tungsten Project – T2 Cross Section KSDD024-025-026
Than Pho West (TPW)
The TPW prospect is defined by a large plus 1km long WO3 soil anomaly supported by rock-chips and subsequent drilling (see Figure 3). PAM has previously completed seven (7) widely spaced diamond core holes at TPW and defined near surface tungsten mineralisation over substantial widths.
Figure 3: Khao Soon Tungsten Project – TPW collar plan and geochemistry
Based upon the initial seven (7) drill holes an Exploration Target of 4-8Mt @ 0.2-0.4% WO3 was estimated, with details reported on October 8, 2020 in ASX announcement ‘PAM Projects – ‘Technical Reports’. Readers are advised that in reference to the Exploration Target, the potential quantity and grade is conceptual in nature, that there has been insufficient exploration to estimate a Mineral Resource and that it is uncertain if further exploration will result in the estimation of a Mineral Resource.
The drilling program at TPW was designed as infill and extensional drilling to test the Exploration Target. Should the program be successful it may allow a Mineral Resource to be estimated. In the current program PAM has completed ten (10) holes at TPW (KSDD032-041) for a total of 828.2m. Results have been received for holes KSDD032 to KSDD037. Results for the remaining four holes are expected in the near term.
Drillholes KSDD032 and 033 were drilled as infill holes on a previously drilled section (see Figure 4). Both holes intersected wide zones with robust WO3 grades, averaging around 0.47% WO3 which is generally in-line or above those of previous drilling and the Exploration Target grade ranges. The mineralized zone as interpreted on this cross section attains a maximum true width of almost 60m, and extends at least 150m down dip and remains open.
Figure 4: Khao Soon Tungsten Project – TPW Cross Section CX938425
Drillholes KSDD034, 035 and 036 were drilled on the same section about 120m north of KSDD032/033 cross section (see Figure 5). These three holes have delineated a thick zone of tungsten mineralisation dipping about 35 degrees to the east and extending at least 200m down dip, where the zone remains open down dip of hole KSDD036, which intersected 27.5m @ 0.38% WO3 from 79.2m.
Figure 5: Khao Soon Tungsten Project – TPW Cross Section CX938530
This represents the deepest intersection at TPW to date. At its widest the true thickness of the mineralized zone on this section is interpreted to be approximately 63m.
The thickness and grade of the mineralized zone on this section is in line with the Exploration Target model.
Drillhole KSDD037 was drilled on a cross section about 120m south of the KSDD032/033 cross section (see Figure 6). KSDD037 intersected a 52m wide zone (true width), averaging 0.11% WO3 which remains open down dip. The thickness of this zone is in line with the Exploration Target model.
Figure 6: Khao Soon Tungsten Project – TPW Cross Section CX938300
Drillhole KSDD038 was drilled up-dip of KSDD037. PAM has no grade information from this hole due to a malfunction in the hand-held XRF. Laboratory assays for KSDD038 and subsequent holes 039, 040 and 041 are expected in the near term. PAM has also purchased a replacement hand-held XRF which should be delivered within three weeks.
Importantly most of the core intersections through the mineralized zones at TPW are PQ diameter. This larger diameter (85mm) core maximizes core recovery, compared to previous HQ diameter core (61mm), where recovery was variable in some of the mineralized zones. The PQ core also provides additional material for metallurgical test work.
The results support previous work, confirming a thick, shallow dipping mineralized zone with typical grades averaging between 0.2-0.5% WO3. These results serve to confirm and locally enhance the Exploration Target model.
Drilling at TPW is being undertaken at sufficient spacing that should enable a Mineral Resource estimate to be reported, subject to the success of the program and other factors that contribute to a Mineral Resource. Further drilling is planned at the TPW prospect and will seek to extend the mineralized zone along strike and down dip, along with local infill drilling.
PAM also has two other prospects where Exploration Targets have been estimated, Rabbit and Than Pho Ridge (see Figure 7). Further drilling is planned at these prospects to test the Exploration Targets with the aim of potentially delineating Mineral Resources. A large soil anomaly with robust WO3 grades occurs at the Last Hill prospect. This prospect will also be the focus of future drill testing.
Figure 7: Khao Soon Tungsten Project – General Overview
Table 1. Drillhole collar details
Hole_ID |
East UTM Zone 47E |
North UTM Zone 47N |
Elevation (m) |
Dip |
Azimuth (mag) |
Depth (m) |
KSDD023 |
547574 |
937910 |
90 |
-60 |
135 |
143.0 |
KSDD024 |
547655 |
937819 |
106 |
-75 |
315 |
100.1 |
KSDD025 |
547699 |
937768 |
107 |
-75 |
315 |
91.0 |
KSDD026 |
547755 |
937685 |
129 |
-75 |
315 |
129.1 |
KSDD027 |
547630 |
937721 |
126 |
-55 |
135 |
69.9 |
KSDD028 |
547741 |
937837 |
92 |
90 |
0 |
46.0 |
KSDD029 |
547637 |
937615 |
81 |
-60 |
315 |
70.2 |
KSDD030 |
547511 |
937962 |
75 |
90 |
0 |
51.0 |
KSDD031 |
547481 |
937853 |
85 |
-65 |
315 |
73.0 |
KSDD032 |
553205 |
938431 |
97 |
-90 |
270 |
67.0 |
KSDD033 |
553147 |
938418 |
100 |
-60 |
270 |
40.6 |
KSDD034 |
553192 |
938534 |
104 |
-60 |
270 |
53.6 |
KSDD035 |
553265 |
938526 |
83 |
-70 |
270 |
89.0 |
KSDD036 |
553325 |
938535 |
65 |
-75 |
270 |
115.0 |
KSDD037 |
553278 |
938306 |
74 |
-60 |
270 |
63.0 |
KSDD038 |
553209 |
938297 |
54 |
-60 |
270 |
170.0 |
Table 2. Assay results (KSDD023 to 037)
Hole ID |
from (m) |
to (m) |
interval (m) |
WO3 (%) |
KSDD023 |
0 |
13 |
13 |
0.006# |
KSDD024 |
0 |
13.1 |
13.1 |
0.51 |
KSDD024 |
8.5 |
13.1 |
4.6 |
0.97 |
KSDD025 |
0 |
25 |
25.0 |
0.27 |
KSDD025 |
13.5 |
23 |
9.5 |
0.54 |
KSDD026 |
42 |
72 |
Sample 1m in 3m |
max 0.001 |
KSDD027 |
0 |
16.5 |
16.5 |
0.14 |
KSDD027 |
13.5 |
16.5 |
3.0 |
0.38 |
KSDD028 |
2.5 |
3.5 |
1.0 |
0.07 |
KSDD029 |
25.2 |
40.2 |
15.0 |
0.06# |
KSDD029 |
27.2 |
30.2 |
3.0 |
0.16 |
KSDD029 |
38.7 |
40.2 |
1.5 |
0.08 |
KSDD030 |
0 |
12.4 |
12.4 |
0.07 |
KSDD030 |
1.5 |
2.5 |
1.0 |
0.40 |
KSDD030 |
8 |
12.4 |
4.4 |
0.06 |
KSDD031 |
18.7 |
22.5 |
3.8 |
0.06 |
KSDD031 |
28 |
35.3 |
7.3 |
0.12 |
KSDD032 |
0 |
66 |
59.4 |
0.43 |
KSDD032 |
7.1 |
29.2 |
22.1 |
0.70 |
KSDD032 |
13.6 |
21.1 |
7.5 |
1.22 |
KSDD032 |
32.9 |
37.6 |
No core |
|
KSDD032 |
37.6 |
41.9 |
4.3 |
0.41 |
KSDD032 |
41.9 |
43.6 |
No core |
|
KSDD032 |
43.6 |
66 |
22.4 |
0.30 |
KSDD032 |
43.6 |
44.5 |
0.9 |
0.50 |
KSDD032 |
60.1 |
64.6 |
4.5 |
0.74 |
Hole ID |
from (m) |
to (m) |
interval (m) |
WO3 (%) |
KSDD033 |
0 |
23.4 |
23.4 |
0.58 |
KSDD033 |
10 |
23.4 |
13.4 |
0.75 |
KSDD033 |
13 |
16.4 |
3.4 |
1.07 |
KSDD034 |
2.8 |
48.6 |
45.8 |
0.32 |
KSDD034 |
3.6 |
12.7 |
9.1 |
0.54 |
KSDD034 |
14.9 |
19 |
4.1 |
0.62 |
KSDD034 |
29.6 |
31.6 |
2.0 |
0.55 |
KSDD035 |
10.4 |
11.4 |
1.0 |
0.08 |
KSDD035 |
15.6 |
79.6 |
61.8 |
0.23 |
KSDD035 |
15.6 |
20.4 |
4.8 |
0.11 |
KSDD035 |
20.4 |
22.6 |
No core |
|
KSDD035 |
25.6 |
79.6 |
54.0 |
0.25 |
KSDD035 |
29.9 |
32.6 |
2.7 |
0.46 |
KSDD035 |
46.5 |
47.8 |
1.3 |
0.40 |
KSDD035 |
56.6 |
57.6 |
1.0 |
0.40 |
KSDD035 |
60 |
61.1 |
1.1 |
0.38 |
KSDD035 |
64.6 |
79.6 |
15.0 |
0.40 |
KSDD035 |
75.5 |
76.6 |
1.1 |
0.71 |
KSDD036 |
72.9 |
73.9 |
1.0 |
0.05 |
KSDD036 |
76.1 |
103.6 |
27.5 |
0.38 |
KSDD036 |
82 |
102.6 |
20.6 |
0.44 |
KSDD037 |
0 |
52 |
52.0 |
0.11 |
KSDD037 |
2 |
7 |
5.0 |
0.11 |
KSDD037 |
10 |
13 |
3.0 |
0.11 |
KSDD037 |
19 |
24 |
5.0 |
0.10 |
KSDD037 |
43 |
52 |
9.0 |
0.29 |
KSDD037 |
48 |
52 |
4.0 |
0.45 |
# many samples less than 0.05% WO3
Working Towards Inaugural Inferred Mineral Resource Estimates
As further laboratory results from the drilling program at Khao Soon are received they will be used to enhance geological interpretations and grade modelling with a view to updating the Exploration Target. At some prospects it is anticipated that PAM may be able to report an inaugural Inferred Mineral Resource estimate, subject to ongoing success.
Drilling at TPW is being undertaken at sufficient spacing that should enable a Mineral Resource estimate to be reported, subject to the success of the program and other factors that contribute to a Mineral Resource. Further drilling is planned at the TPW prospect and will seek to extend the mineralized zone along strike and down dip, along with local infill drilling.
PAM also has two other prospects where Exploration Targets have been estimated. The Rabbit and Than Pho Ridge prospects have a combined Exploration Target estimate of:
5 to 9 Million tonnes at between 0.2 and 0.4% WO3.
Details of the Exploration Targets were reported on October 8, 2020 in ASX announcement ‘Technical Reports for PAM Projects’. Readers are advised that in reference to the Exploration Target, the potential quantity and grade is conceptual in nature, that there has been insufficient exploration to estimate a Mineral Resource and that it is uncertain if further exploration will result in the estimation of a Mineral Resource
Further drilling is planned at these prospects and will seek to test the Exploration Targets, with the aim of potentially delineating Mineral Resources.
A large soil anomaly with robust WO3 grades occurs at the Last Hill prospect. This will also be the focus of future drill testing.
Several other prospects at Khao Soon also require follow-up work, including drilling.
The Company looks forward to keeping Shareholders and the market updated on the drilling progress and results obtained from the planned drilling programs and other exploration at Khao Soon.
Ends
Authorised by:
Board of Directors
About the Khao Soon Tungsten Project
The Khao Soon Tungsten Project is a wolframite style tungsten project located approximately 600km south of Bangkok in Nakhon Si Thammarat Province, Southern Thailand. PAM holds a 100% interest in two contiguous Special Prospecting Licences (SPL) and a Special Prospecting Licence Application (SPLA) covering about 33km².
Figure 8: Regional map identifying the location of the Khao Soon Tungsten Project
About Pan Asia Metals Limited (ASX:PAM)
Pan Asia Metals Limited (ASX:PAM) is a specialty metals explorer and developer focused on the identification and development of projects in South East Asia that have the potential to position Pan Asia Metals to produce metal compounds and other value-added products that are in high demand in the region.
Pan Asia Metals currently owns two tungsten projects and two lithium projects. Three of the four projects are located in Thailand, fitting Pan Asia Metal’s strategy of developing downstream value-add opportunities situated in low-cost environments proximal to end market users.
Complementing Pan Asia Metal’s existing project portfolio is a target generation program which identifies desirable assets in the region. Through the program, Pan Asia Metals has a pipeline of target opportunities in South East Asia which are at various stages of consideration. In the years ahead, Pan Asia Metals plans to develop its existing projects while also expanding its portfolio via targeted and value-accretive acquisitions.
To learn more, please visit: www.panasiametals.com
Stay up to date with the latest news by connecting with PAM on LinkedIn, Twitter and YouTube.
Investor Enquiries
Paul Lock
Managing Director
Media Enquiries
The Capital Network
Julia Maguire
+61 2 8999 3699
Competent Persons Statement
The information in this Public Report that relates to Exploration Targets, Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Mr David Hobby, who is a Member of the Australasian Institute of Mining and Metallurgy. Mr Hobby is an employee, Director and Shareholder of Pan Asia Metals Limited. Mr Hobby has sufficient experience that is relevant to the style of mineralization and type of deposit under consideration and to the activity that he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Hobby consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.
Forward Looking Statements
Various statements in this document constitute statements relating to intentions, future acts and events which are generally classified as “forward looking statements”. These forward looking statements are not guarantees or predictions of future performance and involve known and unknown risks, uncertainties and other important factors (many of which are beyond the Company’s control) that could cause those future acts, events and circumstances to differ materially from what is presented or implicitly portrayed in this document. For example, future reserves or resources or exploration targets described in this document may be based, in part, on market prices that may vary significantly from current levels. These variations may materially affect the timing or feasibility of particular developments. Words such as “anticipates”, “expects”, “intends”, “plans”, “believes”, “seeks”, “estimates”, “potential” and similar expressions are intended to identify forward-looking statements. Pan Asia Metals cautions security holders and prospective security holders to not place undue reliance on these forward-looking statements, which reflect the view of Pan Asia Metals only as of the date of this document. The forward-looking statements made in this document relate only to events as of the date on which the statements are made. Except as required by applicable regulations or by law, Pan Asia Metals does not undertake any obligation to publicly update or review any forward-looking statements, whether as a result of new information or future events. Past performance cannot be relied on as a guide to future performance.
Important
To the extent permitted by law, PAM and its officers, employees, related bodies corporate and agents (Agents) disclaim all liability, direct, indirect or consequential (and whether or not arising out of the negligence, default or lack of care of PAM and/or any of its Agents) for any loss or damage suffered by a Recipient or other persons arising out of, or in connection with, any use or reliance on this document or information.
APPENDIX 1 - JORC Code, 2012 Edition – Table 1
Section 1 Sampling Techniques and Data
(Criteria in this section apply to all succeeding sections.)
Criteria |
JORC Code explanation |
Commentary |
|
Sampling techniques |
|
|
|
Drilling techniques |
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|
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Drill sample recovery |
|
|
|
Logging |
|
|
|
Sub-sampling techniques and sample preparation |
For all sample types, the nature, quality and appropriateness of the sample preparation technique.
|
|
|
Quality of assay data and laboratory tests |
|
For the PAM drilling, core samples were prepared by ALS in Vientiane, Laos and a 100g assay pulp sent to ALS in Brisbane for analysis. A lithium borate digestion digestion (ALS method ) was employed with analysis by ICP-MS (ALS method ME-MS85). Samples >1%W were analysed by XRF with sodium peroxide digestion (ALS method XRF-15b). These techniques employed are appropriate for tungsten analysis and are considered to be a total analysis technique.
|
|
Verification of sampling and assaying |
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Location of data points |
|
|
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Data spacing and distribution |
|
|
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Orientation of data in relation to geological structure |
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|
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Sample security |
|
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Audits or reviews |
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Section 2 Reporting of Exploration Results
(Criteria listed in the preceding section also apply to this section.)
Criteria |
JORC Code explanation |
Commentary |
Mineral tenement and land tenure status |
|
|
Exploration done by other parties |
|
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Geology |
|
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Drill hole Information |
|
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Data aggregation methods |
|
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Relationship between mineralisation widths and intercept lengths |
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Diagrams |
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Balanced reporting |
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Other substantive exploration data |
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Further work |
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