Platina Resources Ltd (ASX:PGM) (OTCMKTS:PTNUF) (FRA:P4R) and JV partner Artemis Resources Ltd (ASX:ARV) have increased confidence in the value of the Munni Munni Project in Western Australia after returning strong palladium grades in recent drilling.
Reverse circulation (RC) drilling of 15 drill holes for 2,740 metres was carried out in April and May, with drill holes spread through the entire upper portion of the mineralisation to a maximum depth of 250 metres.
Samples were processed at ALS Global and have returned grades of up to 1.76 g/t palladium along with platinum and gold.
This has led Artemis to execute an agreement for the formal formation of a joint venture over the Munni Munni Project with Platina in the ratio of beneficial interests, 70% ARV and 30% PGM.
Results enhance Munni’s project value
Platina managing director Corey Nelson said the drilling results confirmed the project’s potential to host of one of Australia’s largest undeveloped palladium deposits and endowments of platinum, gold and rhodium.
He said: “Amid significant increases in the price of palladium, gold and rhodium during 2021, the positive drill results have enhanced the number of options available to create value from the project.
“A formal joint venture has now also been executed with Artemis and we are now working very constructively to identify how we best extract the most value from the project for our shareholders without losing focus on our respective core assets”.
“A sale or spin-off could be considered as the project has reached the development scale where it requires dedicated funding and technical management to drive it forward given the scale of the project footprint.”
Drilling results
Results comprise the following:
- 9 metres at 1.67 g/t 2PGE plus gold (1.04 g/t palladium, 0.54 g/t platinum and 0.09 g/t gold) from 117 metres;
- 5 metres at 2.34 g/t 2PGE + gold (1.2 g/t palladium, 0.886 g/t platinum and 0.25 g/t gold) from 108 metres;
- 3 metres at 2.61 g/t 2PGE + gold (1.23 g/t palladium, 1.11 g/t platinum and 0.27 g/t gold) from 81 metres;
- 7 metres at 2.2 g/t 2PGE + gold (1.46 g/t palladium, 0.67 g/t platinum and 0.07 g/t gold) from 124 metres;
- 4 metres at 2.87 g/t 2PGE + gold (1.76 g/t palladium, 0.89 g/t platinum and 0.22 g/t gold) from 115 metres; and
- 7 metres at 2.35 g/t 2PGE + gold (1.33 g/t palladium, 0.84 g/t platinum and 0.18 g/t gold) from 96 metres.
Next steps
With further drill data at hand and the execution and formalisation of the joint venture, Artemis now intends to work closely with Platina to better understand the potential for the project and devise a strategy for value creation whilst the company remains focused on its Paterson Central and Carlow Castle gold and copper projects.
This may involve divestment to a third party or other mechanism to allow the true value of Munni Munni to be realised for respective shareholders.