Pan Asia Metals Ltd (ASX:PAM) has received strong assays from drilling at Khao Soon Tungsten Project (KSTP) in southern Thailand which have confirmed wide, high-grade, near-surface tungsten mineralisation.
KSTP is one of PAM’s key assets and a historical high-grade producer and modern exploration.
Modern exploration methods are resulting in the discovery of potentially world-class, district-scale tungsten mineralisation across numerous prospects.
The latest results are particularly encouraging and include:
- 54 metres at 0.25% tungsten trioxide from 25.6 metres including 14.9 metres at 0.40% from 64.6 metres at KSDD035;
- 45.8 metres at 0.32% from 2.8 metres including 15.4 metres at 0.57% from 3.6 metres at KSDD034;
- 32.9 metres at 0.53% from surface including 7.5 metres at 1.22% from 13.6 metres at KSDD032;
- 23.4 metres at 0.58% from surface including 13.5 metres at 0.75% from 10 metres; and
- 13.1 metres at 0.51% from surface, including 4.6 metres at 0.97% from 8.5 metres.
According to the company, the results are in line with exploration target models with shallow dipping geometry confirmed and good tungsten trioxide grades starting at the surface.
The current drilling program seeks to test the exploration targets, with the ultimate aim of estimating inferred mineral resources.
In line with or better than target model
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% tungsten trioxide, including 7.5 metres at 1.22%.
“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.”
Buoyant tungsten market
Lock added: “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.”
T2 and TPW results
PAM has received assay results for holes KSDD024 to KSDD037 from 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.
T2 is defined by a large high tenor, tungsten in soil anomaly about 450 metres long and 150 metres wide and shallow drilling by previous explorers intersected tungsten mineralised laterite on the western side of the soil anomaly.
Inaugural resource estimates
The company plans to use laboratory results from the drilling at Khao Soon to enhance geological interpretations and grade modelling for updating the exploration target.
At some prospects, 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 and further drilling is planned seeking to extend the mineralised zone along strike and down dip, along with local infill drilling.
PAM has two other prospects where exploration targets have been estimated.
A large soil anomaly with robust WO3 grades occurs at the Last Hill prospect and this will also be the focus of future drill testing.