Azure Minerals

Financials:

Primary ticker: ASX:AZS
Stage of development: Exploration, Development
Primary minerals: Battery Metals: Nickel, Copper, Cobalt, Lithium
Project to promote: Andover Nickel-Copper-Cobalt Project
Project location: Australia
Website: www.azureminerals.com.au

Azure Minerals is a mineral exploration and mine development company focused on progressing its Andover nickel-copper-cobalt project in Western Australia to production.

 

Andover Nickel-Copper-Cobalt Project

This 108km2 project covers most of the Andover Mafic-Ultramafic Intrusive Complex and exploration has demonstrated that it hosts significant nickel (Ni), copper (Cu) and cobalt (Co) sulphide mineralisation in multiple deposits.

 

Andover is located 35km southeast of Karratha and immediately south of the town of Roebourne with excellent local infrastructure such as airports, port access, railway, grid power, sealed highways, and support services readily available.

 

The Maiden Mineral Resource Estimate for the Andover One deposit was completed in March 2022 reporting: 4.6Mt @ 1.11% Ni, 0.47% Cu and 0.05% Co (1.41% NiEq) Mineral Resource Estimate for 75,000 tonnes of combined contained metal; with further growth anticipated from new deposits currently being drilled.

 

Highlights:
• Andover layered mafic-ultramafic intrusive complex – similar to Fraser Range, Julimar & Savannah
• Andover is a fertile mineral-rich district hosting multiple Ni-Cu-Co sulphide deposits
• Mineral Resource Estimate for Andover deposit completed and published
• Mineral Resource Estimate for Ridgeline deposit expected in Q1 2023
• Multiple other Ni-Cu-Co sulphide targets identified and being drilled – Seaview, Skyline, Pipeline, Atrium, Woodbrook

 

Andover Lithium Project
• Andover also hosts abundant lithium-rich pegmatites in close proximity to the nickel deposits
• Surface sampling has returned high grades of lithium up to 3.32%Li2O
• Lithium exploration is ongoing with drilling to commence in Q1 2023

 

Cash: 10.6M (June 30 2022)
Debt: NIL

 

Major shareholders:

Deutsche Balaton – 17.3%
Creasy Group – 16.2%
Lowell Resources Fund – 1.6%
Harmanis Holdings – 1.6%
Resource Capital Funds – 1.3%
Management Ownership – 1.5%

Management Profile

Tony Rovira – Managing Director
Tony is a geologist and company manager and director with 40 years’ experience in the mining industry. He has been responsible for the discovery of several gold and nickel deposits in Australia which have been developed into operating mines. His most famous discoveries are the fabulously rich Cosmos and Cosmos Deeps nickel sulphide deposits in Western Australia, for which he was awarded the Prospector of the Year Award by the Australian Association of Mining and Exploration Companies. The Cosmos nickel mining camp is still operating 20 years later.

From 2006 to 2020, Azure operated in Mexico where the company made several silver, gold and copper discoveries. Due to the onset of Covid-19, Tony made the decision to refocus back into Western Australia with the acquisition of the very exciting Andover Nickel-Copper-Cobalt Project. The maiden mineral resource for Andover was announced in March 2022, additional resources are currently being drilled, and development studies are underway.

What is your rationale for taking part 121 Mining Investment?

At 121 mining investment, the company is seeking to introduce Azure’s Andover Nickel-Copper-Cobalt Project to investors and analysts, with particular focus on raising equity, project finance and product off-take.

To draw investors’ attention that Azure expects the Andover district to deliver multiple Ni-Cu mines servicing a centrally located processing plant.

What recent news would you like to highlight to investors attending?

12 and 19 October 2022 – Abundant Lithium-Rich Pegmatites Identified at Andover

 

  • Intensive exploration program identified abundant lithium-bearing pegmatites in an 8km-long corridor
  • Individual pegmatites outcrops have surface exposures up to 500m long and up to 100m wide
  • Visible spodumene identified in pegmatites at multiple locations with laboratory assays confirming high grades of lithium, including:

APRK00037 – 3.32% Li2O

APRK00046 – 2.65% Li2O

APRK00029 – 1.62% Li2O

  • Lithium-focused geological team continuing field exploration with further assays pending from additional sampling; first drilling planned for Q1 2023

 

6 October 2022 – Andover and Creasy Group Increase Andover JV Project Area By 55%

 

– Azure and the Creasy Group add two new tenements into the Andover Joint Venture, increasing total project area to 108.8km2

– Additional tenements cover 38.4km2 and cover the eastern extension of the nickel rich Andover Intrusive Complex

– Initial reconnaissance exploration has identified outcropping nickel and copper rich rocks (gossans) and also strong bedrock-hosted electromagnetic conductors

– Drilling will be undertaken following grant of the tenements

 

4 October 2022 – Positive Metallurgical Results Delivered from Ridgeline Nickel Deposit

 

Metallurgical Testwork Program and Scoping Study Process Design Completed

– Ridgeline Deposit returns excellent metallurgical testwork results delivering separate high grade nickel concentrate (13% Ni grade with 80% recovery) and copper concentrate (25.5% Cu grade with 77% recovery)

– Andover Deposit and Ridgeline Deposit testwork used the same flowsheet, confirming the ability to process multiple ore sources from the Andover Project through a single standardised processing plant

– Scoping Study level metallurgical testwork and process design is now complete

 

27 July 2022 – Azure Completes Sale of Mexican Assets

 

Azure announces the completion of the sale of its Mexican precious and base metals projects to Bendito Resources Inc (“Bendito”) for a combination of cash and shares valued at A$20 million.

 

18 July 2022 – Strong Nickel Hits Continue at Ridgeline 

 

Azure announces that it has received further high-grade assay results and promising visually identified mineralised intersections (for which assays are awaited) from its drilling program at the Ridgeline Ni-Cu-Co sulphide deposit, which forms part of the Andover Ni-Cu-Co Project (60% Azure / 40% Creasy Group), located in the West Pilbara region of Western Australia.

What are your key goals in 3 months, 6 months, 12 months?

3 Months:

Mineral resource for the Ridgeline deposit

Continue resource drilling at new deposits

Scoping Study expected late 2022 / early 2023

 

6 Months:

Continue resource drilling at new deposits

Commence Pre-Feasibility Study for multiple mines feeding a central processing plant at Andover

What do you see as the key risks and challenges facing your company at the moment and how are you overcoming these?

A downturn in the general macro-economic conditions leading to a fall in commodity prices – considered unlikely in the battery metals space and with the current geo-political situation.

What do you think makes your company such a compelling investment?

With the Andover Project, Azure has the right commodities of high-value battery metals being developed  by a very experienced team of successful explorers and mine developers.

What are the top 3 key investor takeaways?

Azure is developing Australia’s newest Nickel, Copper and Cobalt project

Company is fully funded to progress Andover through to Feasibility Study stage

Azure is seeking engagement with financiers and potential off-take and downstream processing partners