Alchemy Resources Limited (ASX:ALY) is an Australian gold, base metal, and nickel-cobalt exploration company focused on growth through the development of high quality exploration projects within Australia.
Alchemy has built a significant, 100% owned exploration licence package in the Karonie greenstone belt in the Eastern Goldfields region 100km east of Kalgoorlie, Western Australia. The Karonie tenements surround Silver Lake Resources Ltd’s (ASX:SLR) Karonie/Harry’s Hill and French Kiss deposits (reserves/resources of over 593,000oz @ 2.0g/t Au) and cover 36km of the under-explored, gold endowed Claypan Shear Zone commencing just 12km along strike to the south of Breaker Resources NL’s (ASX:BRB) Bombora deposit (Indicated and Inferred resource of 23.2Mt @ 1.3g/t Au for 1.0Moz). The Project is located in one of Australia’s premier gold provinces and has the potential for the discovery of significant gold resources.
Alchemy retains a 20% interest in the Bryah Basin Project in the gold and base metal-rich Gascoyne region of Western Australia where farm-in and joint venture partners Sandfire Resources NL (ASX:SFR) and Superior Gold Inc. (TSX-V:SGI) are continuing to advance base metal and gold exploration, respectively. The Superior Gold Inc. JV includes a JORC Code 2012 Edition Inferred Resource of 2.2Mt @ 1.6g/t for 114,000oz Au (0.6g/t Au lower cut-off) at the Hermes South deposit, and Alchemy is expecting a 1% royalty on 20,000oz of gold from the Hermes mine (Superior Gold) to be received in the near future.
Alchemy has recently earned a 51% interest in the Cobar Basin / Lachlan projects in New South Wales, and as per the terms of the Farm-in and Joint Venture Agreement with Heron Resources Limited (ASX:HRR), can earn up to an 80% interest by a further $0.4M expenditure prior to 30 May 2021. The projects are located in well-endowed gold, base metal and nickel-cobalt districts with significant upside for high grade and bulk tonnage mineralisation. Alchemy intends to progress several advanced exploration targets in NSW (including the Overflow Prospect) via extensional drilling in order to define sufficient resources to support profitable near-term mine development.
A JORC Code 2012 Edition Inferred Resource for the West Lynn Project (21.3Mt @ 0.84% Ni, 0.05% Co, 2.4% Al, 20.0% Fe, 12.9% MgO) was released Q1 2019. A JORC Code 2012 Edition Inferred Resource for the Summervale Prospect (6.6Mt @ 20.8% Al2O3, 2.8% Fe2O3, 1.15% TiO2) was released Q2 2019. Positive metallurgical results for the Ni-Co mineralisation and for the alumina ore has prompted Alchemy to consider a scoping study on the Project in the near future.