MINEX Forum

Tag: resource upgrade

  • Allied Critical Metals Reports Significant Resource Increase at Borralha Tungsten Project in Portugal

    Allied Critical Metals Reports Significant Resource Increase at Borralha Tungsten Project in Portugal

    Shares of Allied Critical Metals (CSE: ACM) surged on Thursday following the announcement of a major resource upgrade for its Borralha tungsten project in Portugal. The company revealed that the total resource at Borralha now stands at 13 million tonnes grading 0.21% WO₃ (tungsten trioxide) in the measured and indicated category, alongside 7.7 million tonnes grading 0.18% WO₃ in the inferred category. The update includes data from Phase 1 drilling conducted this year, focusing on the Santa Helena Breccia zone with 4,210 metres of drilling.

    This new estimate marks a significant improvement over the 2024 resource update, especially in the higher-confidence measured and indicated (M+I) category, which grew from just under 5 million tonnes to the current 13 million tonnes at the same grade. The inferred resource also saw an increase of 600,000 tonnes, though at a slightly lower grade.

    CEO Roy Bonnell described the updated resource as a “major milestone” for the Borralha project, calling it one of “Europe’s most compelling tungsten assets.” He highlighted the project’s continued success in producing record tungsten intercepts and expressed confidence in its future expansion. “With our next core drilling campaign set for early 2026, we are optimistic about further developments,” Bonnell stated.

    The Borralha project covers a 3.8-square-kilometre land package with a rich production history on its northern side. Between 1904 and 1985, the site produced over 10,280 tonnes of wolframite concentrate with an average grade of 66% WO₃.

    Looking ahead, Allied Critical Metals plans to complete a Preliminary Economic Assessment (PEA) for Borralha in the first quarter of 2026, coinciding with the expected completion of environmental and permitting processes. The company also holds the Vila Verde tungsten-tin project, located 45 km south of Borralha, which boasts a historical inferred resource of 7.3 million tonnes.

    Following the announcement, shares of Allied Critical Metals climbed 6.8%, bringing the company’s market capitalization to C$80.8 million ($57.3 million).

  • District Metals’ Viken Project Now Second Largest Uranium Deposit Globally Following Major Resource Update

    District Metals’ Viken Project Now Second Largest Uranium Deposit Globally Following Major Resource Update

    District Metals (TSXV: DMX) has unveiled a significant upgrade to its Viken uranium project in central Sweden, announcing a new resource estimate that positions the project as the second largest uranium deposit in the world. The update has driven a substantial increase in the company’s share price, reflecting investor enthusiasm.

    The updated resource now totals 456 million indicated tonnes with a grade of 175 parts per million (ppm) uranium oxide (U3O8), equating to 176 million contained pounds of U3O8. This marks an almost ninefold increase compared to the previous 2010 resource estimate. Inferred resources also saw a significant boost, growing by 44% to 4.33 billion tonnes at a grade of 161 ppm U3O8, yielding 1.53 billion contained pounds.

    District CEO Garrett Ainsworth expressed that the impressive growth in the resource estimate highlights the strong continuity in grade and thickness of the mineralized Alum Shale formation across the Viken deposit. He also mentioned the potential for further expansion of the inferred resource, further underscoring the project’s promising future.

    Following the announcement, District Metals’ shares surged by 23%, reaching C$0.35 per share in afternoon trading on Tuesday, giving the company a market capitalization of C$45.9 million.

    Sweden’s Uranium Revival
    The new resource estimate for Viken is bolstered by the growing momentum for uranium in Sweden. The country is on the cusp of lifting its 2018 ban on uranium exploration and mining. The Swedish government, led by Prime Minister Ulf Kristersson, has been pushing to overturn the ban since 2023, with legislative changes expected to come into effect by January 2024.

    While Sweden’s uranium output is small on the global stage, its resources represent 27% of Europe’s total, according to the Swedish Geological Survey. The global demand for uranium, driven by the need for zero-emission energy sources, is also creating a favorable environment for Sweden’s uranium projects.

    Global Ranking of Viken
    Viken’s resource estimate places it among the largest uranium projects in the world. District Metals’ analysis, compared to other global uranium projects, positions Viken just below BHP’s Olympic Dam polymetallic project in South Australia, based on the total contained uranium.

    Additional Critical Minerals
    In addition to uranium, the Viken deposit hosts significant amounts of other critical minerals. The indicated vanadium resource has increased more than 16 times, with 2.85 billion pounds of vanadium oxide (V2O5) at a grade of 2,836 ppm. The inferred vanadium resource has grown by 45% to 24.29 billion pounds at a grade of 2,543 ppm V2O5.

    The indicated zinc resource totals 413 million pounds, grading 411 ppm zinc, and the inferred resource adds 3.9 billion pounds at a grade of 417 ppm. The nickel resources are also notable, with 332 million pounds of nickel in the indicated category at a grade of 330 ppm, and 3 billion pounds in the inferred category at a grade of 321 ppm.

    Next Steps
    The Swedish government’s plans to lift the uranium mining ban will influence District’s decision on whether to proceed with a preliminary economic assessment for Viken in the fourth quarter of 2023. The new resource estimate is based on 122 holes, including drilling data from previous operators between 2006 and 2012.