VRL's a bargain in hot Laverton gold district
WA's Laverton region is well known for its gold endowment but bargains are hard to come by
Verity Resources' Monument gold project already has an inferred resource and plenty of exploration potential
Company has plans to carry out work aimed at boosting confidence and scale of Monument resource
Special Report: Western Australia's Laverton region is a gold exploration hotspot that is seeing increasing attention as gold prices continue to trade beyond the $5200/oz mark.
This combination of rich potential and high commodity prices has predictably led to major players paying top dollar for projects in the gold rush community that sits about 390km northeast of Kalgoorlie.
Look no further than Genesis Minerals' (ASX:GMD) deal to acquire Focus Minerals' (ASX:FML) Laverton gold project for $250m, a move which delivers a ~4Moz gold resource close to its 3Mtpa Laverton mill.
Explorers in this region have also seen significant growth, with shares in Magnetic Resources (ASX:MAU) rising some 46% since this beginning of this year on the back of success at its Lady Julie gold project. It's got a dataroom open and has been regularly viewed as a M&A target for the region's major players.
But relatively unsung Verity Resources (ASX:VRL) could present the cheapest entry-point for this emerging theme.
Its Monument gold project already hosts 154,000oz of inferred resources and it's abutting the tenements at GMD's Mount Morgans project.
And there's competitive tension. Genesis isn't the only player with a hungry and underfed mill.
The Monument gold project. Pic: Verity Resources
Bargain barrel
Verity is capitalised at about $7m, despite holding the intriguing Monument gold project.
There is much going for the 195km2 project, which is just 40km west of the town of Laverton.
Monument already hosts that inferred resource of 3.26Mt grading 1.4g/t for 154,000oz of contained gold, split between the Korong and Walhi deposits.
Mineralisation is open in all directions, which offers plenty of options for growth.
It sits within the same stratigraphy as that which hosts Goldfields' 7Moz Granny Smith and 7Moz Wallaby, AngloGold Ashanti's +10Moz Sunrise Dam and MAU's +1Moz Lady Julie projects.
Multiple styles of target mineralisation have also been identified such as banded iron formations and basalt-hosted, though the focus is now on syenite hosted intrusive targets –similar to multi-million ounce discoveries such as Wallaby and Genesis' Jupiter.
To date, VRL has identified over 60 untested BIF, basalt, and intrusion-hosted drill targets along 20km of strike in the same unit that hosts the 1.4Moz Westralia gold deposit.
This makes for significant district-scale exploration potential given that just 10% of this potential has been drilled to date.
There is also significant greenfields potential outside of established stratigraphy with large application over underexplored ground to the northeast. Its Star Well prospect on the border of the application area recently returned rock chips up to 6g/t Au, indicating the bonus potential of this expanded area.
Monument project showing resources and targets. Pic: Verity Resources
Resource-focused strategy
VRL has now started a strategy aimed at first upgrading the resource to the higher confidence indicated category before moving on to expand numbers.
Studies are progressing to determine an infill, twin drilling, and step-out drilling program that aims to expand the resource base.
The company has already completed a preliminary pit study and is currently progressing validation of historical drilling and data as well as the definition of the drill program.
Additional step-out holes are planned to expand the Korong-Waihi resource.
It has also started metallurgical studies aimed at evaluating optimal gold recovery to inform future scoping and feasibility studies.
Not just gold
Besides the Monument gold project, VRL also has a 70% interest in the Pimenta rare earths project in Brazil's prolific mining state of Minas Gerais.
Minas Gerais is well known for its lithium and rare earths endowment with significant spodumene resources discovered by companies such as Sigma Lithium and fellow Australian Latin Resources (now acquired by big fish Pilbara Minerals), and major rare earths discoveries by Meteoric Resources (ASX:MEI) and Viridis (ASX:VMM).
Pimenta targets a granite-hosted REE system centred on the Mesoproterozoic-age Santo Antônio do Jacinto Granite Complex, where allanite—a weathering-resistant REE-bearing mineral—hosts the majority of the rare earth mineralisation.
This geological setting has similarities to other significant REE deposits.
Surface sampling at the project has returned exceptional grades of up to 2.58% total rare earth oxides with valuable magnet rare earths such as neodymium, praseodymium, terbium and dysprosium making up about 25% of the REE content.
Magnet REEs are used to manufacture permanent rare earth magnets that are used in electric vehicle motors and wind turbines.
Adding interest, significant gallium values of up to 89g/t and titanium oxide of up to 9.26% have been reported.
This article was developed in collaboration with Verity Resources, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
Originally published as Verity Resources has big plans to boost its Monument project as Laverton gold district runs hot
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Perth Now
an hour ago
- Perth Now
‘Bell ringing moment': ASX soars to historic high, passing 9000 points
The ASX record high on the back of better earnings results, rate cuts and fears of Trump's tariffs subside. NewsWire / Max Mason-Hubers The ASX record high on the back of better earnings results, rate cuts and fears of Trump's tariffs subside. NewsWire / Max Mason-Hubers Credit: News Corp Australia Australia's sharemarket has made history, surpassing 9000 points for the first time as a strong reporting season, interest rate cuts and subsided fears of global trade tensions send the market into record territory. During trading on Thursday, the ASX200 passed 9000 points for the first time in history. This comes just 13 months after passing 8000 points back in July 2024. Camera Icon ASX breaks through the historic 9000 point barrier. NewsWire / Jeremy Piper Credit: News Corp Australia IG market analyst Tony Sycamore told NewsWire a combination of a 'solid reporting season' and RBA interest rate cuts had offset fears of US President Donald Trump's tariffs smashing the local market. 'It's certainly a bellringing moment in terms of something to celebrate for the Australian stock market. It does herald another good gain and another record,' he said. During the run up to 9000 points, the ASX 200 was up for seven out of the eight preceding sessions, which is the best run since 2007. AMP chief economist and head of investment strategy Shane Oliver said the ASX 200 continues to 'shoot the lights out' on the back of a number of key economic tailwinds. 'The worst-case trade war scenarios now look less likely, global economic data remains mostly okay, profits are coming in stronger than expected globally and will likely pick up in Australia,' he said. Despite initial fears US President Donald Trump's 'Liberation Day' tariffs would smash global growth and markets, so far investors have climbed the 'wall of worry,' although it has not all been smooth sailing. On April 7 the local market lost $110bn, or 4 per cent, in a single day of trading. But markets quickly recovered in the weeks that followed as investors took the positives from Mr Trump going back to the negotiation table with key trading partners on tariffs. Dr Oliver said despite investors so far ignoring the tariff threat, there could still be some risks to the local market. 'The near term risk of a correction remains high as valuations are stretched, shares are getting technically overbought, the tariffs could still show up in weaker economic data and higher US inflation,' he said. Camera Icon The ASX record high on the back of better earnings results, rate cuts and fears of Trump's tariffs subside. NewsWire / Max Mason-Hubers Credit: News Corp Australia Dr Oliver said the ASX 200 is also likely to gain on the back of interest rate cuts. 'The US Fed is looking likely to start cutting in September as tariffs impact inflation but by less than feared and the US labour market cools and other central banks including the RBA are continuing to cut rates,' he wrote in his latest economic note. Dr Oliver opined the RBA will gradually ease the cash rate from 3.60 to 2.85 per cent by mid 2026, with cash strapped mortgage holders getting rate cuts in November, February and May. Mr Sycamore said while local investors would celebrate passing 9000 points, it will likely need to pass 10,000 points to get international recognition. '10,000 still seems a long way away. 'It is something we are probably looking at more next year after we've assessed the impact of these tariffs and we know more fully the extent of interest rate cuts from the central bank,' Mr Sycamore said. The market analyst said when interest rate cuts have fully been factored in by mid next year, the ASX 200 will likely get a boost. 'When we look at interest rate cuts, during a period of lowering inflation and growth slowing down, they're generally supportive for markets.'
News.com.au
an hour ago
- News.com.au
‘Bell ringing moment': ASX soars to historic high, passing 9000 points
Australia's sharemarket has made history, surpassing 9000 points for the first time as a strong reporting season, interest rate cuts and subsided fears of global trade tensions send the market into record territory. During trading on Thursday, the ASX200 passed 9000 points for the first time in history. This comes just 13 months after passing 8000 points back in July 2024. IG market analyst Tony Sycamore told NewsWire a combination of a 'solid reporting season' and RBA interest rate cuts had offset fears of US President Donald Trump's tariffs smashing the local market. 'It's certainly a bellringing moment in terms of something to celebrate for the Australian stock market. It does herald another good gain and another record,' he said. During the run up to 9000 points, the ASX 200 was up for seven out of the eight preceding sessions, which is the best run since 2007. AMP chief economist and head of investment strategy Shane Oliver said the ASX 200 continues to 'shoot the lights out' on the back of a number of key economic tailwinds. 'The worst-case trade war scenarios now look less likely, global economic data remains mostly okay, profits are coming in stronger than expected globally and will likely pick up in Australia,' he said. Despite initial fears US President Donald Trump's 'Liberation Day' tariffs would smash global growth and markets, so far investors have climbed the 'wall of worry,' although it has not all been smooth sailing. On April 7 the local market lost $110bn, or 4 per cent, in a single day of trading. But markets quickly recovered in the weeks that followed as investors took the positives from Mr Trump going back to the negotiation table with key trading partners on tariffs. Dr Oliver said despite investors so far ignoring the tariff threat, there could still be some risks to the local market. 'The near term risk of a correction remains high as valuations are stretched, shares are getting technically overbought, the tariffs could still show up in weaker economic data and higher US inflation,' he said. Dr Oliver said the ASX 200 is also likely to gain on the back of interest rate cuts. 'The US Fed is looking likely to start cutting in September as tariffs impact inflation but by less than feared and the US labour market cools and other central banks including the RBA are continuing to cut rates,' he wrote in his latest economic note. Dr Oliver opined the RBA will gradually ease the cash rate from 3.60 to 2.85 per cent by mid 2026, with cash strapped mortgage holders getting rate cuts in November, February and May. Mr Sycamore said while local investors would celebrate passing 9000 points, it will likely need to pass 10,000 points to get international recognition. '10,000 still seems a long way away. 'It is something we are probably looking at more next year after we've assessed the impact of these tariffs and we know more fully the extent of interest rate cuts from the central bank,' Mr Sycamore said. The market analyst said when interest rate cuts have fully been factored in by mid next year, the ASX 200 will likely get a boost. 'When we look at interest rate cuts, during a period of lowering inflation and growth slowing down, they're generally supportive for markets.'
Perth Now
2 hours ago
- Perth Now
ASX reaches new highs on busiest company reporting day
Australian shares have opened with a fresh intraday high, as a sea of green washes over the stock exchange on the busiest day of reporting season. By midday on Thursday AEST, the S&P/ASX200 was up 73.9 points, or 0.83 per cent, to 8991.9, while the broader All Ordinaries also rose 79 points, or 0.86 per cent, to 9256.4. The local bourse reached the record at noon as more than two dozen companies are set to open their books. By lunchtime, 10 of 11 sectors on the ASX were trading in the green, led by industrials which rose 2.4 per cent, while telecommunications lagged. The industrials sector was powered by supply chain logistics company Brambles, which had a share price jump of 9.8 per cent on news of profits exceeding estimates, and confidence in transport logistics company Transurban. The materials sector was up 0.3 per cent as mining giants BHP and Rio Tinto traded flat despite getting the backing of US President Donald Trump for their planned joint development of an American copper project. In the consumer discretionary sector - up one per cent - Supercheap Auto and Rebel Sport owner Super Retail announced record sales, leading to its share price jumping 12.8 per cent. Energy stocks were up 0.7 per cent despite Whitehaven Coal announcing its annual profits had been slashed by more than half due to weak coal prices and higher costs, but its own share price edged higher after an initial dip. The financial sector was up 0.8 per cent with all four big banks in the green, led by ANZ. The Australian dollar is buying 64.31 US cents, down from 64.46 US cents on Wednesday at 5pm.
