Materials

Krakatoa discovers entirely new deposit of pegmatites at Dalgaranga

Tue 05 Jul 22, 2:30pm (AEST)
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Key Points

  • Dalgaranga has been confirmed to host lithium-bearing pegmatites further out than previously thought on-site
  • Drilling samples have been sent to a laboratory for analysis
  • One pegmatite section was 16m thick at less than 30m depth

Krakatoa (ASX:KTA) has confirmed the presence of pegmatites onsite the Dalgaranga WA critical metals project further out than previously thought. 

Resource drilling intersected thick pegmatite sections beyond the historical exploration footprint of the workings on the acreage.

The project is located some 70km from the exploration-prolific Mt Magnet area, with Krakatoa targeting critical minerals.

Critical minerals include those needed for batteries, and also decarbonisation technologies, as well as electrification initiatives (think: wind turbines, transmission lines.)

Works across May and June 

Krakatoa uncovered rubidium, tantalum, caesium, niobium and lithium when it sunk two RC drill holes at Dalgaranga across May and June. 

While pegmatites are well known to host lithium deposits, Krakatoa is actually after rubidium.

Back in May, company management noted rubidium carbonate prices were then over US$6,000/kg. 

Lithium prices, likewise, are still up over 400% year-on-year.

An aerial map showing just how expansive Dalgaranga's pegmatite system has been proven to be
An aerial map showing just how expansive Dalgaranga's pegmatite system has been proven to be

Dalgaranga south of interest to geos 

Krakatoa notes today it also encountered a 16m thick pegmatite section down a drillhole sunk southward beyond any existing drilling.

How far south is what will likely interest investors today: it has discovered new pegmatites over half a kilometre away, at 650m. 

This is surprising, given that the Dalgaranga pegmatite complex has been subject to alluvial mining since the 1960s, producing tantalum and tungsten. 

Previous geological data for the region suggests pegmatites are present to at least 100m depth. 

If Krakatoa can crack the right spot, Dalgaranga may be set to become a flagship WA asset. 

Krakatoa was a Market Index client at the time of publishing. All coverage contains factual information only and should not be interpreted as opinion of financial advice.

 

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Written By

Jonathon Davidson

Finance Writer

Jonathon is a journalism graduate and avid market watcher with exposure to governance, NGO and mining environments. He was most recently hired as an oil and gas specialist for a trade publication. Email Jon at [email protected].

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