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Alvo Minerals (ASX:ALV) wins two new exploration areas

ASX News, Mining
ASX:ALV      MCAP $13.97M
12 January 2022 13:21 (AEST)
Alvo Minerals (ASX:ALV) -Managing Director, Rob Smakman

Source: Alvo Minerals

Alvo Minerals (ALV) has won two new exploration areas adjacent to its Palma Project in Central Brazil.

These areas were part of multiple areas auctioned across Brazil by the National Mining Agency (Agência National de Mineração) and were the only two on which Alvo bid.

The new areas cover 3568 hectares of the geological sequences that host known mineralisation at the C1, C2, C3 and C4 prospects, which are currently under exploration by Alvo.

An airborne electromagnetic survey (VTEM) was flown in 2008 and partially covered the new areas where an anomaly was highlighted. Alvo believes this could be a conductive body at depth, which could be an important start for exploration in the area.

A geophysical crew has been engaged to undertake a fixed-loop magnetic survey on the C1 prospect to better define and confirm a VTEM conductive anomaly.

Once the areas have been transferred to Alvo, the company will have three years to explore them for all minerals. The opportunity exists to extend that period for a further three years.

Managing Director Rob Smakman is pleased with the auction win.

“This is the second time we have been successful in this type of auction, and we are very pleased to add to our regional footprint at Palma,” Mr Smakman said.

“The areas we have added to our portfolio will ensure we have enough critical mass and regional tenure to thoroughly test the region for new mineralisation.”

Shares in Alvo Minerals were up 11.9 per cent on the market and were trading at 33 cents at 1:28 pm AEDT.

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