- During the September quarter, Perpetual Resources (PEC) has further advanced its Western Australian Silica Sand Projects
- The company’s main focus was its flagship Beharra Project which lies around 300 kilometres north of Perth
- One highlight for the quarter was the release of a maiden mineral resource estimate for Beharra of 111.3 million tonnes at 98.6 per cent silicon dioxide
- Additionally, a pre-feasibility began at Beharra with aims to improve the economics of the project
- Strong progress has been made with metallurgical testwork beginning on a 2000 kilometre bulk sample
- In terms of finances, Perpetual spent just under $159,000 in the quarter, leaving a cash balance of just over $680,000 and representing 1.8 quarters of funding available
- Despite this, a recent $2 million placement will bolster the company’s cash balance
- Perpetual is down 4.35 per cent on the market with shares trading for 4.4 cents each
During the September quarter, Perpetual Resources (PEC) further advanced its Western Australian Silica Sand Projects.
The company’s main focus was its flagship Beharra Project which lies around 300 kilometres north of Perth and covers an area of 49 square kilometres.
Exploration
The Beharra Project
One highlight for the quarter was the release of a maiden mineral resource estimate (MRE) for Beharra which reads 111.3 million tonnes at 98.6 per cent silicon dioxide.
In addition, an exploration target of 8 – 13 million tonnes at a grade of 97 to 99 per cent silicon dioxide was also estimated.
This exploration target was tested in late September as part of the third phase drilling program which aimed to provide information for a maiden resource estimate.
A total of 18 aircore holes were drilled and results are due in November.
The Sargon Sand Project
Perpetual’s Sargon Project covers an area of 30.03 square kilometres and it lies 45 kilometres from Geraldton Port.
Other than exploration drilling, Sargon wasn’t a primary focus for Perpetual during the quarter.
The company believes work will progress at Sargon once additional information is received and more capacity is available.
Project Development
During the quarter, Perpetual also began a pre-feasibility study (PFS) at Beharra with aims to improve the economics, leading up to a decision to fund the project.
Highly experienced mining industry professional and current Managing Director of Allied Project Developments Matt Robbins was appointed to oversee the PFS.
Strong progress has been made with the PFS, with metallurgical testwork beginning on a 2000 kilometre bulk sample.
Geological services company IHC Robbins will undertake this work and will provide sand quality specifications.
Finances
In terms of finances, Perpetual spent $158,772 with the majority going towards staff costs and administration and corporate costs.
This is a slight increase from the $151,657 spent in the prior corresponding period (pcp).
As of September 30, the company had $680,552 in cash and cash equivalents, representing 1.8 quarters of funding available.
This is almost double the $342,598 from the pcp.
Despite having only 1.8 quarters of funding available, Perpetual’s recently completed $2 million placement will bolster its cash balance.
The company has says it will use the funds to advance its PFS and fast-track the planned definitive feasibility study.
Perpetual is down 4.35 per cent on the market with shares trading for 4.4 cents each at 2:55 pm AEDT.