Red Mountain Mining (ASX:RMX) has today exercised its option to acquire 100% ownership of the 209-hectare Pioneer Tungsten Project in Montana, in a move the explorer says “cements [its] position” as a focused critical minerals explorer and developer both in Australia and across in the States.
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Pioneer is made up of three claim groups: The Greenstone, Mammoth, and Lost Creek prospects. They run along the eastern margin of the Mount Torrey Batholith, and all have tungsten-bearing garnet skarn mineralisation.
Locally, “massive” garnet skarns measure up to 25 metres thick, containing tungsten mineralisation as scheelite that assays over 0.315%, or up to 0.5%.
Red Mountain was interested in Pioneer because it sits so close to the claims bought by Almonty Industries (ASX:AII) in CY25. That Oz producer, which wields a $7.8 billion market cap, has been working on the Gentung deposit there. Gentung contains an established resource of 6.83Mt @ 0.315%.
The area also holds the historic Ivanhoe and Lost Creek mines, which Red Mountain has estimated to have collectively produced as much as 680 kilotonnes of tungsten ore during the 1950s and 1970s, when last worked.
Red Mountain now plans to “rapidly progress” its U.S. exploration strategy, following recent financing, and HotCopper understands the Australian explorer wants to launch initial samplings at the project by as soon as next month.
U.S. geological contractor KC Harvey Environmental has already started on approvals for drilling; they will then test tungsten content and downdip extensions.
As HotCopper reported in April, this deal will cost Red Mountain $90,000 upfront, with annual instalments totaling $1.08 million due over the next four years. A final payment of $1.8 million will then secure 100% ownership, and the explorer has already paid $30K for the 30-day due diligence period.
Red Mountain’s board today said it was “pleased to have secured the acquisition” and was now looking forward to unlocking the project’s potential as the company executes on its State-side critical minerals strategy.
Heading into Thursday, RMX is selling at 1.5cps.
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