AW1 extends the USA's biggest indium project across ~1.6km
Our US critical minerals Investment American West Metals (ASX: AW1 | OTCQB: AWMLF) just hit another extension to its critical minerals project in Utah.
AW1 had two key points in its announcement today:
- Assays from hole #2 of the current drill program - A 350m extension south-east of the existing deposit, with peak values of up to 8.6% zinc, 1.1% lead, 19.7g/t gallium and 1.3g/t gold
- Visuals from hole #3 of the current drill program - A combined 66m of visual zinc-lead sulphides and a combined 89m of visual molybdenite within the porphyry system.
Together, the two holes have now extended mineralisation to across ~1.6km (inside a >4km long magnetic anomaly).
(source)
So as AW1 continues drilling out to the east - its resource could get a lot bigger.
AW1’s project is already the biggest undeveloped indium resource in the USA.
The project is already fully permitted for an open-pit mine and exploration shaft construction.
Only ~35% of the project has been assayed for indium across historic drilling AND the project’s never been assayed for any other critical metals like gallium or germanium.
(despite historic core samples showing a 518m continuous gallium intersection with peak grade of ~77.3 g/t).
So AW1’s project could actually be a source for three critical minerals that the US is 100% reliant on imports for.
(China produces 70% of the world's indium, 98% of the world's gallium, and 60% of the world's germanium.)
To that point - today’s hit contained grades up to 19.7g/t gallium.
We are Invested in AW1 to start building momentum around its US critical minerals asset and hopefully because its project is the single biggest indium resource in the US it attracts some sort of government backing to get the project off the ground.
As mentioned above, the US produces ZERO indium…
We did a deep dive on the current indium macro setup in our last note which you can check out here: Just 3 days ago China tightened indium export checks and threatened export controls. AW1 has the biggest indium resource in the USA.
What’s next for AW1?
US indium project (West Desert, Utah)
Here we want to see AW1 run its upsized drill program, grow its resource and hopefully define a gallium & germanium resource to go with it.
Here are the milestones we are tracking:
- ✅Drilling commenced
- ✅First hole hit 108.4m at 25.2g/t indium (plus gold, silver & zinc) 430m east of resource, along the 4km magnetic anomaly
- 🔄 Historical core resampling for gallium & germanium.
- 🔄 Assays from drilling
- 🔲 Resampling assay results
Strategic / Government Engagement
- 🔄 Defence Production Act Title III funding
- 🔲 Formal US government funding deal / offtake / stockpile inclusion
- 🔲 Potential US listing
Canadian copper project
AW1 also has an advanced stage copper project - check out our deep dive into the asset here.
The next major catalyst for this project will be the PFS that is currently underway - here are the two milestones we are tracking for that project next:
- 🔄 Pre-Feasibility Study
- 🔲 Environmental studies and permitting milestones
