Pantera Logo ASX.PFE

Pantera Minerals Ltd

ASX:PFE

Last Price:

$0.120

Our Investment Summary

Date of Initial Coverage

05-Aug-21

Initial Entry Price

$0.200

Returns from Initial Entry

-40%


Our Big Bet for PFE

PFE to return 10x by making a discovery and defining a deposit significant enough to move into development studies.

Investment Memo: Pantera Minerals Ltd (ASX:PFE) - LIVE

Opened: 23-Feb-2022

Shares Held at Open: 2,467,000


What does PFE do?

Pantera Minerals (ASX:PFE) is an early stage minerals exploration company based in Western Australia. PFE has a diverse suite of commodities within its tenements, including Iron-Ore, Lead, Zinc, Silver, Copper and Manganese.

What is the macro theme?

PFE is an exposure to what we believe will be a coming commodity super-cycle leading to sustained high prices across several commodities. With the US & the EU looking to increase fiscal stimulus to spur economic growth, we think decades of under-investment in new mines will lead to higher demand and therefore higher commodity prices.

In particular, iron ore - the primary raw-material for steel - will benefit the most from increased construction and infrastructure activity, which are almost guaranteed through new stimulus programs across many nations worldwide. However, it is the higher grade iron ore that will be even more desired as steel producing nations (in particular China) also look to mitigate greenhouse and environmental issues caused by using lower grade materials.

Why did we invest in PFE?

Nearology

PFE’s Yampi project sits right next door to Australia’s highest grade iron ore operation, Koolan Island (owned by $503M capped Mount Gibson) & all of its deep water port infrastructure. In December 2021 PFE acquired a lead/silver project with nearology to Galena Mining’s Abra project, a globally significant lead/zinc/silver mine currently in development.

Takeover target if a commercial discovery is mad

Any successful discovery made by PFE would make it the ideal takeover target for nearby producers who may seek bolt-on acquisitions to their assets.

Tight capital structure and low EV

Relatively low Enterprise Value with a large portion of the stock in escrow (majority of our holding is escrowed for 2 years) means that exploration success is likely to lead to strong market re-rating.

Click here to see a detailed breakdown of why we invested in PFE

What do we expect PFE to deliver?

Objective #1: Drilling of the Flagship Yampi Iron Ore project.

Heli-portable rig built and drilling set to commence
First drilling starts next week
PFE intersects 14m of Hematite sandstone on first drill campaign
😔 Inclement weather: Only 3 of 5 planned holes are drilled
Assay Results

[Objective Assessment, 23-Jun-2022] Grade F:

Analysis of results from 60 half core samples from 3 diamond drill holes last year returned only modest grades and widths of hematite (iron ore). This is disappointing, as our initial interest in investing in PFE was the hematite potential at Yampi. The focus now shifts to PFE's other projects including Hellcat and Manganese Project, which we hope will provide a better result.

Objective #2: Drilling of the newly acquired Lead/Silver project.

VTEM surveying leading-up to diamond drilling in Q2-22.

Objective #3: Drilling at PFE’s Manganese project.

Geochemical sampling program leading up to RC Drilling in Q2-22.

What could go wrong?

Regulatory Risk

As with all other junior exploration companies there is a risk with ELA's that the necessary approvals/agreements like land-access, heritage & native title agreements are not reached and permits can go un-granted.

Exploration Risk

PFE’s projects are relatively early stage exploration assets and the company is still refining high-priority drill targets. With early stage explorers there is a risk that the targets identified return no mineralisation.

Funding Risk

As a junior explorer with early stage projects, the company does not have revenues, meaning it needs to be able to tap the markets for funding in-between major exploration programs. Markets may lose momentum and funding for early stage higher risk exploration like this could dry up.

What is our investment plan?

Our investment strategy for our exploration investments is to take a position during the quiet periods before speculation around drilling results. This is when we typically see share prices run upwards - at this stage we aim to take some profit and possibly free carry, holding the rest of the position into the drilling results.

Our original plan for PFE was to sell 20% prior to the first results IF the share price ran, BUT after the heat came out of the iron ore market, PFE share price didn’t really move as much as we had hoped, so we ended up holding nearly all of (~94%).

Our revised investment plan for PFE is to hold onto 94% of our position into the assay results from the first drilling program at the iron ore project, we will reassess completing the top slice (i.e. taking some profits) going into potential step-out/extensional drilling in 2022.


Disclosure: The authors of this article and owners of Next Investors, S3 Consortium Pty Ltd, and associated entities, own 2,467,000 PFE shares at the time of writing this investment memo. S3 Consortium Pty Ltd has been engaged by PFE to share our commentary on the progress of our investment in PFE over time.


Investment Milestones for PFE

Initial Investment @ 20c
Top Slice
🔲 Free Carry
🔲 Take Profit
🔲 Price increases 300% from initial entry
🔲 Price increases 500% from initial entry
🔲 Price increases 1000% from initial entry
🔲 12 Month Capital Gain Discount
🔲 Hold remaining Position for next 2+ year

Consolidating land position around WA manganese project

ASX:PFE  

Dec 06, 2022

Announcement

Investment Memo: PFE IM-2022
Objective 2 : Drilling at PFE’s Manganese project.


Our WA-focused junior exploration Investment Pantera Minerals (ASX:PFE) is building up its position around its Weelaranna Manganese project in WA, following completion of its maiden drilling program.

While we are awaiting for the labs to return those assays, 3 adjoining tenement applications - E 52/4046 E 52/4071 and E 52/4072 - have been granted, covering a total of 357 km2.

PFE will now commence geochemical soil and rock chip sampling and mapping, with a view to determining several manganese and gold-silver drill targets to incorporate into next year's drilling programmes.

Consolidating the area around Weelaranna signals PFE’s confidence in the prospectivity of the area, and we consider it a positive signal as to what the assays may return later this month.

From visual and XRF analysis of drilling to date, PFE has already confirmed the deposit is open in three directions, and so we’re keen to see what the assays return. We will evaluate the results as such:

  • Bull Case: Mn grades of 20%; deposit open in at least one direction
  • Base Case: Mn grades of 8-15% in line with Element 25’s manganese deposit
  • Bear Case: No manganese (or trace manganese) found in assays.

What’s Next?:

We're expecting the assays for Weelaranna this month. PFE will secure permits to drill manganese areas 2-4 in 1H23.

Not much doing from initial Hellcat assays

ASX:PFE  

Nov 18, 2022

Announcement

Investment Memo: PFE IM-2022
Objective 1 : Drilling of the newly acquired Lead/Silver project.
Risk 2 : Exploration Risk


Our multi-commodity exploration investment Pantera Minerals (ASX:PFE) has reported assay results from the maiden drilling campaign at its Hellcat polymetallic project (PFE owns 80%) in WA’s Edmund Basin.

A total of 4 diamond holes were drilled for 1832.7 metres, testing high priority gravity targets and modelled electromagnetic conductors at the Teano and Yarvi prospects.

Unfortunately, drilling did not intercept economic mineralisation this time.

We held high hopes for Hellcat, given its proximity and several geological similarities to Galena’s Abra base metals mine.

Whilst disappointing, this is what exploration is all about - high risk, high reward. No matter how promising rock chip sampling, trenching, aerial and ground surveys, and/or nearology… etc the most likely outcome of maiden drilling campaigns tend to be “no discovery found”.

It is not all bad news however for Hellcat. The results will help construct a better geological model of what is happening beneath the surface. Low level lead anomalism returned in three of the four holes, and there is evidence to suggest hydrothermal activity carrying metalliferous fluids taking place at all target areas. Furthermore, reconnaissance rock sampling confirms lead, zinc and silver anomalism across the wider Hellcat project.

Armed with insights drawn from the maiden drilling program and recent sampling results, we suspect that PFE will return to Hellcat with new drill targets next year.

What’s next?

We await assay results from maiden drilling at PFE’s Weelarana manganese project, hopefully prior to Christmas.

Also, PFE’s next drilling campaign will likely be at its Frederick base metals project in WA, following a Exploration Incentive Scheme grant of up to $100k.

PFE Completes Manganese Drilling - Visuals Identified

ASX:PFE  

Nov 14, 2022

Announcement

Investment Memo: PFE IM-2022
Objective 2 : Drilling at PFE’s Manganese project.


Our junior exploration Investment Panteral Mineras (ASX:PFE) just completed its 965m RC drilling campaign for manganese at Weelarrana, WA.

Drilling confirmed that manganese mineralisation continued over 800m of strike, with mineralisation open to the North, East and West.

Semi-massive to massive manganese shale was identified, this is the exact type of manganese that we were hoping for PFE to discover, and it has a visually estimated 20-50%+ Mn grade.

Again, these are only visual estimates, and assay results will be the only way to confirm the results.

Assays are due in December.

PFE has already confirmed the deposit is open in three directions, so this result is indicative of something closer to our Bull Case:

  • Bull Case: Mn grades of 20%; deposit open in at least one direction
  • Base Case: Mn grades of 8-15% in line with Element 25’s manganese deposit
  • Bear Case: No manganese (or trace manganese) found in assays.

What’s Next?: Assays for this drilling program. PFE will secure permits to drill manganese areas 2-4 once and conduct further infill drilling on area 1 to support a resource estimate.

Drilling to commence at WA Manganese Project

ASX:PFE  

Oct 10, 2022

Announcement

Investment Memo: PFE IM-2022
Objective 2 : Drilling at PFE’s Manganese project.


Our junior exploration Investment Pantera Minerals (ASX:PFE) is poised to commence drilling at its WA manganese project, Weelarrana.

This follows completion of a Cultural & Heritage survey covering four prospects. PFE has heritage clearance to conduct exploration drilling over all these prospects, with the first 1500m RC drilling campaign to commence imminently.

We are encouraged by the prospectivity of the area, noting that further rock samples have confirmed and extended the area of outcropping manganese mineralisation.

Of note, Weelarana is located roughly 45km south of Element 25’s (ASX:E25) Butcherbird Project, which hosts 260+ Mt of manganese ore in JORC resources.

With this being the first time the manganese mineralisation here has been drill tested in this project, we eagerly await assay results, likely in 4Q22.

Meanwhile, the assay results from PFE’s Hellcat project are likely to be released in this current quarter.

Critical minerals quickly becoming a priority in the EU

Sep 20, 2022

Macro: Commodities


Readers who follow our Investment Portfolios will know that we have been making strategic Investments in commodities that have made critical minerals lists for the EU, USA, Japan, India and Australia.

These minerals are considered critical to the digitisation and decarbonisation macro thematic and include lithium, graphite, cobalt, nickel and PGE’s, to name a few.

Over the weekend, the following speech from the president of the European Commission, Ursula von der Leyen, gave a speech announcing that the EU would look to pass a “European Critical Minerals Act”.

The aim is to avoid the position Europe finds itself in with oil and gas, where it relies on a single trading partner like Russia.

The act would see the EU put in place:

  1. Agreements with partners like Chile, New Zealand, Mexico, India and Australia for the supply of critical minerals.
  2. Identification of strategic projects across all along the supply chain from mine sites to processing/refining projects.
  3. The act would also see the setting up of strategic reserves of these critical minerals.

All of this bodes well for our Investments across commodities identified as “critical minerals” giving these projects strategic importance on the world stage.

To see a list of all the critical minerals in the Australian Critical Minerals strategy document, check out the following link.

Here is a snippet from that speech:

Drilling completed at Hellcat, assays next month

ASX:PFE  

Sep 06, 2022

Announcement

Investment Memo: PFE IM-2022
Objective 1 : Drilling of the newly acquired Lead/Silver project.


Our multi-commodity exploration investment Pantera Minerals (ASX:PFE) has now completed its maiden drilling campaign at the Hellcat polymetallic project (PFE owns 80%) in WA’s Edmund Basin.

A total of 4 diamond holes were drilled for 1832.7 metres, testing several high priority gravity targets and modelled electromagnetic conductors.

Hydrothermal alteration was observed in all four drillholes.

Whilst multiple sulphides were observed in all holes (pyrrhotite, pyrite, galena and chalcopyrite) in steeply dipping veins and fracture sets, no significant base metal mineralised zones were intersected.

We look forward to the assay results, expected around the end of October, which fits in with our Objective #2 that we’d like to see PFE deliver this year, as per our Investment Memo.

Hellcat is located near to one of the region’s most significant discoveries of the past two decades, Galena Mining’s (ASX:G1A) ‘Abra’ polymetallic deposit. Of note, interest in the Edumd Basin has heightened, with Bellavista Resources applying for the tenements surrounding Hellcat and adjoining G1A tenements.

Next up for PFE will be the commencement of drilling at Weelaranna manganese project, which we expect to commence next month.

High grade manganese confirmed ahead of first drilling

ASX:PFE  

Aug 01, 2022

Announcement

Investment Memo: PFE IM-2022
Objective 2 : Drilling at PFE’s Manganese project.


Pantera Minerals (ASX:PFE) has identified multiple high grade manganese targets at its WA manganese project, Weelarrana.

The previously reported 22 rock chip samples analysed by pXRF returned equivalent or improved manganese grades. The assays of crushed and pulped rock samples included grades of up to 44.1% manganese.

PFE expects to commence RC drilling in early October 2022 upon completion of the Cultural and Heritage survey. The survey was scheduled for late May 2022 but was delayed due to rainfall and is now scheduled for late August 2022.

PFE has planned a 1500m RC drilling program at Area 1, while drill planning and permitting is underway for Areas 2 and 3 with drilling expected in Q3 2022.

We look forward to the upcoming drill program as this will be the first time the manganese mineralisation here has been drill tested.

Noosa Mining Investor Conference round-up

Jul 22, 2022

Macro: Commodities


Spanning three days on the pristine Sunshine Coast of Queensland, the Noosa Mining Investor Conference kicked off its 12th year on Wednesday. Attracting a diverse and large spread of corporates, brokers, retail and institutional investors, this year’s event featured over 60 companies presenting and over 1,000 people in attendance, all hosted within the coastal town's Peppers Resort.

At the event, we caught up with a number of executives from our Investment companies (including AKN, AOU, BPM and PFE) as well as companies of interest, either as potential additions to one of our Portfolios, or to gain expert insight to macro and regional headwinds impacting the markets.

The conference is held in the ideal location to mix work with pleasure, and meet a host of CEOs of ASX juniors. Each day ends with a short ‘business at the bar’ session that quickly morphs into talking tactics about where to eat and drink. On Thursday and Friday nights, many head to the Noosa Surf Club for its networking sessions, enjoying its glassed indoor area and open deck to the beach.

We look forward to providing updates on companies we met with down the road.

China considering US$1.1 trillion infrastructure stimulus

Jul 15, 2022

Macro: Commodities


China plans to make up to US$1.1 trillion in financing available for infrastructure spending, which we think will increase commodity demand. Read the following Bloomberg article for details.

Read the full article here.

Below are our key takeaways:

  • China is making 7.2 trillion yuan ($1.1 trillion) in funds available for infrastructure spending.
  • According to Citigroup, infrastructure investment in 2022 is likely to rise by 7.7% versus 2021.
  • President Xi Jinping has called for an “all out” effort to increase infrastructure spending this year to fuel economic growth and meet a GDP growth target of around 5.5%.

The Bloomberg article touches on the impacts of China’s COVID induced lockdowns on the domestic economy.

With economic growth tipped to slow, the Chinese government is getting ready to lean on fiscal stimulus through infrastructure investment to spur economic growth.

We think this type of fiscal stimulus is likely to become a common theme in China and the West, with macro themes like decarbonisation requiring massive CAPEX.

This infrastructure spending forms part of our “commodities supercycle” investment thesis, where we see increased fiscal stimulus and CAPEX investment spurring higher demand for commodities already facing supply shortages.

China considering US$220Bn in infrastructure stimulus

Jul 08, 2022

Macro: Commodities


The following Bloomberg article highlights China’s plan to spend up to US$220 billion to spur economic growth through infrastructure spending.

All of this new infrastructure will require more commodities.

Read the full article here.

Below are our key takeaways:

  • China’s Ministry of Finance is considering US$220 billion of infrastructure funding aimed at shoring up the country’s beleaguered economy.

  • The funding is to be brought forward from next year’s quota, marking the first time the issuance has been brought forward due to concerns around the dire state of the world’s second largest economy.

  • The funding would primarily be used on infrastructure spending to boost an economy hit by Covid lockdowns and a housing downturn.

  • Commodities rallied in European trading hours following the news, with copper moving 3.6% higher on the London Metal Exchange.

For over two years, we have been writing about an upcoming commodities supercycle brought about by infrastructure spending, following decades of underinvestment in the “real economy”.

All this investment in the “real economy” requires raw materials, which is why we think the macro backdrop for commodities over the next decade is strong.

The Bloomberg article highlights the readiness of the Chinese government to lean on fiscal stimulus to spur economic growth at a time when the Chinese economy is slowing down.

Generally, governments would try to respond to slowdowns in economic growth by cutting interest rates. With this tool exhausted after the COVID pandemic, we think infrastructure spending will become the new policy of choice for governments worldwide.

Again, this infrastructure spending will increase demand for commodities which we expect will take commodity prices higher.

VW CEO breaks down batteries and supply chain issues

Jul 08, 2022

Macro: Commodities


The following Bloomberg article showcases the moves major carmaker Volkswagen is making in the batteries industry.

Read the full article here.

Below are our key takeaways:

  • VW is pressing forward with investments along its battery supply chain, commencing construction at a new cell factory in Salzgitter, Germany, one of five facilities in Europe under the carmaker’s PowerCo subsidiary.
  • Salzgitter is home to VW’s main motor factory, and it is where the company last year opened an $80 million facility to research, develop and test EV batteries.
  • Roughly $2 billion will be invested in the new cell factory, where production is scheduled to begin in 2025.
  • VW expects its battery business to generate €20 billion in revenue by the end of this decade.
  • VW CEO Herbert Diess said, “We are invested in some startups and we are looking forward to a joint venture together with Bosch for the machine tools and equipment for those plants, so we’re really gearing up to become one of the bigger battery cell producers”.

The news is just another sign that downstream investment in battery supply chains is showing no signs of slowing down.

VW is one of the world's largest carmakers and is heavily investing in downstream production capacity. It expects this part of its business to generate over €20 billion in revenues by the end of the decade.

This is a situation where investment in midstream/downstream (manufacturing/battery industry) is far ahead of upstream investment (mining), this leads to the supply/demand imbalances for the raw materials required to produce batteries only becoming worse.

The imbalance comes from the timing of these mega projects. Building a downstream / midstream facility could take 1-4 years whereas it takes around 7 years on average to bring a new resource discovery into the production stage.

As a result, we think that raw materials prices will remain high for at least the next decade whilst the mining industry catches up to demand.

✅ Drilling commences at Hellcat

ASX:PFE  

Jul 04, 2022

Announcement

Investment Memo: PFE IM-2022
Objective 1 : Drilling of the newly acquired Lead/Silver project.


The newsflow is about to accelerate for our cashed-up, multi-commodity exploration investment Pantera Minerals (ASX:PFE).

This is as drilling is now underway at PFE’s most recent acquisition, its Hellcat polymetallic project in WA’s Edmund Basin. In addition, a maiden drilling campaign is about to begin at PFE’s manganese project, Weelarana later this month.

As we reported in our most recent update on PFE, drilling is typically the period of most excitement for juniors - especially when it is the first drilling program on freshly identified targets.

At Hellcat, a 1,700 metre diamond drilling program is underway, which should be completed in September. The program will test several high priority gravity targets and modelled electromagnetic conductors.

Hellcat is located near to one of the region’s most significant discoveries of the past two decades, Galena Mining’s (ASX:G1A) ‘Abra’ polymetallic deposit. Furthermore, Hellcat shares the same stratigraphic and structural setting as Abra, alongside a similar geophysical signature.

PFE holds an 80% interest in Hellcat.

This fits in with our #2 Objective we want to see PFE deliver this year.

Next up for PFE will be the commencement of drilling at Weelaranna, followed by assay results at both projects.

PFE: Drilling set to commence at Hellcat

ASX:PFE  

Jun 15, 2022

Announcement


Investment Memo: PFE Memo

General: Exploration activity


Our early stage exploration investment Pantera Minerals (ASX:PFE) is preparing the drill rig for its most recent acquisition.

This morning, PFE announced the completion of a heritage survey at its Hellcat polymetallic project in WA’s Edmund Basin, thus paving the way for its maiden drilling programme. An 1,800 metre diamond drilling program is set to commence early next month.

Hellcat is located ~100km from one of the region’s most significant discoveries of the past two decades, namely the ‘Abra’ polymetallic deposit - owned by Galena Mining (ASX:G1A). The project is currently in construction, with first lead and silver production slated for 2023.

We like that Hellcat has the same stratigraphic and structural setting as Abra, and also shares a similar geophysical signature.

PFE acquired 80% interest in the Hellcat Project in December 2021.

This fits in with our #2 Objective we want to see PFE deliver this year.

Next will be the actual drilling activity next month, followed by assay results, which we will await with interest.

Loyalty offer for existing shareholders

ASX:PFE  

May 06, 2022

Announcement


Our junior exploration investment Pantera Minerals (ASX:PFE) is entering a busy phase, advancing multiple drilling programmes across its WA projects in the coming months.

PFE has a diverse suite of commodities within its tenements, including iron-ore, lead, zinc, silver, copper and manganese, providing exposure to what we expect to be the coming commodity super-cycle.

On the corporate side, PFE today announced that it was undertaking a 1-for-4 pro rata non-renounceable rights issue to raise approximately $193,750.

Eligible shareholders (anyone on the register as of close of business 5 May 2022) have the rights to apply for options at the issue price of $0.01 each. These options are exercisable at $0.25 each on or before 1 May 2026.

Funds raised are earmarked primarily for advancing its Yampi Project, where geophysics surveys are planned in near term.

Given that PFE already has a healthy cash balance of about $5.8M as of 30 March 2022, and the current rights issue is for a relatively small amount, we believe that this is more to do with rewarding existing shareholders than PFE requiring funding.

The key dates are as follows:

The next key milestones that we’re keen to see are the drill rigs arriving on site at PFE’s Hellcat Polymetallic Project and Weelarrana Manganese Project, which is expected early in the next quarter. More details on these projects, along with our investment plan for PFE, can be found in our PFE Investment Memo.

PFE: Promising manganese results leads to July drilling plan

ASX:PFE  

May 03, 2022

Announcement


Our junior exploration investment Pantera Minerals (ASX: PFE) today announced plans for its maiden drilling programme at the Weelarrana manganese project in WA.

This comes on the back of promising results from rock chip sampling, with 16 of 22 samples returning high grade manganese (between 11% to 43% grades) supporting previously reported high grade sampling (grades between 32% to 42%).

Three areas of outcropping high grade manganese mineralisation have now been identified, extending the strike length of outcropping mineralisation from 280m to 800m, with large parts of the tenement area yet to be assessed.

A heritage survey for later this month is set to pave the way for a 1500m RC drilling programme in July 2022.

The drilling of PFE’s manganese projects is our #3 objective we want to see executed this year, and so today’s announcement illustrates the progress being made here:

Next up is the upcoming drilling campaign at PFE’s Hellcat polymetalic project that’s expected to start at a similar time to Weelarrana. More details on these projects can be found in our PFE Investment Memo.

PFE: Flagship shifting focus from iron ore to copper/gold

ASX:PFE  

Apr 29, 2022

Announcement


Our junior exploration investment Pantera Minerals (ASX: PFE) today provided an update on its flagship Yampi Project in the Northern Territory.

Analysis of results from 60 half core samples derived from 3 diamond drill holes last year returned only modest grades and widths of hematite (iron ore) - the initial focus of the drilling campaign.

This is disappointing, as our initial interest in investing in PFE was the hematite potential at Yampi - the project is located down the road from Mt Gibson’s high grade Koolan Island iron ore mine, and drilling was following up promising high-grade hematite rock chip samples. Our #1 Objective for PFE to deliver this year was based on this:

Whilst the iron ore grades have not impressed, somewhat interesting is that several pathfinder elements for porphyry copper-gold mineralisation were encountered - this is of note given Yampi’s proximity to Dreadnought Resources’s Orion Copper Project, with structures that extend well within PFE’s tenements.

The results have warranted PFE to greenlight an aeromagnetic and radiometric survey in May over the majority of Yampi - this will help narrow down where to focus the next exploration campaign to hunt for a possible copper/ gold porphyry.

Our focus now turns to upcoming drilling campaigns at PFE’s Hellcat and manganese projects, expected in the next quarter. More details on these projects can be found in our PFE Investment Memo.

Drilling plans revealed for Hellcat Project, WA

ASX:PFE  

Apr 28, 2022

Announcement


Our junior exploration investment Pantera Minerals (ASX: PFE) today announced plans for its maiden drilling programme at the recently acquired Hellcat polymetallic project in WA.

Hellcat is located down the road from one of the region’s most recent significant discoveries - Galena Mining’s ‘Abra’ polymetallic deposit, currently in construction for first lead and silver production next year.

Hellcat has the same stratigraphic and structural setting, and shares a similar geophysical signature to Abra, so it will be interesting to see what drilling uncovers - this fits in with our #2 Objective we want to see PFE deliver this year.

Today, PFE announced the Program of Works for the Hellcat drilling program - a precursor to the 4 diamond drill holes planned for July 2022.

In preparation, a drilling contractor has already been booked. Next will be the heritage and cultural clearance surveys, expected for later in May 2022.

PFE has several projects they are advancing - to see the key objectives we set for 2022 and what we want to see the company achieve in 2022, check out our 2022 PFE Investment Memo here.

PFE: Aerial survey helps pinpoint targets for Hellcat campaign

ASX:PFE  

Apr 06, 2022

Announcement


Our multi-commodity exploration investment Pantera Minerals (PFE) today announced that it had completed a VTEM survey over its recently acquired Hellcat lead/silver project in WA.

VTEM stands for versatile time-domain electromagnetic - it is essentially an airborne survey system that can identify moderate to excellent conductors beneath the surface - which in turn can point to possible mineralisation/ ore bodies underground.

The results of the VTEM survey have helped refine drill targets for the upcoming maiden drilling program at Hellcat, expected later this quarter. This ties in with our Objective #2 that we want to see PFE deliver in the year ahead, as outlined in our Investment Memo.

In particular, high priority gravity targets at the Teano and Yarvi prospects (within the Hellcat project) are coincident with electro-magnetic conductors (as revealed by VTEM), a promising sign prior to drilling.

We like that Hellcat is down the road from one of the world’s next significant lead/zinc/silver operations expected to go into production next year - the Abra mine, a joint venture between Galena Mining and Japanese smelter Toho Zinc. Abra is expected to operate for an initial 16 years, producing 95 ktpa of lead alongside by-products.

Aside from upcoming drilling at Hellcat, we expect PFE to also be drilling at their WA manganese project in this current quarter, and so will be keen to see the results.

Lead-silver exploration now underway

ASX:PFE  

Mar 21, 2022


Pantera Minerals has commenced field exploration at its Frederick lead/silver project. This comes after PFE last week completed a comprehensive ground gravity survey and an in-depth review of all available surface sampling. Survey results are expected in four weeks.

PFE’s lead/silver projects (the Frederick Project and the nearby Hellcat Project) are located in WA’s Gascoyne region, which is in a similar geological setting to Galena Mining’s globally significant lead-silver project Abra Pb-Ag deposit.

While we didn’t state an objective in our 2022 Investment Memo for PFE to achieve with this project, the field work aligns with its strategy of year round exploration and complements work at the PFE’s other projects — including its main Iron Ore project.

Drilling of the flagship Yampi Iron Ore project remains our main objective for PFE this year. Here we want to see the company delineate a large, high grade iron ore resource, which might one day attract the attention of a bigger company as a takeover target. As mentioned in our last note on PFE, the team is keen to commence the next drill campaign here once the wet season passes, likely in Q2 2022.

Our other objectives for the company this year, along with the risks involved and our own investment plan for the stock see our Investment Memo, here.

EM surveys completed at newly acquired lead-silver project

ASX:PFE  

Feb 21, 2022


On Monday PFE announced that it had completed EM surveys over the two main target areas at its newly acquired lead/silver project in WA.

The EM survey results are yet to be received but PFE is aiming to analyse the results and prepare a drilling program which is expected to commence in Q2-2022.

Read our deep dive into the newly acquired Hellcat asset, where we discuss why we like the project and where we compare it to Galena Minings' deposit that is currently being put into development.

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