Intierra's regular quarterly survey of junior exploration companies (non-producers) has confirmed another strong quarter.
Intierra's regular quarterly survey of junior exploration companies (non-producers) has confirmed another strong quarter. Expenditures were up 27 per cent to $166 million, and are up 170 per cent on the same period two years ago, when the sector began to take off in late 2003.
Cash to hand was marginally up, to $1.25 billion, and explorers are budgeting a healthy $193 million spend in the next quarter – the highest since the survey started in 2003.
Top 10 Western Australian-based explorer by expenditure again was Fortescue Metals Group, with $16 million spent on development of their Pilbara Iron Ore centre in the Pilbara.
Second in WA was perennial top 10 explorer Western Areas, which spent $3.5 million, mainly on its feasibility stage Forrestania Nickel project. Next was Gallery Gold (Botswana and Tanzania gold), Moto Goldmines (gold in the DR Congo), Tethyan Copper (the giant Reko Diq copper deposit in Pakistan), Legend Mining (Gidgee Gold Mine), Wedgetail Exploration (Nullagine gold project), De Grey Mining (Turner River gold projects in the Pilbara), and Universal Resources (Mt Isa belt copper). Coming 10th was CopperCo (Mt Isa Cu).
The most active commodity this quarter would have to be uranium. Projects dormant since the early 1980s have been rejuvenated and often rolled into specialised new floats, or spun-off from existing explorers with overloaded project portfolios.
Notable recent or proposed IPOs in WA include Energy Metals, spun-off from Jindalee Resources, with the relatively high-grade Bigrlyi project in the NT.
Wiluna explorer Agincourt has floated Nova Energy, based on the Lake Way and Centipede calcrete deposits near Wiluna. Goldstream Mining has assembled a very experienced team to raise $6.5 million via its spin-off Uranex NL. Giralia is also considering spinning off its considerable uranium portfolio, including a large calcrete prospect near Yeelirrie.
Other WA explorers with considerable uranium assets include Arafura, Bullion Minerals, Cazaly, Glengarry, Image Resources, Kalgoorlie-Boulder Resources, Matrix Minerals, Paladin, Redport, Scimitar, Summit, and Tasman Resources.
• Mike Kellow is sales and marketing director with Intierra Ltd.
