Letter from the Managing Director

Letter from the Managing Director

Welcome to Asra’s first shareholder update, delivered direct to your inbox!

The start of the 2024 financial year has been a busy but transformational time for Asra, as we expanded our multi-commodity portfolio in the Goldfields region of Western Australia.

In line with our Golden Roots, Lithium Shoots tag line, we signed exclusive option agreements to acquire two prospective lithium projects in the Southern Yilgarn region, which is a renowned lithium-bearing pegmatite exploration region. We have now exercised one of those options as the Lake Johnston discovery frenzy picks up pace with TG6 and other junior explorers finding lithium bearing pegmatites in the region.

This venture into lithium exploration compliments our Rare Earth critical mineral project, and has expanded our entire landholding in the Goldfields to 1,164 square kilometres and has resulted in the creation of two exploration hubs in southern WA- our Northern Hub and our Southern Hub.

Our new Lake Cowan Lithium Project and Lake Johnston Lithium Project are both located in our Southern Hub. Lake Cowan covers 166 square kilometres, and is a stone’s throw away from the currently operating Bald Hill Lithium Mine. Lake Johnston covers 410 square kilometres and consists of three exploration licences.

Lake Johnston is particularly exciting, given it’s located only 16 kilometres along strike from the TG Metals (ASX:TG6) pegmatite discovery at Burmeister, where they recently announced maiden holes intersecting high grade lithium of up to 2.28 per cent Li2O.

Significant exploration activity has already been planned for the two lithium projects in our Southern Hub, including field mapping, sampling, surveys, and drilling, but we have plenty of time to evaluate the projects to determine if we want to exercise the options.

In our Northern Hub, we have ramped up exploration efforts, particularly at our flagship Mt Stirling Project. Containing a JORC Mineral Resource Estimate, the Mt Stirling Project is highly prospective for gold, lithium, and rare earth elements (REE). The project area has four key assets: Viserion, Stirling Well, Wishbone, and Yttria and is entirely covered by our 100 per cent owned Tarmoola Pastoral Lease, positioning us well to develop the assets.

At the Yttria and Wishbone assets, we have made an exceptional near-surface clay-hosted REE discovery, starting from just three metres below surface. This deposit sits in a small section of a potentially much larger REE corridor, with a 20 kilometre strike length that is yet to be drilled. The presence of scandium has also been detected, providing a potential future value ‘kicker’ at Mt Stirling as the market becomes more familiar with scandium’s utility.

We have been conducting orebody modelling over this prospective REE deposit and metallurgy test work on selected drill samples from the Yttria deposit is continuing. We intend to concentrate on the recovery of high value rare earth oxides dysprosium and terbium which are needed for renewable technologies like electric vehicles and wind turbines. Results from all of these activities will help guide future exploration plans as we work to extend the size of the deposit.

Leading our upcoming exploration efforts is Asra’s new Exploration Manager John Harris, who started in the role this month. The experienced and well-respected geologist brings a wealth of knowledge to the Asra team, particularly in gold and lithium which complements our portfolio perfectly. Moving forward, John will prioritise exploration programs and drilling targets at our lithium projects, while also progressing our Mt Stirling Gold Project.

While we are working hard on the ground, we are also working hard behind the scenes to bring you the value you deserve. Recently, I presented at the South West Connect ASX Showcase in Busselton and had the opportunity to meet with a vast range of investors who showed great interest in our highly prospective portfolio. I have also recently been in Melbourne with our Executive Chairma, Paul Summers, meeting Victorian based shareholders, investors and fund managers keeping them up to date with how Asra is expanding and evolving.

We also continue to have discussions with a variety of Australian companies who have moved their exploration focus overseas but have left good, under-explored assets here in Western Australia. There is significant potential to bring some of these projects into Asra’s portfolio, so watch this space!

All of our recent activity has reinforced the confidence I have in the direction we are taking as a multi-commodity exploration company, with the ability to ride the ups and downs of various commodity cycles.

I look forward to keeping you up to date on our exploration efforts, as we delve deep into the gold and critical mineral potential of the Goldfields.

Rob Longley
Managing Director