- Australian Vanadium (AVL) has locked up its shares ahead of a capital raise after announcing the potential expansion of its Coates Project in WA
- Earlier this morning, the ASX-lister announced it was applying for two exploration licences over the Coates Project
- Importantly, the Coates Project is located just 29 kilometres south-southeast of Chalice Gold Mines' Julimar discovery
- AVL and its strategic alliance partners, Lithium Australia (LIT) and Mercator Metals, are exploring the project for nickel, base metals, gold and platinum group elements
- AVL and its partners are planning to conduct fieldwork activities to generate exploration targets
- Before entering a trading halt, AVL last traded 2.94 per cent higher for 1.8 cents
Australian Vanadium (AVL) has locked up its shares after announcing the potential expansion of its Coates Project in Western Australia.
The company is planning to conduct a capital raise once it comes out of the trading halt by no later than Friday, September 25.
Earlier this morning, the ASX-lister announced it applied for two exploration licences, the Coates East and Coates North tenements, over the Coates Project.
The Coates Project hosts a vanadium-titanium magnetite deposit. AVL and its strategic alliance partners, Lithium Australia (LIT) and Mercator Metals, will explore the project for nickel, base metals, gold and platinum group elements (PGEs).
These new applications add 52.6 square kilometres to the east and north of the existing tenement group. This significantly strengthens the company's land position at the project to a combined total of 111.6 square kilometres.
The tenements and applications cover a southern extension of mafic-ultramafic rocks similar to the sequence that hosts Chalice Gold Mines' (CHN) recent nickel-copper-PGE Julimar discovery.
Julimar is located just 29 kilometres from the Coates Project.
"The results from AVL’s geological compilation of the historical Coates Project data, in addition to recently released co-incident Ni-Cu-Co-PGE soil anomalism on adjacent LIT ground, strongly supports the value of this ground in the search for additional Ni-Cu-PGE discoveries such as those at Julimar and Yarahwindah," Managing Director Vincent Algar said.
Australian Vanadium has an approved program of works to conduct sampling and drilling within the Vacant Crown Land portion of its holding at the Coates Project.
AVL, LIT and Mercator are collaborating to gain statutory approvals for other areas within granted tenements before commencing fieldwork.
This work will include soil geochemistry and various surveys in order to generate exploration targets.
Before entering a trading halt, AVL last traded 2.94 per cent higher for 1.8 cents at 11:29 am AEST.