The NT Independent is providing an update of resource news from across the Northern Territory. Highlights this week include Primero bagging the contract for the Finniss lithium plant project,  BPH Energy putting up $1.83 million for exploration, and Encounter starting drilling at the Elliot project, plus more.

Alligator commences first uranium drill program at Nabarlek

Alligator Energy Ltd (AGE) started its drilling program at the Nabarlek North project in the Alligator Rivers Uranium Province (ARUP) in the Northern Territory. AGE has launched a RAB drilling program in the southern part of Nabarlek North to permit geochemical sampling and improve understanding of the underlying geology of the project.

The company said the results from the drill program, airborne gravity survey, and an IP survey scheduled for the June quarter of next year will be used to identify and target diamond drilling sites slated for later in 2023.

AGE CEO Greg Hall said the gravity survey in August was the first exploration work on the project, which is attractive for the exploration of high-grade uranium. He said extensive work and engagement with Traditional Owners had been undertaken by the company in previous years.

Primero bags contract for Finniss lithium plant in the Territory

Core Lithium (CXO) has awarded Primero contracts for the operation and maintenance of its Dense Media Separation (DMS) plant at the Finnis Lithium project in the Territory.

The contract with Primero also covers similar Tailing Storage Facilities (TSF) infrastructure at the project and has an estimated value of $60 million over five years. Work is expected to start immediately as Primero reported it has most of its key personnel on hand for deployment on the contract.

Core Lithium said recruitment and operational readiness activities will be completed by the end of this year, in time for its first spodumene concentrate production in the new year. “Primero is building the DMS facility and backing its workmanship through the new contract,” CXO CEO Gareth Manderson said.

CXO recently started the operation of its Finniss Lithium Mine, the only lithium pit in the Territory and the only one outside Western Australia. CXO is expected to be the country’s top lithium producer through the development of its Finniss Lithium project—a capital-efficient and lowest-cost spodumene lithium development—situated near the Darwin Port.

BPH Energy puts up $1.83 million for exploration, development programs

Applications totalling $1.83 million were recently obtained by BPH Energy for its non-renounceable rights issue. Incomes from the rights issue, together with a $1.5 million share placement will be used to further invest in clean hydrogen technology, exploration, and development of its oil and gas investments in the RL1 onshore Bonaparte Basin in the Territory.

RL1 held by Advent Energy—BPH 36.1 per cent—contains the Weaber field that has the best-estimated contingent resources of 11.5 billion cubic feet of gas. Studies have indicated present market demand of up to 30.8 TJ per day of power generation capacity across the Kimberley region that could potentially be supplied by RL1.

The funds will also be used to advance the development of the Kununurra region project in northern Western Australia. This includes the Ord River Irrigation Area phase 2, the settlement of Kununurra, and several regional resource projects.

Encounter Resources starts drilling with BHP at Elliot project in the Territory

Drilling at the Elliot copper project in the NT is set to begin after the first diamond drill rig for the joint venture between Encounter Resources (ENR) and BHP has arrived at the site. ENR said the drilling program will aid in exploring the basin architecture and potential locations for sediment-hosted copper deposits.

The project’s exploration stage is backed by a $25 million fund from BHP for 10 years with a maximum of 75 per cent interest.

The project is situated at a major structural intersection on the southwestern margin of the Beetaloo Basin in the Greater McArthur Superbasin hosting the huge sediment-hosted metal deposit at McArthur River.

This project’s first phase, which will see 2,000 metres of diamond drilling, is planned to be finished by end-November this year.

“The Northern Territory is fast emerging as one of the most significant global opportunities for the discovery of new, large sediment-hosted copper. Encounter is excited to be working in partnership with BHP to progress the Elliott Project,” ENR managing director Will Robinson said.