The proceeds will place Altamin in a good position to support further exploration activities with a focus on the Lazio Lithium Project. Following a detailed study received from expert independent Italian geothermal consultants STEAM Srl (announced 4October), the Company has applied to increase its exploration licence area by over 500% and commissioned STEAM Srl to prepare a reservoir estimate of the enlarged area with the intention of reporting a JORC-code compliant Mineral Resource Estimate of the expected potential content of geothermal power, lithium and other minerals. In discussions with the company, we believe there are additional positive factors to consider:
- The Company has received a commitment from its largest shareholder to subscribe for its full entitlement and Additional shares, and Directors intend to take up approx. 5.678 million shares in the Offer.
- Altamin is continuing the development of its Gorno Project in joint venture with specialist mining private-equity group Appian Capital. However proceeds of this offer will not be used for Gorno, because the ongoing work is being funded by the US$10 million committed by Appian to earn a 29.9% interest in Vedra Metals S.R.L., the special purpose JV company established for that purpose.
- The Company has made significant progress in developing a better understanding of the prospectivity of its Lazio Lithium Project, which is located near Cesano, approximately 30km north of Rome in an area well known for its geothermal energy. The Company announced on 4 October 2023 that it received a detailed study from expert independent Italian geothermal consultants STEAM Srl. The study provided a geological model for the entire prospective district and a positive reservoir assessment (non-JORC compliant) of potential energy and lithium content contained within the boundaries of the Company’s two existing exploration licences. Following receipt of this study, the Company applied to increase the exploration licence application area by over 500% (from two to six exploration licences) to cover a significant portion of the remaining geothermal reservoir. If granted, this exploration licence package will give the Company the majority land position in the Cesano geothermal field.
- The Company has also commissioned respected UK based Watercycle Technologies Ltd (Watercycle) to synthesise brines based on representative data from the historical production wells in the project area and to test whether lithium can be directly extracted from the brines using their proprietary direct lithium extraction and crystallisation (DLECTM) technology. Watercycle successfully precipitated lithium carbonate crystals from the synthetic brine achieving an 83% recovery of lithium, and further refining of the process is underway to attempt to produce battery-grade lithium carbonate. This represents a potential extraction methodology which may become available to the Company for use in respect of its lithium projects in the future.
- The Lazio Geothermal Lithium Project is rapidly becoming market ready. The Project has already been de-risked by the extensive drilling, analysis and pilot plant testing done by ENEL in the 1970’s . Brine extraction and re-injection has also been demonstrated. Near-term value catalysts ahead for the Lazio Project will be the potential EL approvals, STEAM's updated reservoir assessment and potential a JORC-compliant Mineral Resource Estimate and further testing by Watercycle of their DLE technology. Successful delivery of these workstreams will provide inputs to complete a Scoping Study over the entire Lazio Project area.
- The Critical Minerals Sector is receiving significant Governmental, Municipal and EU Support which will enable Altamin’s progress at the Lazio Project. Notably, the EU has mandated local sourcing of Critical Minerals as part of the EU CRMA (Critical Raw Materials Act). The Lazio Project satisfies the EU criteria for locally produced lithium and renewable energy. Altamin has operated in Italy since 2015, and most recently has received strong support from the Italian Government, which is focussed on local sourcing of critical raw materials and on restarting mining within its territory. Geothermal is already a well-established renewable energy source in Italy.
- Altamin is commercially positioned as demand for lithium-based power will rise rapidly with the growth of the electric-vehicle (EV) market. Forecasts by Tesla suggest the company will need approximately 1,000 kilotons of lithium carbonate equivalent (LCE) per year by 2030, or 16 times its 2022 needs and 30 percent more than the world currently produces. Overall, the global passenger EV market, which relies on lithium-based batteries, is expected to grow annually by 26 percent through 2030* (noted from the Lithium Market report by McKinsey & Company)
- Altamin also holds a diversified portfolio of other brownfields projects in key critical metals and commodities which are considered essential to the EU economy and face serious risk of supply disruption. Whilst the Company’s primary exploration focus will be the Lazio Project, it also has exploration and development opportunities at its Punta Corna cobalt, Corchia copper and Villar graphite projects.
- Managing Director – Geraint Harris, has an established track record of diverse success, with over 24 years’ experience in the mining industry which includes production operations, technical consultancy, funds management and project finance. His most recent role was as the CEO of Adriatic Metals PLC (ASX: ADT valued at ~$954M), overseeing the technical and commercial aspects of two Zn-Pb-Au-Ag-Cu exploration projects in Bosnia and Herzegovina.
- Altamin’s highly experienced Board and Management Team, have extensive hands-on operational experience in minerals exploration, mining and production development in Italy and around the world.
- Directors have skin in the game – they have invested considerable amounts of their own money in via direct share purchases/rights issues and are fully committed to the projects and motivated to ensure its success. (Directors currently hold approx. 16.5% of the Altamin shares on issue).
ALTAMIN LIMITED (AZI) is an ASX-listed company focused on the identification, acquisition & assessment of rich mineral deposits in Italy that are attractive for commercialisation & development in conjunction with EU objectives, regulators & strategic partners.
The Company’s Gorno project, in the Lombardy region of northern Italy, is at an advanced stage, and presents the opportunity to deliver high-grade, clean zinc and lead concentrates to smelters and offtake customers in Europe. The Gorno Project has been transferred to Vedra Metals Srl (Vedra), a special purpose joint-venture company owned by Altamin via its wholly owned subsidiary, Energia Minerals (Italia) Srl, and Appian Italy B.V under a subscription and joint venture agreement.
Altamin has secured two exploration licenses for lithium in geothermal brines in the Lazio region, 30km NW of Rome. Four additional licenses are under application over the adjacent prospective geothermal fields comprising the Lazio Geothermal Lithium project. Geothermal Energy is well understood and commercialised in Italy as an accepted renewable energy source and developing scarce local sources of lithium is a fundamental objective of the EU Critical Raw Materials Act.
The Punta Corna Cobalt project
The Punta Corna Cobalt project in Piedmont, Italy, historically mined for cobalt, nickel, copper and silver, is an active exploration project with outcropping mineralisation, a historical bulk sample grading 0.6-0.7% Co, plus Ni, Cu, Ag (refer to ASX release 28 October 2020) and a drilling program permitted. Altamin’s recent sampling has returned high-grade assays over >2km strike length from multiple sub-parallel veins, with good potential for further mineralised vein discovery and significant depth extension.
Altamin has lodged applications over Corchia and Monte Bianco, the two most significant copper, cobalt and manganese-rich VMS (volcanogenic massive sulphide) historical mining districts in Italy and the Villar graphite district which was mined until the early 1980’s.
DISCLAIMER: ‘The information does not constitute personal financial advice. Consult your adviser or broker prior to making any investment decision.
For further information about this company, email – shareholder@pelshare.com.au
