First Quantum Minerals (TSE:FM) has decided to withdraw from the Mangaroon Nickel-Copper-Cobalt-Platinum Group Elements Project earn-in agreement, resulting in Dreadnought Resources (ASX:DRE) reverting back to 100% ownership. 

First Quantum’s decision comes from the company seeking to direct cash flow towards major projects associated with its operations. 

Dreadnought, which has a market capitalisation of $73.11 million, says it is continuing to receive unsolicited interest from ‘majors’ regarding the project. 

Managing Director Dean Tuck says the company has seen Mangaroon advance ‘significantly’ during the earn-in period. 

“Notwithstanding our success to date, there remains a substantial amount of unfinished business along the 45km long mineralised Money Intrusion.

Drilling to date has been sparse but highly successful over only 2.5km of the Intrusion. Part of the November 2023 drill program is yet to be completed at Bookathanna North. 

The recent induced polarisation (IP) survey will significantly expand our geophysical knowledge and we now expect it will be a vital technique in advancing the project. We have barely touched targets at High Range, Lumpy’s, Lumpy’s South, and the Money Intrusion South.”

A reassessment of the Money Intrusion and the targeting completed to date is currently underway with further drill targets anticipated to be returned in the June quarter of 2024. 

Dreadnought is focusing on identifying and understanding ‘large-scale’, net textured, and heavily disseminated sulphide mineralisation using IP surveys, and deeper massive sulphide trap sites using geophysical inversions, downhole electromagnetic (DHEM) and more ‘powerful’ EM surveys. 

Some of the unfinished business at Mangaroon include completing the November 2023 drill program as well as conducting the DHEM to uncover off-hole conductors. 

Further, the company plans to receive results from the 13km long IP survey in April 2023 and determine implications for future targeting of massive sulphides, alongside ‘large-scale’, net textured, and heavily disseminated mineralisation. 

Once all of the data has been received and processed, the company will conduct an internal review and targeting exercise including all learnings and new interpretations for the Money Intrusion. 

The Mangaroon project covers more than 5,000km-square in the Gascoyne region of Western Australia. 

Dreadnought Resources is focused on its 4 projects in Western Australia that provide a diverse mix of geological terrains and target commodities. 

As of 31 December 2023, the company had $2.825 million cash and cash equivalents at hand, according to its latest quarterly report.  

Images: Dreadnought Resources