Augustus Minerals Limited (ASX: AUG) Research Update

Highlights:

• Arrowhead is updating its coverage on Augustus Minerals Limited (“Augustus” or “the Company”) with a fair value bracket of A$ 0.15 – A$ 0.18 (Share Price on October 31, 2023: A$ 0.14) based on Comparable Company Valuation.
• Augustus is an early-stage exploration company that owns 100% of the Ti Tree Shear Project (“the Project”) which is situated in the Gascoyne province of Western Australia. The Company holds 20 granted exploration licenses on the Project and is exploring critical minerals (copper, rare earth elements (“REE”s), and lithium), gold, molybdenum, nickel, and platinum group elements.
• Augustus’ Ti Tree Shear Project is located in an emerging resource-rich region of Western Australia with several companies working on advanced-stage exploration projects in its vicinity. Furthermore, Augustus’ tenement package encompasses 85km of the Ti Tree Shear Zone, a geological structure that hosts most of the region’s mineral occurrences.
• Augustus has conducted numerous field trips and has spent approximately A$ 5 million to date reviewing all the historical geophysical datasets, completing extensive geophysical and soil surveys, and rock chip sampling along the Ti Tree Shear Project. Based on works completed to date, Augustus has identified 50 high-priority drill targets along and surrounding the 85 km strike length of the Ti Tree Shear Zone.
• Augustus raised A$ 10 million through its IPO which closed on May 3, 2023. The Company allocated A$ 7.9 million for exploration expenditures which include reverse circulation, air core, and diamond drilling on various targets identified on the Project. The Company expects that the funds raised can support its exploration activities and routine operations for a two-year period.
• Augustus completed the Aboriginal Heritage survey on September 5, 2023, and based on the positive results from the survey, the Company decided to commence maiden RC drilling at the Ti Tree Shear Project on September 29, 2023. Augustus plans to share the initial results of the RC drilling by the end of 2023.
• Augustus’ leadership has decades of experience in the Mining industry, including years of experience working in the Gascoyne region. The Company’s Managing Director Andrew Reid alone has 30+ years of experience in the Resources industry with Andrew Ford the GM – Exploration having 35+ years of experience.