Mansoor’s Radar: Omnia Metals makes its best bet yet

Omnia Metals Group is as much a story of a Quebec Lac des Montagnes 60,000-plus hectare premier greenstone belt land holding as it is about a quintessential rural Albany-Katanning bloke, Managing Director Dr James Warren.  

Dr Warren wanted to be a physio, but the interest of being outdoors turned his focus into geology, completing his PhD thesis on gold and now focusing his energy into finding a grassroots lithium discovery in Quebec. 

Omnia Metals started its life in 2021 with Kimberly Cu and Ni projects. Like a lot of other Aussie companies 12 months ago, OM1 pivoted into Canada’s premier James Bay’s region looking for lithium. In OM1’s case, the key factors which distinguish them from rest of the junior end of Canadian-focused speculative ASX companies is the size of its land package, simple board structure and solid financial backers.  

Currently the lithium market is struggling, the small end of the town and the speculative stocks are underwater, but we believe there is value to unlock. With the right management and committed field crew, they can potentially deliver the goods for investors – especially the ones which have a winter drill ready program and believe OM1 cane be potentially one of them. 

Schedule: 

We are well aware of delays due to fire and rain events in Quebec. Then there is a full closure of field programs due to goose and moose/antler hunting in May and October (respectively). Some of these delays are highlighted as a contingency into schedules, others are just a delay and shift whole program of works forward. 

Cash Position: 

OM1 closed the financial year with $3.8M in the bank. Analysis suggests that to complete the full current field program, along with lab assays, it will cost around $1.72 to $2.3M.  

Omnia Metals will be additionally requiring a material capital raise before the drill program commencement. It appears that completing ~25DH, 3500 meters, shallow 150 meters depth drill program, will cost them around $3.22M to $3.68M. 

Multiple High Priority Targets: 

Omnia completed its due diligence process, which has involved GIS database compilation, acquisition of high-resolution satellite imagery, and interpretation of results by the company and APEX Geoscience geologists. Following the completion of due diligence, multiple high-priority targets have been identified, with newly acquired, high-resolution satellite imagery confirming significant surface exposures of pegmatite bodies.  

Current Field Exploration Data Assessment: 

The team mobilised to embark on field exploration and the first pass of field work was completed with only 10% of samples collected. The preliminary results provided geologists great insight into the use of XRF sampling with the rock chip assays and correlation between Potassium/Rubidium (K/Rb) ratio. The K/Rb ratio is widely used to evaluate the fractionation state and mineralisation potential of pegmatites, with spodumene bearing zones typically having a ratio ranging from 5 – 30 K/Rb. Though majority of the Omnia Metals samples were collected from the region with less evolved geological signature and lab assays confirmed higher K/Rb ratio. 

Assessment on the Initial Field Program: 

1. The initial field program needs to be expanded. 
2. Rock chips at close proximity to the outcrops, the mineralisation errs more on the low side. 
3. Some of the outcrops are barren and need to be eliminated quickly. 
4. Given only 7/8 weeks left before snow season, activities needed to ramped up, with firm understanding of optimum drill pad location! 

Where is the Potential Mineralisation 

MarketOpen has consulted with an independent geologist to gauge the right and ideal location for the next round of Omnia Metals’ field program to find a mineralised zone. Senay 5 is considered very prospective; however, the field crew needs to go around 25/30km west of the first-round field exploration program to potentially find slightly evolved mineralised rocks. 

Potential Rerate Announcement – Next 4 to 6 Months 

Given a very small SOI, with any solid update on mineralisation, OM1 Is ready for a massive rerate.  

• Mineralised rockchips 
• Premium flowthrough raise 
• Drill target and permit approvals

Additional Maps

 

Read the previous Mansoor’s Radar on Azure Minerals – the market darling.

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