Core Project Holdings

Pan Asia’s aim is to identify, develop and operate specialty metals opportunities situated within the highly prospective South East Asian Tin – Tungsten Belt. Projects located elsewhere in ASEAN and nearby counties are also considered.  These projects are core to Pan Asia’s low cost down stream value adding strategy, Pan Asia has a longer term objective for these holdings.

Other projects may be considered from time to time, based on their merits.  These holding may represent a shorter term opportunity where, with a little capital and management time, an asset can be monetised and bring benefit to Pan Asia and its shareholders.  These projects are referred to as transactional holdings.

Pan Asia’s core projects are listed below.

Khao Soon Tungsten Project

The Khao Soon Tungsten Project is located approximately 600km south of Bangkok in Nakhon Si Thammarat Province, Southern Thailand.

The Khao Soon deposit was discovered by Siam American Mining Enterprise Co., Ltd in October 1970 (Shawe, 1984). After discovery but before a concession was granted by the government, the area was ‘rushed’ and illegal mining commenced with an estimated 30,000 people working the field.

The Khao Soon deposit was a major underground tungsten mine which operated for about 10 years up to 1979/80. The US Bureau of Mines Mineral Yearbooks (1971-1980) provides annual recorded tungsten production for Thailand and several cursory references to Khao Soon during the 1970’s including that, in some years Khao Soon was responsible for half or much of all tungsten production and 75% of wolframite production in Thailand. During the period 1971-1980 recorded tungsten concentrate production in Thailand was around 44,000 tonnes. Actual production would have been greater. Therefore, it seems reasonable that estimated concentrate production from Khao Soon was somewhere between 10,000-20,000t for the period 1971-1980. Local sources also indicate that small scale mining continued into the early 1980’s.

Throughout the old mine area there are extensive old workings covering about 1km x 1km. These include at least 200 shafts, many greater than 30m deep as well as at least 30 adits. Many of the adits appear to be in good condition. Some open/collapsed stopes are also visible. By modelling the topography, old shafts and adits it is estimated that previous mining extended to a maximum depth of 100m below surface.

A visit by a USGS geologist in 1974 (Shawe, 1984) provides some brief descriptions and indicates that some very high-grade tungsten mineralisation was being mined at the time. It is difficult to estimate average mined grade for Khao Soon. However, based upon the extent of previous mining and estimated concentrate production, then average grades of 2-4% WO3 are not unreasonable. Shawe 1984, states:

“only the highest grade ore was being mined, both in the principal mine and in numerous small squatter’s mines, and a large amount of lower grade material has been left in the ground”.

Modern exploration at Khao Soon was initiated by Thai Goldfields (TGF) from 2006-2014. Much of this work was led by Australian geologists. TGF conducted surveying of old workings, extensive soil and rock-chip sampling and mapping across much of the project area. This work identified numerous areas with significant tungsten enrichment in soils which in many cases is supported by rock chip sampling and prospective geology. The presence of old workings is also relatively common.

TGF also conducted shallow air core drilling (64 vertical holes for 1540m) at two selected targets. This work identified relatively large areas of near surface, generally low-grade tungsten mineralisation developed in a thick laterite profile. Better WO3 intersections from Target 2 included: 12m @ 0.21% WO3 from 9m, 15m @ 0.15% WO3 from 15m, 11m @ 0.32% WO3 from 9m and 12m @ 0.15% WO3 from 12m.

Locally tungsten mineralisation extended into bedrock beneath the laterite. However, most holes stopped very soon after bedrock was intersected.

Geology and Mineralisation.
The Khao Soon project occurs within the Central Belt of the South East Asian Tin – Tungsten Belt. The Central Belt is responsible for significant historical tin and tungsten production tungsten.

The project area is dominated by a sedimentary sequence consisting primarily of a siltstone with minor sandstone and calcareous inter-beds of the Silurian-Carboniferous aged Tanaosi Group. The large Triassic-Jurassic aged Khao Luang granite batholith intrudes the sedimentary sequences immediately north and west of Khao Soon.

Primary mineralisation in the old mine is hosted within brecciated-fractured silicified sediments. Tungsten occurs as ferberite (FeWO3), an iron rich end member of the wolframite group. Ferberite commonly forms the matrix of the mineralised breccia in association with un-mineralised clasts of silicified metasediment. The breccia appears to be hydrothermal in nature and forms a series of semi-continuous/interconnected pipes, pods, lodes and fracture fill zones. Pyrite occurs in association with the mineralisation and can be locally abundant (Shawe, 1984).

The old Khao Soon Mine workings are scattered over an area about 1km long and 1km wide. Within this area there are three main areas of old workings. The Western Zone, the Central or Main Zone and the Eastern Zone.  There are also many other zones of mineralisation associated with old workings identified throughout the project area. In western parts of the project area several prospects returned significant antimony values in rock chip samples with or without associated tungsten.

It is interpreted that the tungsten mineralisation at Khao Soon is related to (sourced from) a younger non-outcropping granite. Regional magnetic data suggests the granite occurs beneath much of the Khao Soon project area and intrudes the sediments and the Khao Luang batholith. The exact depth to the top of the granite is unknown but could be in the order of 1km. Importantly, tungsten mineralisation may occur all the way from the sub-surface granite to the surface. Other styles of mineralisation may also be present with increasing depth.

The Khao Soon project also exhibits areas of extensively developed regolith hosted tungsten mineralisation, including, tungsten in thick lateritic profiles commencing at or very near surface and tungsten in weathered breccia up-dip of fresh mineralisation.  The highly anomalous WO3 values in lateritic regolith or weathered breccia at surface are likely vectors to underlying hard rock WO3 mineralisation.

Pan Asia Metals’ work
Pan Asia commenced exploration at the project in late 2014 and has conducted additional confirmatory and extensional soil and rock chip sampling, mapping programs, Induced Polarisation geophysics and reconnaissance diamond drilling at several targets. The combined results of the exploration work indicate the potential for the Khao Soon to be a globally significant tungsten district.

Results achieved include:

  • Numerous WO3 in soil anomalies > 0.1% over 4km long 20-150m wide;
  • Numerous elevated to high grade WO3 values in rock sampling at many prospects;
  • Soils and rock chips indicate prospective strike length totaling about 10km;
  • Tungsten in soil anomalies supported by rock chips and breccia occurrences;
  • Reconnaissance drilling has identified mineralisation in many holes extending from surface anomalies; and
  • IP geophysics has identified several deep targets that require drilling.

Pan Asia has completed a total of 1912m in 22 holes of diamond drilling at the Than Pho Ridge, Than Pho West, Rabbit and Last Hill prospects. The drilling has been highly successful in discovering near surface intersections containing good tungsten grades over considerable widths.

Some of the better results include:

  • KSDD001 – 51.5m @ 0.50% WO3 from 0m, incl. 12.8m @ 1.07% WO3 from 14.8m;
  • KSDD003 – 24.3m @ 0.24% WO3 from 25.1m;
  • KSDD004 – 41.0m @ 0.26% WO3 from 6.8m;
  • KSDD006 – 27.6m @ 0.15% WO3 from 14.4m;
  • KSDD012 – 11.6m @ 0.18% WO3 from 6.0m;
  • KSDD013 – 8.0m @ 0.19% WO3 from 0m;
  • KSDD016 – 7.6m @ 0.30% WO3 from 0m;
  • KSDD021 – 14.55m @ 0.47% WO3 from 0m, incl. 7.3m @ 0.62% WO3 from 0m; and
  • KSDD022 – 32.2m @ 0.31% WO3 from 0m, incl. 7.5m @ 0.56% WO3 from 17.8m.

The drilling results, supported by surface sampling and mapping, have provided Pan Asia the required information to estimate an Exploration Target in accordance with the JORC Code 2012. The Exploration Target covers four key prospects.

The tonnage and grade potential of the Exploration Target is in the range of:

15 to 29 Million tonnes @ 0.2% to 0.4% WO3

Reung Kiet Lithium Project

The Reung Kiet Lithium Project is located about 70km north-east of Phuket in the Phang Nga Province in southern Thailand. Pan Asia holds a 100% interest in 3 contiguous Special Prospecting Licences (SPL) covering about 38km².

Previous Mining and Exploration
The project area was part of a major tin mining region up until the mid-1980s. There is little detailed information available regarding previous exploration and mining in the project area. Up to the late 1980’s southern Thailand was a globally significant tin producer. In the Phang Nga Province from 1965 to 1990 recorded tin concentrate production was approximately 300,000 tonnes. Much of the tin production was derived from alluvial or offshore sources, however, there were some primary deposits being mined.

In the late 1960’s a joint Thai/British Geological Survey study was undertaken in the region (Garson et al, 1969). It was during this study that the lithium bearing mineral lepidolite was identified in weathered pegmatites that were being mined for tin at the Reung Kiet and Bang I Tum open pit mines as well as at other mines in close proximity.

The 1960’s study conducted geological mapping, geochemical analysis and mineralogical descriptions of various tailings, concentrate and rock samples as well as lepidolite beneficiation studies. The lepidolite was found to contain 3-4% Li2O. With significant focus on two key tin mines, Reung Kiet and Bang I Tum, the survey stated:

  • “the pegmatites at Reung Kiet and Bang I Tum may well be the largest un-zoned lepidolite pegmatites yet recorded”; and
  • “lepidolite is fairly evenly distributed both along the length of the pegmatite and from wall to wall. In places there is local enrichment of massive lepidolite”

There is little recorded exploration activity in the project area since the 1960’s study.

Geology and Mineralisation
The Reung Kiet Lithium Project is situated in the Western Province of the South East Asian Tin – Tungsten Belt. In the project area Cretaceous-Tertiary aged granites intrude older sedimentary rocks of the Phuket Group comprising interbedded mudstone-sandstone. Lithium mineralisation is associated with lepidolite rich pegmatite dykes and veins which intrude the Phuket Group sediments along the north-east trending Phang Nga Fault Zone. The lepidolite rich pegmatites belong to the LCT (Li-Cs-Ta) family as defined by London, 2008. The pegmatites are chiefly composed of quartz, albite, lepidolite with minor cassiterite and tantalite as well as other accessory minerals including some rare earths.

Pan Asia’s Work
In early 2019 Pan Asia was granted three SPL’s covering about 38km². Pan Asia has undertaken soil, rock chip and stream sediment sampling in conjunction with geological mapping, pit surveying and preliminary mineralogical studies. Trenching and diamond drilling at the old Reung Kiet mine has also been completed along with sighter beneficiation test-work. These programs have consistently delivered highly encouraging results. The main focus of the work has been at the Reung Kiet Prospect in the south of the project area and the Bang I Tum prospect about 10km to the north. Additional reconnaissance exploration has been undertaken more broadly across the project area.

The Reung Kiet Prospect
The Reung Kiet prospect is focused on the old open pit which is about 500m long and up to 120m wide. Mining extended to about 25m below surface, where the pegmatite became too competent to mine by the hydraulic methods employed. Much of the pit is now filled with water to a maximum depth of about 10m.

Pan Asia initially conducted soil and rock chip sampling and defined lithium rich zones in soils and rock-chips to the southwest of the pit along strike, and extending to the east. Lower level lithium in soil anomalies were also located north of the pit, see Figure 18 – “Reung Kiet Lithium Prospect”. Follow-up programs included wide spaced diamond drilling (5 holes for 588m) targeting the pegmatite beneath the open pit. Trenching and rock-chip sampling focused on an area extending for 500m southwest of the pit.

Drilling identified the Main pegmatite is up to 35m wide and contains variable lithium grades along with accessory tin and tantalum. Better results include: RKDD001; 6.3m @ 0.65% Li2O from 66m and 5.8m @ 0.73% Li2O from 80m. RKDD002; 15.6m @ 0.82% Li2O from 55m, including 9m @ 1.00% Li2O.

The trenching and sampling conducted south of the pit has identified numerous lithium rich pegmatite dykes in a swarm up to 90m wide, with individual dykes from 1-7m wide. The results indicate a prospective strike length of around 1km for the Main trend. An Eastern trend has also been identified.

Trench sampling, outcrop and float sampling has yielded 148 samples at >0.5% Li2O with average grades of 1.41% Li2O. Mineralogical studies indicate the mineralised pegmatite contains between 25-45% lepidolite, and the lepidolite generally contains 3.5-4.5% Li2O.

Sighter metallurgical test-work on weathered pegmatite samples from trenches and rock-chip indicates 93.6% Li recovery to a rougher concentrate grading 2.76% Li2O.

The Bang I Tum Prospect
The Bang I Tum prospect was a relatively large open cut tin mine. The old pit is about 650m long and up to 125m wide. Mining of the weathered pegmatites extended to about 30m below surface, to top of hard rock.

The mined pegmatite is recorded to be up to 25m wide (Garson, 1969). The pit is now water filled, with water depths to a maximum 15m. Additional smaller scale mining extended further along strike to the southwest. Soil and rock-chip sampling has defined the Main trend and an Eastern trend. The prospective Main trend is about 1.5km long. Rock chip sampling has yielded 14 of 24 samples >0.5% Li2O, with average grade of 1.23% Li2O plus accessory tin and tantalum. A lepidolite pegmatite dyke swarm can be observed on a hill about 400m south of the pit. This swarm is up to 100m wide with individual dykes up to 7m wide.

The Eastern trend is about 1.5km long, located approximately 350m east of, and parallel to the Main trend.

Bang Now Lithium Project

The Bang Now Lithium Project is located in Chumporn Province, approximately 480km WSW of Bangkok and 140km North of the Reung Kiet Lithium Project.

Bang Now consists of two Exploration Prospecting Licences that cover approximately 5km².

Within the project area Pan Asia has located historic mining activities with abundant tailings containing gravel to boulder sized lepidolite bearing pegmatite as well as quartz and meta-sediments. Pegmatite is visible in several old mine faces and has been sampled where possible.

The project is located in the prospective Ranong Fault Zone and captures the full extent of large scale historic alluvial-eluvial tin mining in the district.

Work by Pan Asia has shown:

  • From 24 rock chip samples 20 returned Li2O grades of between 0.5% and 3.38%, with an average of 1.75% Li2O;
  • A potential target area of 2km x 400m that may host an extensive lepidolite rich pegmatite dyke swarm; and
  • Potential for lithium mineralisation to be present in metasediment in contact with pegmatite dykes.

Pan Asia’s objective is to identify potential lithium rich pegmatites with the dimensions and grades that would justify drilling. Additional sampling and mapping are required to determine potential drill targets.

Minter Tungsten Project

The Minter Tungsten Project is located about 500km WNW of Sydney and 20km southeast of Lake Cargelligo in central NSW.

The area is easily accessed from adjacent bitumen main roads and then farm tracks. The land is flat with grazing and cropping being the main land use. The Exploration Licence covers approximately 145km².

The Minter Tungsten Project is situated in the Wagga-Omeo Tin Province, which is located in the central region of the Lachlan Fold Belt, NSW, Australia. Several hundred tin and/or tungsten occurrences are documented in this belt. Tin and tungsten is mainly associated with granites of the Koetong Supersuite, which intrude metasediments. Mineralisation is hosted in quartz veins, stockworks, pipes, breccia, greisens, aplites, pegmatite and skarns. The Ardlethan Tin Mine, a significant tin producer, is located approximately 100km to the south of Minter.

The Minter project area hosts numerous occurrences of tin and/or tungsten, many of which have been historically prospected but only have minor production.

Modern exploration commenced in the late 1960’s and was focused on tin and associated metals such as tungsten. In 1978 Aberfoyle Exploration commenced exploration. This included geological mapping and geochemical sampling and led to the completion of about 3,800m of shallow RAB and 3,700m of deeper RC drilling. Numerous holes intersected low grade tungsten values over reasonable downhole widths. Aberfoyle Exploration relinquished the area in 1985 following the tin price crash.

The next major phase of exploration was commenced by Cullen Resources in the mid 2000’s. Cullen Resources conducted soil and rock chip sampling, mapping, ground magnetics and gravity surveys. These programs culminated in drilling 41 shallow aircore/RC holes for 1265m, 5 deeper RC holes for 765m, and 2 diamond drill core holes for 522m. Cullen Resources relinquished the area in 2017.

Some of the better intersections from the Aberfoyle and Cullen drilling programs include:

  • MN-P02 – 28m @ 0.14% WO3 from 0m;
  • PDH02 – 10m @ 0.18% WO3 from 0m;
  • PDH05 – 27m @ 0.17% WO3 from 1.5m;
  • PDH09 – 28m @ 0.14% WO3 from 2m;
  • DAC017 – 26m @ 0.16% WO3 from 2m;
  • DAC025 – 52.5m @ 0.10% WO3 from 3m;
  • DAC007 – 24m @ 0.32% WO3 from 4m; and
  • ABRAB-82077 – 6m @ 0.54% WO3 from 16m.

Pan Asia acquired the project in late 2018. Work conducted by Pan Asia to date includes an extensive literature review and data compilation and analysis. Pan Asia has also inspected stored drill core from the Cullen Resource drilling programs. This inspection and previous geological mapping suggest that the main host for tungsten mineralisation are steeply dipping quartz veins from mm to 20cm scale and that the quartz veins generally dip steeply to the north and strike generally east-west. This vein geometry indicates that previous drilling of vertical holes or holes angled and drilled in east or west directions are far from optimal to test this new interpretation. Accordingly Pan Asia plans drilling to test this new model for the mineralisation.