TM1 - TERRA METALS LIMITED
Investment Thesis
Southwest is a disseminated-to-massive PGM-Cu-Ni-Co sulfide system hosted in a newly recognised ultramafic package within the Jameson Layered Intrusion — structurally distinct from the existing reef-style Dante MRE and potentially analogous to Bushveld-style multi-horizon mineralisation. Bulk grades (0.7–0.9 g/t PGE3 with modest Ni-Cu credits) are solid for a disseminated magmatic system at this early stage, though notably below high-grade reef benchmarks; the real prize is scale, with 950m strike, 650m width, 750m dip extent all open, and deep diamond tails untested.
What No One Else Is Seeing
194m @ 0.71 g/t PGE3 + 0.11% Ni from 58m (SWRD057), incl....
Also: 105m @ 0.87 g/t PGE3 from 183m (SWRC053); 76m @ 0.87 g/t PGE3 + 0.16% Ni from 170m (SWRD052) — all RC pre-collars ended in mineralisation, diamond tails to 918m pending assay. Resource: 148Mt @ 0.33% Cu, 0.21 g/t PGE3, 0.08 g/t Au (Indicated + Inferred) — existing Dante Reefs MRE; Southwest is entirely outside this resource
Dante Project, West Musgrave, WA
Southwest is a disseminated-to-massive PGM-Cu-Ni-Co sulfide system hosted in a newly recognised ultramafic package within the Jameson Layered Intrusion — structurally distinct from the existing reef-style Dante MRE and potentially analogous to Bushveld-style multi-horizon mineralisation. Bulk grades (0.7–0.9 g/t PGE3 with modest Ni-Cu credits) are solid for a disseminated magmatic system at this early stage, though notably below high-grade reef benchmarks; the real prize is scale, with 950m strike, 650m width, 750m dip extent all open, and deep diamond tails untested.
Fair Value Assessment
Southwest carries no resource yet; extrapolating geometry conservatively (~100–200Mt at 0.7 g/t PGE3 + base metal credits) against grassroots-to-advanced in-situ multiples of US$15–25/oz PGE implies A$150–300M attributable value for Southwest alone, stacking on top of the existing 1.6Moz PGE Dante MRE worth A$200–350M at advanced multiples — aggregate fair value A$350–500M versus A$273M market cap. Key catalyst: maiden Southwest MRE targeted late 2026 and deep diamond tail assays due imminently.
Key Concerns
All RC results are downhole wid
Key Drill Intercepts
| Hole | From | Width | Grade | Comment |
|---|---|---|---|---|
| Best | - | - | 194m @ 0.71 g/t PGE3 + 0.11% Ni from 58m (SWRD057) | 105m @ 0.87 g/t PGE3 from 183m (SWRC053); 76m @ 0.87 g/t PGE3 + 0.16% Ni from 170m (SWRD052) — all RC pre-collars ended in mineralisation, diamond tails to 918m pending assay |
Valuation & Price Target
Southwest carries no resource yet; extrapolating geometry conservatively (~100–200Mt at 0.7 g/t PGE3 + base metal credits) against grassroots-to-advanced in-situ multiples of US$15–25/oz PGE implies A$150–300M attributable value for Southwest alone, stacking on top of the existing 1.6Moz PGE Dante MRE worth A$200–350M at advanced multiples — aggregate fair value A$350–500M versus A$273M market cap. Key catalyst: maiden Southwest MRE targeted late 2026 and deep diamond tail assays due imminently.
Key Risks
All RC results are downhole wid
Key Catalysts
| Date | Event |
|---|---|
| Near-term | Pending drill results / assays |
| Medium-term | Resource estimate update |
See the full analysis for our detailed assessment.
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AI-Generated Analysis - This report was produced using Clubroom Stocks' proprietary AI engine, built on our own curated databases, custom training pipelines, and specialist prompting frameworks developed exclusively for ASX resource sector analysis. This is not financial advice. Always do your own research before making investment decisions.
Rating History — 4 alerts
All returns measured from alert price as Day 0
Day 1 = 1 trading day after alert. Day 5 = 5 trading days. Day 20 = 20 trading days. Live = current price vs alert price. Each alert tracks independently — a re-rating starts fresh tracking from the new alert price.