Red Mountain Mining Limited (ASX: RMX, US CODE: RMXFF) has made a strategic acquisition in the mining sector by securing the Thompson Falls Antimony Project. This project is located merely 4.2 kilometers from the only antimony smelter in the United States, operated by the United States Antimony Corporation (NYSE: UAMY), which boasts a market capitalization of approximately A$2.2 billion. The Thompson Falls Smelter in Montana plays a critical role in both local and national supplies of this essential mineral.
Initial assay results from the Thompson Falls project reveal significant mineralization, with antimony grades reaching up to 36.5% and gold concentrations at 0.65 grams per tonne. These findings highlight the site’s potential for further exploration and development.
Project highlights and potential
Red Mountain’s acquisition of the Thompson Falls project presents several noteworthy opportunities:
- Positioned adjacent to UAMY’s operations, this project is essential for the United States’ critical minerals supply chain.
- Red Mountain has identified three historical underground mines and a substantial pit within the project area.
- Initial assay results indicate high-grade mineralization, featuring:
- 36.5% Sb and 0.48 g/t Au
- 21.0% Sb and 0.65 g/t Au
- 13.7% Sb and 0.14 g/t Au
Geological significance
The Thompson Falls project is situated on the border of Montana and Idaho, sharing the same geological formations as UAMY’s Stibnite Hill Mine, recognized as the second-largest stibnite vein deposit in the United States. This region has a history of high-grade antimony mineralization, and UAMY plans to resume mining operations by late to meet the increasing demand for antimony in the U.S.
Moreover, the project offers potential for silver extraction, as it lies within Idaho’s Coeur d’Alene mineral district, known for producing an impressive 1.25 billion ounces of silver since 1884, along with significant quantities of lead, zinc, gold, copper, and antimony.
Strengthening critical mineral portfolios
Through this acquisition, Red Mountain Mining enhances its existing portfolio across Utah, Idaho, and New South Wales, establishing a unique asset base in the Western Hemisphere. This strategic positioning aligns with growing governmental support in both the United States and Australia, as both nations aim to secure their mineral supplies.
Recently, the U.S. government announced a $12 billion initiative to strengthen domestic supply chains for critical minerals. The Thompson Falls project, in close proximity to UAMY’s operations, is well-positioned to benefit from this initiative, focusing on the production of antimony and silver—both federally recognized as critical minerals.
Ongoing exploration efforts
Red Mountain Mining is not solely concentrating on the Thompson Falls project; the company is also accelerating exploration at the Armidale project in New South Wales, Australia. Geological mapping, sampling of potential mineralization structures, and exploration of alteration zones are actively underway across its projects in Utah and Idaho. Results from these efforts are expected within the current quarter, indicating rapid advancement in the company’s development plans.
The Thompson Falls Antimony Project represents a significant opportunity for Red Mountain Mining to respond to the increasing demand for critical minerals in the United States. With its high-grade mineralization and strategic location, the project is poised to play a vital role in ensuring a sustainable supply of antimony and supporting the U.S. mineral supply chain.