Completion of Due Diligence on Spectrum Cu-REE-Au Acquisition

DeSoto Resources Limited (ASX: $DES) has successfully completed the due diligence on its recently acquired Spectrum Cu-REE-Au Project (EL31475) in the Northern Territory. The company will allocate $2 million for exploration activities at Spectrum in the first 15 months, leveraging its strong cash position. The due diligence has confirmed the absence of registered Aboriginal Land Claims or environmental concerns over the licence area.

Executive Commentary

Upon completion of the ground EM survey, DeSoto expects drilling to commence in August 2024. The technical work continues with a focus on delivering a ground Electromagnetic (EM) survey to refine the drill targeting on four conductor plates. The modelled conductor plates exhibit high conductivities and shallow depth, indicating potential for significant structural complexity at Vesper. The geophysical responses observed suggest the presence of semi to massive sulphide accumulations. The successful completion of due diligence reaffirms our commitment to advancing the Spectrum Cu-REE-Au Project and underscores our confidence in its exploration potential.

Summary

DeSoto Resources Limited has finalized the due diligence process for its acquisition of the Spectrum Cu-REE-Au Project, paving the way for planned exploration activities. The company intends to allocate $2 million for exploration at Spectrum in the first 15 months, leveraging its strong cash position. The absence of registered Aboriginal Land Claims or environmental concerns over the licence area further supports the company's exploration planning. With the completion of the ground EM survey, DeSoto anticipates commencing drilling in August 2024, signaling progress towards unlocking the project's potential. The modelled conductor plates' characteristics and geophysical responses indicate the presence of significant structural complexity and potential sulphide accumulations, underpinning the project's exploration prospects.