iTech Minerals (ASX:ITM) Surges 33% on Antimony Drill Results: Is It a Buy Now?

iTech Minerals Surges on High-Grade Antimony Drill Results

iTech Minerals (ASX: ITM) surged 33 per cent on Monday to A$0.064 after the company released drill results that confirmed gold and antimony mineralisation at its Reynolds Range Project in the Northern Territory. The stock had been languishing near all-time lows, so this move suggests investors are finally paying attention to a company that offers exposure to two minerals the Western world desperately wants more of.

The headline numbers from the drilling program look encouraging. Results included 12 metres grading 2.13 grams per tonne gold and a separate interval of 10 metres at 2.82 g/t gold. These are not world-beating grades, but they do confirm that the high-grade rock chip samples found at the surface extend to depth, which is exactly what the company needed to prove.

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Why Antimony Makes This Story Interesting

What sets iTech Minerals apart from other junior explorers is the antimony angle. Antimony is classified as a critical mineral by both Australia and the United States because of its use in defence applications, flame retardants, and increasingly, battery technology. The catch is that China controls more than 80 per cent of global supply, which creates obvious problems for Western nations trying to secure their own sources.

Historical sampling at Reynolds Range returned grades as high as 22 per cent antimony alongside 24 g/t gold. This gold-antimony link is important because it means a single deposit could potentially deliver revenue from two commodities, improving the economics of any future development. The drilling program tested four prospects along a 2.6-kilometre mineralised corridor, and the company now has a clearer picture of what lies beneath the surface.

iTech’s Broader Critical Minerals Portfolio

Beyond Reynolds Range, iTech Minerals also holds the Eyre Peninsula Graphite Project in South Australia, which hosts a 35.2 million tonne resource. Graphite is essential for electric vehicle batteries, so this gives the company a second way to play the critical minerals theme.

That said, both projects remain early-stage. There is no production, no revenue, and plenty of work still to do. The graphite project is more advanced, but neither asset is close to generating cash flow.

The Investor’s Takeaway

At a market cap of around A$14.7 million, iTech Minerals is firmly in speculative territory. Yesterday’s rally is encouraging because it shows the market is willing to reward exploration success, but investors need to keep perspective on what this company actually is: an early-stage explorer with no revenue that will likely need to raise capital to keep drilling.

The bull case is straightforward. Antimony is gaining strategic importance; the drill results confirm mineralisation at depth, and the stock was trading near record lows before the rally. Further drilling success could unlock more upside.

The bear case is equally clear. Exploration is risky, and there is no guarantee these results will lead to an economic deposit. The company burns cash and will probably need to raise more money at some point, which could dilute existing shareholders.

In our view, iTech Minerals suits risk-tolerant investors who are comfortable with early-stage exploration and want exposure to critical minerals. The recent results are a step in the right direction, but this is still a speculative bet that requires patience and further success to pay off.