Resources Top 5: Lotus strides toward steady-state uranium production next quarter
Uranium ramps, coal shipments lift share prices, and fresh high-grade niobium hits in Brazil put some ASX juniors in the spotlight on Friday.
Your standout small cap resources stocks for Tuesday, December 2, 2025.
- LOT continues ramp-up of uranium processing plant at Kayelekera
- Coal shipment from BBM spurs CKA share increases
- PNN receives more high-grade niobium and rare earths results in Brazil
Lotus Resources (ASX:LOT)
New uranium producer Lotus Resources (ASX:LOT) is on track for steady-state production at its Kayelekera project in Malawi next quarter with ramp-up of the processing plant continuing.
In November, the plant achieved pleasing throughput and recovery levels although initial ramp-up was impacted by sulphuric acid availability.
The supply issue arose due to production challenges in Zambia, which was the primary source of supply with South Africa as a secondary source.
Lotus has increased the number of sulphuric acid suppliers with additional supplies being sourced out of South Africa.
The acid plant is expected to begin operating in the first quarter of 2026, which will mitigate any acid supply constraints.
It will enable the production of sulphuric acid from sulphur, which is more reliably supplied as it is transported more easily and more broadly available. Significantly lower tonnage and volumes are required, reducing truck movements.
During a 15-day period of continuous operations in November, the plant performed well and is approaching nameplate levels.
The processing plant achieved 18.2 hours per day of uptime, milling throughput rate averaged 138t per hour with maximum hourly throughput of 172t, equating to 70% and 88% of nameplate milling throughput, respectively.
Preliminary recovery averaged about 83%, which is close to the targeted steady-state recovery of 86.7%.
“Production for the planned operating time in November has been very pleasing and provides us with the confidence that nameplate throughput levels and other key production parameters can be achieved,” MD Greg Bittar said.
“We also continue to work with the converters and look forward to our first converter account being opened which we expect in early 2026. This then allows the final preparations for despatch of inventory from site.”
The company used the shutdown time due to the acid shortages to address routine commissioning items, undertake plant optimisation and regular maintenance. This work supports pleasing throughput and recovery levels.
Current focus areas include mining activities, which began in early November, embedding standard operating procedures across the processing plant and laboratories, and readying for first product shipment.
Product qualification is progressing with first shipment of product expected in late Q1 2026.
Cokal (ASX:CKA)
Completing a coal shipment from its BBM operations in Kalimantan, Indonesia, has seen Cokal (ASX:CKA) shares rise from 4.2c on Wednesday to 5.7c at the close on Thursday and another 31.58% today to 7.5c.
The shipment was made to Krakatau Posco, a member of Korea’s POSCO Group, as part of a 7,000 MT supply contract.
Cokal has secured substantially improved pricing for the shipment compared to the previous delivery owing to market conditions strengthening considerably.
It views this as a positive reflection of market recovery and the growing acceptance of BBM coal among regional steelmakers and coke producers.
The latest shipment follows the start in November of Contractor Mining Operations at BBM in Central Kalimantan.
The first overburden cut in Pit 3 by contractor PT Harapan Mitra Lestar (HML), a wholly owned subsidiary of PT Riung Mitra Lestari (RML), signalled this milestone and there are now two mining fleets in active operation.
HML’s sequential ramp-up plan will see the remaining two fleets commence operations early this month.
All fleets comprising 50-tonne class excavators and associated ancillary equipment are fully mobilised and on site.
The phased start-up reflects the mine plan sequencing developed jointly by Cokal and HML to ensure an efficient, steady increase in production.
Cokal is in active discussions with Krakatau Posco through M Resources regarding an additional small-volume delivery targeted for late December, which would further extend the sales momentum into year-end.
Power Minerals (ASX:PNN)
Power Minerals (ASX:PNN) has boosted the resource potential of its Santa Anna project in Brazil on receiving more high-grade niobium and rare earths results.
Assays from 1000m auger drilling targeting the top 15m returned multiple high-grade results, including:
- 16m at 4462ppm TREO surface to end of hole (EOH), including 2m at 12,261ppm (or 1.23%) TREO from 1m;
- 15m at 5686ppm TREO from surface to EOH, including 7m at 8429ppm TREO from 1m and 2m at 13,034ppm (or 1.30%) TREO from 1m; and
- 18.5m at 4398 ppm TREO from surface to EOH, including 3m at 12,297ppm (or 1.23%) TREO from 9m.
Consistent high-grade results help confirm the scale of the ‘weathered zone’ and validate and enhance the near-surface resource potential.
They come after the company finalised its acquisition of the project earlier this week, cementing its position as an emerging clean energy metals explorer and developer.
Arika Resources (ASX:ARI)
A boost of $5.7m for Arika Resources (ASX:ARI) from an oversubscribed placement is set to supercharge exploration across one of WA’s hottest gold districts.
The funds give the company the firepower to accelerate drilling across its Yundamindra and Kookynie gold projects in the Leonora-Laverton belt.
The raise at 2.4c per share, a 15% discount to the recent VWAP, attracted strong backing from new and existing sophisticated investors, including $650,000 in director participation, subject to shareholder approval, signalling confidence in the company’s growth trajectory.
Arika has also confirmed completion of the Admiral Bay divestment, adding a further $1.2m to its war chest.
It says the strengthened balance sheet positions it to rapidly advance exploration and unlock the value of its under-explored assets in coming months.
Megado Minerals (ASX:MEG)
(Up on no news)
With its primary focus on copper in Spain, Megado Minerals (ASX:MEG) has been on a rollercoaster ride in the past few months, climbing from 1.2c at the close on June 18 to a 12-month high of 4.9c on July 24, dropping to 2.2c by September 23 and then pushing up again to 3.2c today, a lift of 23.08% on the previous close.
While awaiting the grant of Investigation Permits for the Iberian copper project in northern Spain, Megado has been making preparations.
During the September quarter all seven Exploration Permits were granted and geological mapping activities have continued across the 956km2 permit area.
Airborne geophysics are ready to begin once the next permit is granted with a maiden drilling program to follow shortly thereafter.
This article does not constitute financial product advice. You should consider obtaining independent financial advice before making any financial decisions. While Power Minerals and Arika Resources are Stockhead advertisers, they did not sponsor this article.
Originally published as Resources Top 5: Lotus strides toward steady-state uranium production next quarter
