The West Arunta Desert is not the most obvious place to find a world-class critical minerals story. WA1 Resources Limited (ASX: WA1) is quietly changing that.
Figure 1: WA1 Resources Limited, listed on the ASX [Courtesy: WA1 Resources Ltd]
Recently, the Company dropped an ASX announcement that stopped the market. Large-scale beneficiation testwork at its 100%-owned Luni Niobium Project in Western Australia delivered results well ahead of previous benchmarks. Bell Potter took notice immediately.
About WA1 Resources
WA1 Resources Limited holds a position in the S&P/ASX 300 index and operates out of Perth, Western Australia. It trades on the ASX Materials sector under the code WA1.
The Company’s stated objective is to discover and develop Tier-1 assets in Australia’s underexplored regions. Its flagship asset is the Luni Niobium Project, located within the West Arunta region.
Figure 2: WA1 Resources’ tenement footprint across the West Arunta region of Western Australia [Courtesy: WA1 Resources Ltd]
WA1 Resources listed on the ASX in February 2022 and has since run an aggressive drilling and testwork programme focused on building a clear path toward a potential world-class critical minerals mine.
What the Beneficiation Testwork Showed
WA1 Resources completed large-scale beneficiation testwork across four broad composite samples drawn from 44 diamond and sonic drillholes drilled across the Luni Niobium Project in 2024 and 2025.
Figure 3: Drillhole locations across the four metallurgical composite zones at the Luni Niobium Project [Courtesy: WA1 Resources Ltd]
The testwork used a two-stage flotation regime. The first stage cleared phosphate minerals through a pre-float step. The second stage targeted niobium minerals directly, running through four or five cleaning cycles. Critically, every flotation test used water drawn from the Luni site itself rather than treated laboratory water. That detail matters because it moves the process validation closer to actual operating conditions.
Composite A: The Numbers That Moved the Market
The majority of the testwork focused on Composite A. This covers the eastern zone of the deposit, which is the planned focus for the early years of mining. Key results from Composite A:
- Concentrate grade of 46% Nb2O5
- Overall recovery rate of 67%
- Recovery represents a significant improvement on the results previously reported from this area
- Composite A covers the focus zone for potential early years of mining
- Results generated at a reputable laboratory in Perth, under the supervision of WA1’s metallurgical team
Figure 4: Composite A drillhole positions in the eastern zone, the focus area for potential early mining at Luni [Courtesy: WA1 Resources Ltd]
When the four composites are weighted on a proportional contained niobium basis, the programme delivered an average concentrate grade of 44% Nb2O5 alongside an overall recovery of 54%. The full breakdown by composite is below:
| Composite | Concentrate Grade (Nb₂O₅ %) | Overall Recovery (%) |
|---|---|---|
| Weighted Average | 44 | 54 |
| Composite A | 46 | 67 |
| Composite B | 35 | 40 |
| Composite C | 48 | 56 |
| Composite D | 38 | 44 |
Recoveries include losses incurred through all steps, including comminution, desliming and flotation.
Composites B, C and D are at an earlier stage of testing and optimisation. The Company confirmed ongoing testwork programmes continue for those areas, with potential for further improvement identified.
What Paul Savich Said
WA1 Resources Managing Director Paul Savich did not hold back when the ASX announcement landed on 22 Jun 2026. His comments covered three things: the deposit itself, Composite A, and where the Project sits on the development calendar.
On the deposit, Savich made clear that Luni’s grade and scale were already established before this round of testwork. What these beneficiation results add is confidence in the metallurgy. The two-stage flotation regime, in his view, now has solid technical backing across the mineralisation at Luni.
Composite A and the Early Mining Case
Savich was direct about why Composite A carries the most weight right now. It is the zone the Company is building its early mining studies, and the testwork returned outcomes that exceeded what the team had previously seen from that part of the deposit.
Figure 5: Niobium concentrate samples produced from the Luni beneficiation testwork programme at a Perth laboratory [Courtesy: WA1 Resources Ltd]
Savich also put the timeline in context. Nearly three years of disciplined work across geology and metallurgy sit behind this announcement, and the Company is satisfied with where both programmes now stand. The Company is not chasing headlines. It is building a technical foundation. The Luni Pre-Feasibility Study remains on schedule for completion during Q4 CY2026.
Bell Potter Upgrades ASX Materials Stock
Bell Potter has upgraded its price target on WA1 Resources to A$27.20 per share from a previous target of A$24.40 per share. Bell Potter’s speculative buy rating on the stock remains unchanged.
Figure 6: Two-stage flotation process used to produce niobium concentrate from Luni ore [Courtesy: WA1 Resources Ltd]
The reason for the upgrade is direct. Composite A’s stronger-than-expected recovery performance gave Bell Potter enough technical confidence to revise its niobium extraction assumptions upward across the deposit. Higher recoveries mean more product from the same amount of ore. That improves project economics at every stage of the valuation model.
Why 129% Upside Matters for ASX Materials Stocks 2026 Australia
Bell Potter’s revised target implies a potential upside of 129% from the last traded price. For investors tracking top ASX mining stocks to buy in 2026, this is one of the more aggressive broker calls in the ASX materials sector at present.
| Metric | Detail |
|---|---|
| Last Price | A$12.120 per share |
| Bell Potter Price Target | A$27.20 per share |
| Previous Bell Potter Target | A$24.40 per share |
| Implied Upside | 129% |
| Market Capitalisation | A$918.15M |
| 52-Week Range | A$11.590 to A$22.280 per share |
| Broker Recommendation | Speculative Buy |
What Niobium Is and Why It Matters
Niobium is a niche but commercially essential metal. It is primarily micro-alloyed into structural steel to increase strength and reduce weight. This makes it relevant across construction, automotive, aerospace and advanced manufacturing.
Figure 7: Raw niobium ore [Courtesy: mining.com.au]
There are only three major niobium operations globally. A new, high-grade, commercially viable source in a stable jurisdiction like Western Australia would carry real strategic weight.
The end product from Luni would be ferroniobium or niobium oxide. The concentrate grades achieved in this testwork programme are considered suitable for taking through the downstream refining and conversion stages required to produce those end products.
ASX Materials Sector Outlook 2026
The global critical minerals market sits at an interesting crossroads. According to the IEA Global Critical Minerals Outlook 2025, demand for key energy minerals grew strongly in 2024, with lithium demand rising nearly 30% and nickel, cobalt, graphite and rare earths demand rising between 6% and 8%.
Supply chain concentration is a growing concern for governments and investors alike. The average market share of the top three refining nations for key energy minerals rose from 82% in 2020 to 86% in 2024. Australia is actively positioning itself to capture more of this value chain.
Figure 8: Critical minerals Australia [Courtesy: australianmining.com.au]
Australian critical minerals exports are forecast to recover to A$21 billion by FY2030, up from an expected A$14 billion in FY2025, according to Export Finance Australia. Projects in stable jurisdictions with proven processing pathways, like the Luni Niobium Project, are precisely what institutional capital is pursuing in the ASX materials sector outlook 2026.
Future Direction and Impact on WA1 Resources’ Development Timeline
The completion of this phase of beneficiation testwork directly advances the Pre-Feasibility Study process. The Company confirmed the Luni PFS remains on track for completion during Q4 CY2026.
Key workstreams now running in parallel:
- Integration of geological, geotechnical, hydrogeological and metallurgical data to inform mine planning and design
- Ongoing beneficiation optimisation for Composites B, C and D
- Downstream testwork continuing, with concentrates from this programme feeding refining and conversion programmes
- PFS workstreams advancing across mine planning, process design, infrastructure definition and product development
For investors tracking top ASX mining stocks to buy in 2026, the Luni PFS completion in Q4 CY2026 is the next major catalyst. It will provide a definitive technical and economic framework for the Project and is expected to attract significant attention across the ASX materials sector.
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FAQ
Q1. What is the Luni Niobium Project?
Ans. It is WA1 Resources’ 100%-owned flagship asset in the West Arunta region of Western Australia, targeting a large carbonatite-hosted niobium deposit.
Q2. What did the 22 Jun 2026 ASX announcement confirm?
Ans. It confirmed the two-stage flotation regime can produce high-grade niobium concentrates using raw site water, with Composite A returning 46% Nb2O5 at 67% overall recovery.
Q3. Why did Bell Potter raise its price target on WA1 Resources?
Ans. Improved Composite A recovery rates led the broker to revise its niobium recovery assumptions, resulting in a new target of A$27.20 per share from A$24.40 per share.
Q4. When is the Luni Pre-Feasibility Study expected to be completed?
Ans. The Company confirmed the Luni PFS is on track for completion during Q4 CY2026.
Disclaimer
This article is intended for informational purposes only. All data referenced has been sourced from ASX announcements and publicly available external sources. Share price and market data should be independently verified before making any financial decisions. Any investment carries risk and should be made at the investor’s own discretion. Colitco does not hold any position in the above-mentioned Company.
Sources
https://www.fool.com.au/2026/06/24/bell-potter-tips-129-upside-for-this-asx-materials-stock/
https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-03102228-6A1330305
https://www.iea.org/reports/global-critical-minerals-outlook-2025
Luke Carlino is a seasoned Copywriter, Content Strategist, and Social Media Manager specialising in Mining, Finance, and Business journalism. With more than a decade of industry experience, he brings rigorous editorial standards and commercial acuity to every project.
