Asian Battery Metals PLC (ASX: AZ9) (“Asian Battery Metals” or, the “Company”) has reported significant exploration advances at its flagship Oval Copper–Nickel–Platinum Group Elements (Cu-Ni-PGE) Project in Mongolia, marking a pivotal step in strengthening the scale and continuity of mineralisation across the project area.
The announcement of 29th January, 2026, highlights robust geological progress achieved through advanced geophysical re-interpretation, successful Phase 3 drilling outcomes, and the identification of new intrusive targets with strong mineral potential.
These developments build directly on the Company’s December 2025 Quarterly Activities Report and reinforce Oval’s emerging status as a large-scale, fertile magmatic system capable of supporting future resource definition.
Figure 1: Location of the Oval Ni-Cu-PGE (Yambat) project in Mongolia. [Asian Battery Metals]
Advancing the Geological Understanding at Oval
During 2025, the Company focused on integrating drilling, geological mapping and geophysical datasets to refine its understanding of the Oval intrusive complex. A major highlight from the announcement was the reprocessing of fixed-loop electromagnetic (FLEM) survey data, which sharpened the interpretation of conductive plates within and around the Oval gabbroic intrusion.
The updated FLEM models show strong alignment with known mineralised zones and have generated multiple high-priority drill targets for future programs. Importantly, these refined targets support extensions of mineralisation both along strike and at depth, particularly toward the south and southeast of the Oval intrusion.
In parallel, unconstrained modelling of ground magnetic data identified a new large magnetic anomaly, now referred to as MS4, located close to the previously defined MS1 prospect. The Company interprets MS4 as a potential mafic intrusive body, adding further weight to the emerging intrusive cluster model at Oval.
Figure 2: Magnetisation Vector Inversion (MVI) model highlighting MS1 and the newly defined MS4 anomaly. [Asian Battery Metals]
Phase 3 Drilling Confirms Continuity and Growth
The Phase 3 drilling program delivered compelling results that confirmed both the continuity and expansion of Cu-Ni-PGE mineralisation.
Two standout drillholes, OVD049 and OVD051, validated geological and geophysical interpretations by intersecting broad zones of mineralised mafic–ultramafic intrusions.
Among the most significant drilling results are:
- OVD049, which confirmed a pathway for mineralisation extending to the southeast:
- 23.1 metres of mineralised intrusion
- Including 16.8m @ 0.39% Cu and 0.41% Ni
- With a high-grade core of 1.9m @ 1.03% Cu and 1.33% Ni
- OVD051, which delivered a width extension at North Oval:
- 9.3m @ 1.06% Cu and 0.48% Ni
- Including 3.8m @ 1.46% Cu and 0.66% Ni
These intercepts confirm that higher-grade sulphide mineralisation persists beyond previously defined boundaries and remains open in multiple directions.
Figure 3: The strongly mineralised interval intersected in drillhole OVD049 starting from 168.3 metres. [Asian Battery Metals]
Figure 4: The highly mineralised interval encountered in drillhole OVD051 beginning at 112.12 metres. [Asian Battery Metals]
A Growing Intrusive Cluster Opportunity
The confirmation of mineralised mafic intrusions at MS1, combined with the identification of MS4 and nearby geophysical targets such as Bayan Sair and MS2, supports the interpretation of a large intrusive cluster system. This geological setting is highly prospective for magmatic sulphide mineralisation and significantly enhances the long-term upside at Oval.
The Company also remodelled downhole electromagnetic (DHEM) plates, identifying multiple untested conductive targets with strong geological support. These targets provide clear direction for future drilling aimed at discovering deeper and potentially thicker sulphide accumulations.
Figure 5: Reduced-to-pole magnetic map showing FLEM and DHEM plates across Oval and North Oval. [Asian Battery Metals]
Metallurgical Results Strengthen the Development Case
Supporting the exploration success, metallurgical test work completed during the December 2025 quarter returned excellent copper recoveries of 89–95% across composite samples from the Oval project. These results confirm favourable mineralogy and processing characteristics, an important factor in assessing future development potential.
The dominance of well-liberated chalcopyrite for copper and pentlandite–violarite assemblages for nickel further enhances confidence in the project’s technical fundamentals.
Management Commentary
Commenting on the results, Managing Director Gan-Ochir Zunduisuren said:
“In 2025, the Company delivered very positive results, including a 60% extension of the Oval Cu-Ni-PGE mineralisation, increasing its total strike length to 880 metres. Exploration also identified pathways for further mineralisation growth and confirmed the presence of an additional mafic intrusive cluster, encompassing MS1, MS4 and potentially, Bayan Sair. We look forward to the 2026 exploration program to further unlock copper mineralisation and advance the potential for a future resource definition.”
This commentary underscores management’s confidence in the evolving scale and quality of the Oval system.
Alignment with the Quarterly Report
The announcement aligns closely with the Company’s December 2025 Quarterly Activities Report, which detailed:
- Completion of 40 drillholes for 7,434 metres across Oval and regional targets
- Confirmation of extensions to mineralisation along strike and at depth
- Strong metallurgical recoveries reinforcing project economics
- Successful completion of a $6 million equity placement, strengthening the balance sheet
Together, these factors place the Company in a strong position to advance exploration aggressively in 2026.
Planned Next Steps
The Company has outlined a clear forward strategy, including:
- Planning and permitting for Phase 4 drilling in Q1 2026
- Constrained geophysical modelling integrating rock physical properties
- Continued refinement of the 3D geological model
- Further evaluation of the Maikhan Uul Cu-Au project as part of due diligence
These activities aim to convert exploration success into tangible resource growth.
Figure 6: Locations of Asian Battery Metals’ projects in Mongolia [Asian Battery Metals]
Investor Outlook
Asian Battery Metals’ recent exploration success has been accompanied by steady share price performance, reflecting growing investor confidence in the Company’s strategy and asset quality.
Share Price Activity (ASX: AZ9):
- Last Price: $0.025
- 1 Month: +4.17%
- 2026 YTD: +6.38%
- Market Capitalisation: $22.15 Million
The Company is building a clearer understanding of the Oval Cu–Ni–PGE Project with a stronger geological model and growing technical confidence. This puts the Company in a solid position to continue exploration and move closer to a potential resource definition.
