Locksley Resources (ASX: LKY) Halts Mojave Exploration After Antimony Price Slump

Locksley Resources has ceased active field exploration across its Mojave Project claim blocks in California following a portfolio review.

The review covered technical, regulatory and commercial factors across the company’s US critical-minerals assets. The board concluded that further material spending at the Desert Antimony Mine and El Campo prospects was not currently justified.

Locksley will retain its existing claims on a low-cost basis, subject to periodic board reviews. It is also assessing whether to continue technical work with Rice University on the DeepSolv hydrometallurgical process.

Market Conditions Reshape the Strategy

The decision follows a sharp reversal in antimony prices during the past year. European CIF spot benchmarks fell more than 57% from mid-2025 peaks, according to market reporting cited by Locksley.

Prices dropped from about US$63,000 per tonne to US$27,000 per tonne. That erased US$36,000 per tonne in contained value. Antimony trioxide benchmarks also declined by more than 41%.

Locksley said additional supply entered the market, while elevated prices constrained downstream demand. The lower realised product value reduced the commercial case for continued exploration spending.

This matters because the company had confirmed mineralisation at both prospects through previously reported drilling. However, mineralisation alone did not establish the scale or continuity required to support more spending.

Geological Constraints Add to the Case

At the Desert Antimony Mine, diamond drilling identified antimony within subvertical quartz-stibnite veins and associated vein breccias. Mineralisation extended below historical workings and remained open in some directions.

However, the subsequent review found structural complexity and limited demonstrated continuity. Locksley said further work would require additional drilling, including relatively close-spaced drilling.

That program would be needed to assess continuity and build enough geological confidence for potential future resource definition.

Meanwhile, earlier drilling at El Campo confirmed rare earth element mineralisation below surface exposures. The board weighed those results against the extra exploration required, market conditions and its strategic priorities.

Technical Director Ian Stockton said: “When considered together with the material downturn in global antimony prices and the Company’s capital allocation priorities, the projects do not currently justify further material exploration expenditure.”

Claims Retained, Field Work Closed

Locksley intends to keep the claims in good standing through Bureau of Land Management fees, county filings and regulatory compliance. This preserves the ability to reconsider the assets if circumstances change.

Specialist US contractors will close out core storage and conduct site-safety inspections. They will also rehabilitate existing drill tracks and pads under relevant permits.

All active drilling, field exploration and regional mapping across the Mojave claim blocks have stopped. The announcement did not quantify expected savings or provide a timetable for the next review.

Locksley is separately reviewing its collaborative DeepSolv work with Rice University. That assessment will determine whether additional technical work proceeds.

Chair Bevan Tarratt said: “Our priority is to allocate capital to opportunities with a credible pathway to commercial scale.”