American West Metals: Work commences at West Desert – focus on indium and gallium

American West Metals bei GOLDINVEST - Utah

American West Metals (ASX AW1 / WKN A3DE4Y) is stepping up its efforts at its West Desert project in Utah and launching an expanded field program. In addition to zinc, copper, and silver, indium and gallium are now systematically coming into focus for the first time. Plans include re-evaluating historical drill cores, testing tailings from old operations, and preparing for the next drilling campaign, for which the company already has the necessary permits. For American West Metals, this is a step toward more accurately assessing the property’s metal content and prioritizing exploration targets in a more targeted manner.

American West Metals: Commencement of Work and Objectives at West Desert

The West Desert project is located in the mineral-rich Fish Springs district, approximately 160 kilometres southwest of Salt Lake City. American West Metals controls private land, patented and unpatented claims, and thus the entire area of the district. The new work program begins with a re-sampling program: Historical drill cores, which have only been analysed for indium and gallium in isolated cases, will be systematically re-examined. The expected “metal associations” are expected to help identify target zones for follow-up drilling, including zones that are structurally associated with the regional CRD/skarn system and porphyry-related intrusions.

At the same time, the company plans to test tailings from the historic Utah, Emma, and Galena zinc-silver-lead mines for critical metals. The background to this is a US federal program (“Effort to Unlock Critical Minerals from Mine Waste,” announced on July 24, 2025), which draws attention to the potential of mining waste and identifies funding opportunities. American West Metals says it is in contact with US authorities on this matter.

Indium and Gallium in Focus: Broadening the Data Basis

According to the company, West Desert is the only deposit in the USA with a modern indium resource prepared in accordance with NI 43-101 and JORC 2012. However, in the past, only about 35% of the relevant samples were actually analyzed for indium – a significant reason for the resampling now underway. For gallium and germanium, only sporadic analyses from 2022 drilling are currently available (approximately 5% of the total drilling dataset). The gallium values reported to date show a wide distribution within the system, with peaks of up to 77.3 g/t gallium.

The market and regulatory context also play a role in this decision: Indium and gallium are considered critical raw materials for aerospace, electronics, energy, and telecommunications. Export restrictions in Asia recently disrupted supply chains. According to industry indices, Utah is considered a mining-friendly jurisdiction; parts of the project are located on private land owned by American West Metals – an aspect that can simplify permitting processes.

Resources, Geology, and Drilling Results in Figures

Geologically, West Desert is described as a porphyry-related system with skarn and Carbonate Replacement Deposit (CRD) characteristics. An important structure is the Juab Fault, which divides the deposit into a “Main Zone” (Notch Peak Formation) and a deeper “Deep Zone” (Orr Formation). The mineralization is dominated by sphalerite, accompanied by chalcopyrite, silver, indium, and locally gold and gallium.

Cu-Au-Ag-In-Ga-rich mineralization in drill core from a depth of approximately 422 m in drill hole WD22-01c; Source: American West Metals
Cu-Au-Ag-In-Ga-rich mineralization in drill core from a depth of approximately 422 m in drill hole WD22-01c; Source: American West Metals

To contextualize the scale, the company reports a JORC-compliant total resource (Indicated + Inferred) of approximately 33.7 million tonnes with an average of approximately 3.8% zinc, 0.15% copper, and 9 g/t silver (divided by oxide/sulfide material and open pit/underground). For indium and gold, American West Metals additionally reports an Inferred Resource totaling approximately 33.7 million tonnes; according to the tables, the average grade is approximately 20 g/t indium (gold approx. 0.10 g/t; cut-off varies by material type). These figures serve for geological orientation; economic implications depend on further work, metallurgy, and future studies.

Beyond the existing resource, the company sees expansion opportunities around the porphyry-related contact – to date, only about 10% of this contact zone has been drilled. The focus is on a copper-gold-dominated marginal zone that has not yet been included in the resource estimate. Drilling from 2022 includes the following intercepts: 17.22 m at 1.04% Cu, 0.58 g/t Au, and 12.46 g/t In (from 325.21 m; WD22-05) and 3.5 m at 3.8% Cu, 0.8 g/t Au, 98.9 g/t Ag, 18.5 g/t In, and 67.7 g/t Ga (from 421.2 m; WD22-01c). Individual narrow gold-bearing veins (e.g., 1.1 m at 12.34 g/t Au) indicate a late, gold-focused event that overprints the earlier skarn and porphyry mineralization.

Outlook: Next Steps for American West Metals

In the short term, the resampling program is paramount. The goal is to significantly broaden the data basis for indium, gallium, and germanium, model metal associations, and refine drilling targets. Subsequently, American West Metals plans infill drilling in the copper-gold-dominated marginal zone, as well as tests of selected skarn/CRD targets in the vicinity of the known resources. Additionally, tests of waste dump material from historical mines are underway, which – depending on results and regulatory approval – could open up additional raw material streams for critical metals.

With the commencement of field operations at West Desert, American West Metals is combining two strands: geological resource work (exploration, analytics, target prioritization) and on-site conditions (private land, existing permits, engagement with authorities). The implications for further project development will largely depend on the results of the re-analyses and future drilling. In any case, the company is prepared to engage in discussions with authorities to explore what support can be obtained. Just last week, discussions were held with the Governor of the US state of Utah!

The Governor of Utah, Spencer J. Cox, with John Prineas, Director of American West in Sydney, last week
The Governor of Utah, Spencer J. Cox, with John Prineas, Director of American West in Sydney, last week
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