Pinnacle Minerals Limited (ASX: PIM | OTC: PIMLF) has announced the proposed acquisition of 100% of APT Tungsten Limited (APT), which holds five early-stage tungsten exploration projects in Utah, USA, alongside an associated placement of up to A$1.3 million.
The acquisition will provide Pinnacle with exposure to five tungsten projects comprising 199 unpatented mining claims covering approximately 4,000 acres across three Utah counties, with exploration potential across placer, skarn and fissure-vein mineralisation styles.
The transaction is backed by strategic investment from ASX-listed American Tungsten & Antimony (ASX: AT4), which is subscribing A$412,066 to the placement and is expected to become a 5.01% substantial shareholder on completion.
The acquisition and placement are subject to shareholder approval, with on-ground exploration planned to commence at the priority Hero (House Range) Project from January 2027, subject to completion.
Key Highlights
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Five US tungsten projects: Proposed acquisition of 199 unpatented mining claims covering approximately 4,000 acres across Utah, comprising Hero (House Range), Trout Creek, Lone Pine, Desert Flower and Super W (West Tintic).
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Historical tungsten potential: Reported historical production at Lone Pine, Desert Flower and Super W, with selective May 2026 rock chip sampling returning up to 12.25% tungsten (W) at Lone Pine.
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Strategic investment from AT4: American Tungsten & Antimony (ASX) will invest A$412,066 in the placement, becoming an expected 5.01% substantial shareholder upon completion.
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Up to A$1.3 million placement: Placement at A0.045pershare,withapproximatelyA3.45 million in cash and placement proceeds available on completion, assuming the maximum placement.
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US critical minerals exposure: Tungsten is a designated US critical mineral, with new US defence procurement restrictions taking effect from 1 January 2027, subject to exceptions.
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Priority exploration from January 2027: Initial work will target Hero (House Range), where extensive outcropping skarn and historical workings were observed during a September 2026 site visit.
Five Utah Projects Create Potential Scale and Optionality
The proposed acquisition delivers a portfolio of five early-stage tungsten exploration projects spanning 199 unpatented mining claims and approximately 4,000 acres across Box Elder, Millard and Juab counties in Utah.
The projects cover three distinct mineralisation styles, including placer, skarn and fissure-vein systems, providing multiple exploration opportunities across the portfolio.
Hero (House Range) – Priority Project
Located in Millard County, Hero comprises 52 lode claims covering approximately 1,000 acres.
The project hosts skarn mineralisation associated with the Jurassic-aged Notch Peak intrusive. Historical mining activity from the 1940s targeted scheelite-bearing skarn lenses at or near surface.
A September 2026 site visit observed extensive outcropping skarn around the Notch Peak intrusive, including numerous historical open-pit and underground workings.
Selective May 2026 rock chip samples returned tungsten grades ranging from 0.033% to 2.20% W.
Hero is Pinnacle's priority project, with initial on-ground exploration planned from January 2027, subject to completion of the acquisition.
Lone Pine
Located in Box Elder County, Lone Pine comprises 18 lode claims covering approximately 400 acres.
Historical production between 1940 and 1944 was reported at 1,156 short tons (approximately 1,049 tonnes) grading around 3.68% WO₃.
Selective rock chip sampling undertaken in May 2026 returned tungsten grades ranging from 0.69% to 12.25% W, with eight of 11 samples returning grades above 2% W.
Exploration will focus on extensions around existing underground workings, with field mapping, sampling and further geological evaluation planned.
Desert Flower
Located in Box Elder County, Desert Flower comprises 15 lode claims covering approximately 300 acres.
Historical production during the 1950s was reported at approximately 400 short tons (360 tonnes) of direct-shipping ore grading 1.25% WO₃.
The project hosts a skarn contact historically reported to be traceable at surface for more than five miles.
Planned work includes compiling historical records and mapping and sampling the geological contact.
Super W (West Tintic)
Located in Juab County, Super W comprises 34 lode claims covering approximately 700 acres.
Reported historical production between 1942 and 1944 totalled 7,198 short tons (approximately 6,530 tonnes) grading around 0.94% WO₃.
Future exploration will target extensions of historically worked fissure veins, alongside title review and field validation of historical workings.
Trout Creek
Located in Juab County, Trout Creek comprises 80 placer claims covering approximately 1,600 acres.
The project is situated on an alluvial fan along the eastern flank of the Deep Creek Mountains and targets potentially laterally extensive scheelite-bearing gravels.
Initial work will include representative sampling and recovery tests, with assays from TAC-1 and TAC-2 pending.
The projects are early-stage exploration assets. Historical production information has not been verified by a Competent Person, and selective rock chip samples are not representative of overall mineralisation. No Mineral Resource or Exploration Target has been estimated.
Strategic Investment Supports US Tungsten Strategy
American Tungsten & Antimony (ASX), which is pursuing a US mine-to-metal strategy in antimony and tungsten, is participating in the placement with an investment of A$412,066.
AT4 will subscribe for 9,157,031 shares and receive 4,578,516 placement options, and is expected to hold 5.01% of Pinnacle on completion.
AT4's strategy is to source US domestic antimony and tungsten ore and concentrates for existing and planned processing operations at the Del Sol facility in Nevada, in a hub-and-spoke model.
APT Tungsten has also entered into a non-binding Memorandum of Understanding (MOU) with Nexus Metals, which AT4 has agreed to acquire.
The MOU provides a framework to explore metallurgical testwork and mineralogy on samples from the Utah projects, alongside potential future toll treatment or offtake arrangements at the Del Sol facility.
The MOU does not provide Pinnacle with processing rights or guarantee any future toll-treatment or offtake arrangement. Any such arrangements remain subject to further agreements and approvals.
AT4 Executive Chairman Tim Morrison commented:
"AT4 is pleased to participate in the capital raising associated with Pinnacle Minerals' acquisition of these Utah Tungsten Projects. This investment supports Pinnacle's team in advancing these US tungsten projects, some with historical production, and potentially provides AT4 with future US domestic sources of concentrate that complement our broader Mine to Metal antimony and tungsten strategy in the United States."
Tungsten: A US Critical Mineral
Tungsten is a designated US critical mineral, essential to defence, aerospace and advanced manufacturing applications.
With the highest melting point of any metal at 3,422°C, tungsten is exceptionally hard and dense, making it suitable for cutting tools, drilling, specialised defence equipment and high-temperature industrial applications.
From 1 January 2027, US defence procurement rules will restrict tungsten metal powder, tungsten heavy alloys and products containing them where the tungsten has been mined, refined, separated, melted or produced in China, Russia, North Korea or Iran, subject to exceptions.
The United States remains heavily reliant on imported tungsten, with domestic supply increasingly important to defence and advanced manufacturing supply chains.
Pinnacle's proposed acquisition of the Utah tungsten portfolio provides exposure to this strategic critical mineral market through a portfolio of early-stage US exploration projects.
Acquisition and Placement Terms
Pinnacle has entered into a binding heads of agreement dated 22 October 2026 to acquire 100% of APT Tungsten Limited from its shareholders.
The acquisition is structured as an all-scrip transaction, comprising:
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33,333,333 Pinnacle shares at a deemed issue price of A$0.045.
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33,333,333 performance shares, converting on a one-for-one basis upon achievement of a A$0.09 20-day volume-weighted average share price milestone within three years.
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No cash consideration payable to the vendors under the acquisition consideration, with consideration shares subject to voluntary escrow released progressively over 12 months.
The APT vendors are expected to hold 18.24% of Pinnacle's issued shares on completion.
Pinnacle is also undertaking a placement of up to A1.3millionthroughtheissueofupto28,888,889sharesatA0.045 per share, subject to shareholder approval.
On completion, and assuming the maximum placement, Pinnacle expects to have approximately A$3.45 million available from existing cash and placement proceeds.
The proposed use of funds includes A700,000forexplorationacrosstheUtahprojects,A550,000 for existing projects and approximately A$1.1 million in cash reserves, alongside transaction costs, loan repayment and working capital.
The transaction remains subject to conditions, including shareholder approval, completion of a placement of at least A$1.2 million, and the continuation of the Western Cobalt Agreement.
Board and Management
On completion of the acquisition, the APT vendors will nominate Matthew O'Kane as Managing Director and Blake Steele as Non-Executive Director, adding further management capacity and experience in North American operations.
William Witham will transition from Managing Director and CEO to Technical Director, while Stephen Ross will remain Non-Executive Chairman.
The proposed changes are intended to strengthen Pinnacle's technical and operational capabilities as it advances the Utah tungsten portfolio alongside its existing Australian and Canadian projects.
Next Steps and Catalysts
The proposed acquisition and placement remain subject to shareholder approval at Pinnacle's Annual General Meeting scheduled for 30 November 2026.
Subject to satisfaction or waiver of the remaining conditions, completion is targeted by 31 December 2026.
On-ground exploration is planned to commence at Hero (House Range) from January 2027, with the initial Utah exploration program including:
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Compilation and validation of historical exploration and production data.
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Geological mapping, rock chip and soil sampling, including validation of May 2026 sampling sites.
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Scheelite UV surveying and portable XRF traversing across historical workings.
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Collection of representative samples for metallurgical testwork, including potential work with Nexus Metals.
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Claim maintenance, land access and permitting to define drill-ready tungsten targets.
Additional catalysts include pending assays from Trout Creek, further mapping and sampling results across the portfolio, progress on metallurgical testwork under the Nexus MOU, and the definition of drill-ready tungsten exploration targets.
About us:
About the Company
Pinnacle Minerals Limited (ASX: PIM | OTC: PIMLF)
Pinnacle Minerals is advancing the proposed acquisition of APT Tungsten Limited, which holds five early-stage tungsten exploration projects in Utah, USA, alongside its existing Australian and Canadian exploration portfolio.
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Contact details:
Media Contact
Abbey Phillipps
Media & Investor Relations
Jane Morgan Management
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Company Contact
William Witham
Managing Director & CEO
Pinnacle Minerals Limited
E: [email protected]
