Axel REE raises the flag with more surface gallium and rare earths in Brazil

• AXL receives up to 75g/t gallium and 6,792ppm total rare earths oxides at Brazilian project
• The Caladão project has secured MoUs with the State Government to fast track development
• Company on track for a maiden resource by July

Special Report: Axel REE continues to field thick, high-grade surface gallium and rare earth intercepts from its Caladão project in Brazil. 

Last month, the company executed multiple MoUs with the Minas Gerais State Government to fast-track development of its Brazilian projects, including one with Federation of Industries Minas Gerais, which owns and operates the LabFab ITR, the first rare earth magnet research and production facility in South America.

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Another MoU was signed with the State Economic Development Department and Invest Minas to support project development and fast-track licensing and approvals.

Drilling has already returned strong results like 14m at 3921ppm total rare earth oxides (TREO) from 1m and 37.37m at 2774ppm TREO from 7m along with significant gallium from surface (Caladão) and averages of 3229ppm TREO (Caldas).

Now Axel Ree (ASX:AXL) has reported:

• 15m at 60g/t gallium from surface;
• 6m at 75/t gallium from surface; and
• 15m at 58g/t gallium from surface.

Plus rare earths results including:

• 17m at 6,792 ppm TREO from surface;
• 13m at 5,432ppm TREO from surface;
• 10m at 4,500ppm TREO from surface; and
• 4m at 3,943ppm TREO from surface.

Notably, these results are from auger drilling – which is typically limited up to 20m depth – meaning the high-grade gallium and REE-mineralised holes are open at depth.

Maiden resource next cab off the rank

In the near-term, AXL is working on a maiden resource calculation for Caladão, expected in July.

“We are delighted to continue reporting consistently impressive gallium and REE assay results across a 60km2 mineralised area, with additional areas out of the 400km2 Caladão project yet to be tested,” AXL managing director Dr Fernando Tallarico said.

“The continuation of thick and high-grade gallium and REE intercepts from auger drilling is showing that mineralisation is also open at depth, with the potential for expansion following further deeper drilling.

“The program has now comprised over 6,000 metres of drilling and demonstrated that the Caladão mineralisation is high-grade and thick with an incredible lateral persistence.

“The next steps include defining a maiden gallium and REE resource estimate with SRK.

“In parallel, selected samples of mineralised gallium and REE assays have arrived at ANSTO with the metallurgical program progressing at their facility in Sydney, Australia.”

Auger drilling will continue in Caladão Area B and is also ongoing at the Caldas project at the world-class Poços de Caldas Alkaline Complex, to the south of the State of Minas Gerais.

This article was developed in collaboration with Axel REE, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.