Grades found at Caladão are associated with thick REE horizons in the weathering profile. Pic: Getty Images
Axel REE’s drilling consistency at Caladão shows strong rare earths and gallium
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- Axel REE receives more strong rare earth assay results at Caladão
- Significant high-value gallium mineralisation has also returned at surface
- The company is preparing a maiden resource for the project
Special report: The fourth batch of assays from Axel REE’s phase one diamond drilling at the Caladão project in Minas Gerais, Brazil, has again returned consistent, thick rare earth results, increasing the mineralised drilled area by 68% to over 60km2
That still only represents about 15% of the project, demonstrating just how much scale and exploration upside the asset holds.
From the first auger hole drilled in 2023, Axel REE (ASX:AXL) has seen unwavering ore grades, with high-grade results returned from every batch in the program that started after its IPO in late July last year.
As well as stand out rare earth results of 14m at 3921ppm total rare earth oxides from 1m and 37.37m at 2774ppm TREO from 7m, significant gallium mineralisation has also been delivered.
The gallium results continue to occur from surface, associated with the upper layer of saprolite returning 20m at 78.57g/t gallium oxide and 30.33m at 61.85g/t. It demonstrates the critical metal (one of several facing export controls from China) could provide a value-boosting by-product at Caladão.
Critical minerals opportunity
AXL managing director Dr Fernando Tallarico said the consistency of high-grade REE mineralisation returning from every batch with almost 4000 assays received so far is highly encouraging.
“Not only are the grades high, but they are also associated with thick REE horizons in the weathering profile,” Tallarico said.
“Significant gallium concentrations, found in the upper portions of the regolith, are also consistent and widespread at Caladão and shapes our project as a unique critical minerals opportunity.”
Gallium is a crucial component in high tech semi-conductor materials for military defence with global supply currently controlled by China.
Recent news of China banning gallium exports to the US has made it an even more strategic metal, heightening the value of deposits found in nations like Brazil.
First resource underway
AXL is preparing to commence its maiden resource calculation at Caladão as well as metallurgical testing.
“Not often do exploration programs go from grassroots to resource definition in such a short period,” Tallarico said.
“We are pleased that we set out on IPO to aggressively drill Caladão – we have continued to achieve exploration success here in a short period of time, with an additional discovery of gallium.”
The Phase One drill campaign at the Caladão Project in Minas Gerais’ Lithium Valley continues with 233 drill holes for 3952 metres completed across key target areas.
Drill samples have been sent to SGS and continue to return in batches progressively.
The data collected from these drillholes will be used to support the resource estimate.
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.
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