Dateline stocks soar after Colosseum’s magnetic appeal uncovered
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Dateline’s review of US Geological Service data at its Colosseum gold project has uncovered a radiometric anomaly similar to the nearby Mountain Pass rare earth mine.
The data review highlights coincident thorium and potassium radiometric anomalies covering a 800m by 500m area on the southern end of the Colosseum mining claims that are similar to the potassium and thorium anomaly at Mountain Pass.
Importantly, Mountain Pass – located just 8km to south – is the only US producer of light and heavy rare earths.
Investors lapped up the news, sending Dateline’s share price up 70 per cent in morning trade from 83 cents to $1.40.
Dateline Resources (ASX:DTR) managing director Stephen Baghdadi said that while the company’s focus was primarily on the gold potential of Colosseum, the data provided a compelling case to include rare earths exploration into its upcoming field program.
“Fieldwork is required to determine the significance of this thorium and potassium radiometric anomaly,” he added.
Having rare earths at Colosseum is potentially lucrative given that most of the world’s heavy rare earths come from China and neighbouring Myanmar with the latter funnelling its output to China for processing.
The Chinese dominance in rare earths has raised concerns about supply chain security given that magnet rare earths – neodymium, praseodymium, dysprosium and terbium – are crucial for wind turbines and the drive trains of hybrid and electric vehicles.
Unsurprisingly, demand for magnet REOs is forecast to exceed supply by 40% in 2030.
With the completion of the desktop analysis of the rare earth potential at Colosseum, Dateline intends to undertake a surface geochemical rock chip and soil sampling program around the radiometric anomaly during the second half of 2021.
Additional field work may include geophysics and/or drilling.
This article was developed in collaboration with Dateline Resources, 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.