Double whammy: DevEx flags extensive REEs in QLD and strong uranium hits in NT

Drilling at Kennedy has demonstrated extensive distribution of REE’s in surface clays
Kennedy hosts high-value rare earth elements essential for magnets
Drilling at Nabarlek has intersected high-grade uranium mineralisation across multiple prospects
Second drill rig to be added in light of strong in-fill and extensional results

A double win for DevEx Resources as drilling at both the Kennedy ionic clay-hosted rare earths project in Queensland and the Nabarlek uranium project in the NT delivers strong hits.

Ionic clay rare earths (REE) deposits are emerging as a credible source of highly sought-after REE globally, especially those used in the energy transition sector.

Early work at DevEx Resources’ (ASX:DEV) Kennedy project suggests that the deposit has favourable metallurgical characteristics with leach test work demonstrating rapid recoveries with very low acid consumption and significant scale.

At Nabarlek, the company holds a dominant 4,700km² tenement package in the Alligator Rivers uranium province – a region known for its world-class, high-grade uranium deposits, with over 500 million pounds of uranium in mined and current resources.

DevEx is one of the few uranium explorers on the ASX currently targeting high-grade uranium adjacent to the historical Nabarlek Uranium Mine, where 24Mlbs at 1.84% U3O8 was produced making it Australia’s highest grade uranium mine.

High-value rare earth elements at Kennedy

Step-out air-core drilling at Kennedy is continuing to extend the distribution of significant Total Rare Earth Oxide (TREO) mineralisation from surface over the broader project area, with new mineralised intervals including:

2.5m at 760ppm TREO from surface, including 1m at 1,143ppm TREO;
2.0m at 716ppm TREO from surface, including 1m at 1,091ppm TREO;
2.0m at 888ppm TREO from 0.5m, including 1m at 1,505ppm TREO;
1.5m at 1,138ppm TREO from 0.5m, including 1m at 1,374ppm TREO;
1.5m at 1,508ppm TREO from 0.5m, including 1m at 2,053ppm TREO; and
2.0m at 717ppm TREO from surface, including 1m at 1,100ppm TREO.

These TREO assay results from surface include the important and high-value rare earth elements such as praseodymium, neodymium, dysprosium and terbium, which are essential in the manufacture of the permanent rare earth magnets used in electric vehicles and numerous other renewable energy applications.

In addition, several deeper holes indicate the potential for a second horizon beneath the target regolith at depths of between 16 to 25 metres, warranting a deepening of the search depth over the broader project area

DevEx Resources (ASX:DEV) — Pic: Step-out drilling is ongoing and is planned to test the full extent of ionic adsorption REE clays in the target regolith over the entire Kennedy project. Source: DEV.

Extending uranium mineralisation

At Nabarlek, drilling at the U40 prospect continues to extend the high-grade uranium mineralisation south of previous intercepts along the U40 Fault Zone, with new results including:

40.7m at 0.11% eU₃O₈ (1,100ppm) from 54.9m (RC 132), including 0.4m at 0.53% eU₃O₈ (5,300ppm), 0.6m @ 0.42% eU₃O₈ (4,200ppm); and
3.1m at 1.00% eU₃O₈ (10,000ppm) from 77.1m (RC 135), including 1.4m at 1.96% eU₃O₈ (19,600ppm).

Nabarlek North returned 4.6m at 0.32% eU₃O₈ (3,200ppm) from 47m (RC 122), including 0.7m at 0.83% eU₃O₈ (8,300ppm).

Laboratory results have been received from previously reported eU3O8 intercepts, including:

24.0m at 0.16% U₃O₈ from 61m (RC 73), including 6m at 0.25% U3O8 and 2.71g/t gold (Au), including 1m at 0.52% U₃O₈ and 2.88g/t Au; and
5.0m at 0.54% U₃O₈ (5,400ppm) from 43m (RC 65), including 1m at 1.55% U₃O₈ (15,500ppm).

‘Outstanding results’ as uranium sentiment grows

DevEx MD Brendan Bradley said the Nabarlek project was continuing to generate outstanding drill results at an ideal time in the market cycle, as investor interest in uranium continues to build.

The uranium spot price recently hit US$66 a pound – a +10 year high — and DevEx is one of the very few ASX listed companies actively drilling for high-grade uranium in an attractive mining jurisdiction.

“Our drilling is systematically unlocking the potential of this under-explored district,” Bradley said.

“We are also excited to see significant gold mineralisation in the assays returned from the U40 prospect.

“This is an important development for our team, with the alteration and gold association observed at U40 displaying strong similarities to some of the major deposits of the district such as Ranger and Jabiluka.”

Looking forward

Step-out air-core drilling at Kennedy is continuing, which the company expects to provide an understanding of the grade distribution of the high-value rare earth elements and to guide priority areas for in-fill drilling.

At Nabarlek, the discovery of large, high-grade uranium deposits — like the Nabarlek uranium deposit or the nearby world-class 300Mlbs Ranger uranium mine – remains the priority focus for DevEx.

A second drill rig (diamond) will be mobilised to site in the coming weeks to build on these latest results.

This article was developed in collaboration with DevEx 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.