Metal Hawk’s clay-zy rare earths, lithium and nickel drill offensive is just getting started

Drill assays from Fraser South hit more Rare Earth Elements (REE) in clays, typically easier and cheaper to drill and mine than hard rock
Plans for further exploration at Fraser South in 2024
Lithium drilling now underway at the Yarmany project

Special Report: Assays from Metal Hawk’s Stage-2 aircore (AC) drilling program targeting Rare Earth Elements (REE) at the Fraser South project in WA have intersected additional zones of REE saprolite enrichment.

In August the company purchased IGO’s 51% JV interest of the Fraser South project in the Goldfields-Esperance region, an area garnering significant attention in recent times as explorers continue to search for the next rare earths hub outside China.

Compared to hard rock deposits, clay hosted deposits are easier and cheaper to explore, drill and mine.

Processing is ostensibly cheaper. This can more than offset the far lower grades – ~ 0.1% versus hard rock mines which can be between 2-10%.

They also often contain a higher proportion of magnet rare earths, and crucially the heavy rare earths; the type critical for use in wind turbines and electric vehicles.

“Following the successful initial drilling campaign completed at Fraser South earlier this year, the second phase of drilling has delivered more thick high grade REE intercepts,” Metal Hawk (ASX:MHK) MD Will Belbin said.

Results highlight REE enrichment in clay

The program consisted of 46 vertical shallow AC holes for a total of 1,015m drilled, with best results including:

22m at 1193ppm TREO from 20m, including 10m at 1916ppm TREO from 32m (FSAC040);
14m at 1604ppm TREO from 16m (FSAC049); and
26m at 1313ppm TREO from 16m, including 12m at 1787ppm TREO from 16m (FSAC050).

In addition, new results from wide-spaced drilling at the Bozwood north zone have extended the trend of TREO mineralisation to over 8km along the REE-bearing Booanya Granite – which strikes through the majority of the Fraser South project area.

New results from Bozwood included:

22m at 1193ppm TREO from 20m, including 10m at 1916ppm TREO from 32m (FSAC040);
47m at 449ppm TREO from 24m (FSAC039); and
15m at 522ppm TREO from 15m (FSAC037).

These drilling results from Fraser South further highlight the high degree of REE mineral enrichment in the clay and saprolite zones formed from weathering of the REE-bearing granites in the region, the company says.

Focus is on Yarmany for now

The company is currently focusing on lithium and nickel sulphide exploration at the Yarmany project where a maiden drill program has begun at the F-camp prospect.

Yarmany is within the lithium-rich Ida Fault in the WA Goldfields region, which is emerging as a world-class lithium precinct, hosting Liontown Resources’ (ASX:LTR) 156Mt @ 1.4% Li2O Kathleen Valley and Delta Lithium’s (ASX:DLI) 12.7Mt @ 1.2% Li2O Mt Ida.

Its tenements are also southern-adjoining of Wesfarmers’ (ASX:WES) and Ora Banda’s (ASX:OBM)$26m Federal Flag JV.

There’s nickel prospectivity at Yarmany too. At the nearby Reptile Dam prospect, up to 0.64% Ni and 1,402ppm Cu was recently discovered.

“As our efforts are now focused on the maiden lithium drill program at the Yarmany Project which has just commenced, we will revisit plans for further exploration at Fraser South in 2024,” Belbin said.

This article was developed in collaboration with Metal Hawk, 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.