New assays out of Voltaic’s Paddy Well proves there’s a big system lurking at Neo

Voltaic Strategic Resources says it now has unequivocal evidence for the presence of a large alumina-rich, kaolinitic REE clay system at the Neo prospect within the Paddy Well project.

The scale potential of the Neo prospect has been confirmed after Voltaic Strategic Resources (ASX:VSR) encountered several extremely wide REE mineralised intersections from surface.

VSR says another 12 drillholes from the Phase-1B campaign shows intersections of almost 80m from surface across multiple holes, with mineralisation remaining open at depth and along strike.

The Neo prospect forms part of an expanding regional 6 x 2km anomalous area with multiple >1,000 ppm TREO zones identified and only a fraction of the area tested to date.

This latest round of drilling has returned individual metre values up to 1% TREO, and high tenor ‘magnet REE’ percentages up to 30%.

Stand-out assays include 78m at 1,0001ppm TREO from surface, with a peak of 1m at 10,072ppm TREO or 1.1% TREO from 56m, as well as 78m at 661ppm TREO from surface, with a peak of 1m at 2,046ppm TREO from 54m.

Potential for hosting a ‘open pittable’ REE clay deposit

“We now have unequivocal evidence for the presence of a large alumina-rich, kaolinitic REE clay system at Neo, which has the potential for hosting a near-surface “open-pittable” REE clay deposit of substantial scale,” VSR managing director Michael Walshe says.

“Metallurgical testing on the clays is now underway to determine their preliminary economic viability and ion-absorption (IAD) potential.

“The ‘size by assay’ analysis work has been completed and the preliminary results are encouraging for a significant upgrade in REE grades and the removal of waste, by undertaking simple upstream mineral processing techniques.”

What else is on the agenda?

Walshe says the leach test work is due to begin next week once this data has been reviewed and a decision made on the optimal size fraction for leaching.

Encouragingly, halloysite has already been identified from scanning electron microscope (SEM) analysis, which is a kaolinitic clay mineral commonly found in true IAD clays.

“Our focus is now on primary carbonatite targets,” Walshe adds.

“We will soon undertake several field surveys including airborne magnetics and radiometrics, photogrammetry, and soil sampling.

“These programs will increase our pool of priority targets and ensure several months of highly active and material news flow over the remainder of 2023.”

This article was developed in collaboration with Voltaic Strategic 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.