Special Report: RareX is on track to define a high grade component for its Cummins Range resource after drilling returned outstanding rare earths and niobium assays.
The latest assays, which maintain excellent widths and grades such as 62m at 2.62 per cent total rare earth oxides (TREO) and 0.48 per cent niobium, show that mineralisation at the Western Australian rare earths project thickens to the east and remains open along strike and at depth.
RareX (ASX:REE) noted that the results to date provide support for its strategy to upgrade the current resource of 13 million tonnes at 1.13 per cent TREO and to define a high-grade component.
The latter objective is supported by the presence of an ultra high-grade zone of 6m at 9.44 per cent TREO and 1.46 per cent niobium in the same wide zone noted earlier.
Managing director Jeremy Robinson says the success of the recently completed program provides a strong foundation for the planned Cummins Range resource upgrade.
“I think it’s fair to say that the vast majority of the results received to date have exceeded our expectations in terms of width and grade, giving us a high degree of confidence in the ability to define a solid high-grade component as part of the resource update planned for early next year,” he added.
“The thick, bonanza grade mineralisation in the north-west sector of the deposit was certainly a pleasant surprise and we are now seeing much thicker zones in the central part of the deposit, while still achieving some really strong grades well above the average grade of the current inferred resource.”
Besides the top drill results, the latest 18 holes also returned results such as 45m at 2.4 per cent TREO and 0.5 per cent niobium including 6m at 6.2 per cent TREO and 1.4 per cent niobium and 16m at 3.8 per cent TREO and 0.2 per cent niobium including 3m at 14.8 per cent TREO.
Previous results had included a bonanza hit of 109m at 3.6 per cent TREO (TREO) and 0.44 per cent niobium from 24m.
RareX is now waiting on the results for the remaining 21 holes, which Robinson says will pave the way for work to begin on the updated resource that is targeted for completion and reporting early in 2021.
Rare earths potential
Cummins Range, in the East Kimberley Region of WA, is one of two known rare earth deposits bearing carbonatites in Australia. The other is Lynas’ Mt Weld.
Its current resource of 13Mt at 1.13 per cent TREO includes a substantial proportion of valuable neodymium and praseodymium (NdPR), which makes up 22 per cent of the rare earth content.
NdPr is commonly used in the manufacture of permanent magnets that are essential for electric vehicle motors and offshore wind turbines.
The project also contains significant amounts of niobium – a critical mineral that can be produced as a valuable by-product.
This article was developed in collaboration with RareX, 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.