Red Mountain goes long at Mt Mansbridge as rare earths outlook heats up
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Special Report: Red Mountain Mining now has about 33km of rare-earths rich strike to explore at the Mt Mansbridge project, just a stone’s throw from the advanced Browns Range project in the East Kimberley.
In August, $5m market cap Red Mountain (ASX:RMX) inked a deal to buy the Mt Mansbridge rare earths project and then more recently, the Mt Kokeby kaolin/high purity alumina (HPA) project; both in WA.
Since then, the stock is up about 100 per cent.
Now, Mt Mansbridge vendor Unearthed Resources has expanded the size – and prospectivity – of the project though the application of neighbouring exploration licence E80/5413.
When granted, the new tenement package will increase the Mt Mansbridge project area to 324sqkm and increases the outcropping rare earths prospective strike length to 33km:
The Killi Killi prospect is one of the few Australian rare earth projects prospective for heavy rare earths with known occurrences of xenotime.
Xenotime is a rare earth element (REE) mineral which hosts the heavy REE, dysprosium — vital for the electric vehicle industry as well as its use in lasers, wind turbines, nuclear reactors and other military applications.
This – plus the fact that there are very few projects globally producing commercial quantities — makes dysprosium a highly strategic mineral.
Rock chip sampling on the neighbouring tenement has also returned anomalous dysprosium and a new prospect (shown above), Red Mountain told investors.
The company considers the land package to be of strategic importance and notes recent talks between the US and Australia regarding supply of rare earths and critical minerals, particularly those used in weapons guidance systems, a key use of dysprosium.
Having moved quickly to secure Mt Mansbridge, Red Mountain is delighted to have picked up the additional ground at Mt Mansbridge, director Jeremy King says.
“In light of recent discussions between the United States and Australia regarding rare earths supply and China’s domination of the heavy rare earths market in particular, we consider that the Mt Mansbridge project has the potential to be a strategic asset, prospective for critical and high value heavy rare earth elements.”
RMX has the right to acquire 100 per cent of the Mt Mansbridge project; a notice of meeting to approve the transaction is to be despatched to shareholders in the near term.
Moving forward, Red Mountain will systematically review all available technical information and, coupled with field programs, will rank and prioritise drilling targets.