• Resouro Strategic Metals announces 1.7 billion tonne maiden JORC resource
  • The mineral resource estimate makes Resouro’s Tiros project the largest rare earths and titanium dioxide project in Brazil and one of the largest of its kind in the world
  • The near-surface deposit includes high-value magnet metals essential for the clean energy transition

 

Special Report: Resouro Strategic Metals has announced the largest and highest grade rare earth elements and titanium dioxide resource in Brazil and one of the largest resources of its kind in the world.

The Maiden JORC Resource of 1.7Bt is a major milestone for Resouro’s flagship Tiros project and demonstrates the company’s potential to be a major player in the strategically vital South American critical minerals sector.

Very few rare earths projects globally have a total resource of more than one billion tonnes and the JORC estimate places Resouro in a very favourable position with better-known Brazil-focused plays in the critical sector.

 

Large scale with high grades

Along with its scale, Resouro’s (ASX:RAU)  Tiros resource sits at the top of the totem pole when it comes to grade as well, averaging 3900 parts per million total rare earth oxides and 1100ppm magnet rare earth oxides.

The MREO component contains high-value magnet metals neodymium, praseodymium, terbium and dysprosium, known by their periodic table signs of Nd, Pr, Tb and Dy. These are essential for the clean energy transition, while the resource also contains an average grade of 12% titanium dioxide.

Within that is a very high grade domain of 120Mt at 9000ppm TREO, containing 2400ppm MREO and 23% TiO2.

The combined measured and indicated resources represent over half of the inventory at 1Bt at 4050ppm TREO, containing 1120ppm MREO and 12% TiO2.

Resouro president and founder Chris Eager said: “Completion of our maiden JORC-compliant mineral resource estimate for the Central Block of the Tiros Rare Earth project marks a pivotal moment for Resouro Strategic Metals.

“The 1.7Bt measured, indicated and inferred resource is contained in a flat-lying, consistently thick, near-surface and highly weathered clay-like material.

“We consider that the average resource grades of 3900 ppm TREO, 1100 ppm MREO and 12% TiO2 are well above average for this style of deposit.

“The resource has a discrete domain containing 120Mt at 9000 ppm TREO containing 2400 ppm of MREO and TiO2 of 23%, which indicates the potential for the Tiros Project to be mined at a high grade in the initial years of production.

“Resouro has defined a very substantial resource over just 7% of the land area of the project. Step out drilling to the north and south demonstrates consistent thicknesses and grades up to 35km away from the Central Block.”

Work will now turn to mine planning activities.

“We have completed sufficient resource drilling at Tiros and the huge scale of the maiden JORC resource means Resouro does not need to add resource tonnes. Infill drilling is ongoing for mine planning and feasibility and environmental purposes,” Eagers said.

“Resouro remains committed to sustainable practices and positive community engagement, ensuring that our growth contributes to the well-being of the regions in which we operate.

“I would like to congratulate our Technical and Community Relations Team on the ground at Tiros for the work undertaken to derive a 1.7Bt resource in a short period of time.

“I look forward to updating the market on Resouro’s progress to completion of our Preliminary Economic Assessment including the ongoing metallurgical test work programs.”

 

Space to grow

As large as it is, there’s still a lot of upside potential given the majority of the Tiros resource is open at depth.

Completed over the 5981ha Tiros Central Block, it also comprises just a fraction of the total 45,000-plus hectare project.

Growth opportunities were indicated by recent highly encouraging step-out drilling to the north and south of the resource definition area.

Tiros is hosted by the Capacete Formation, which is an at or near surface, flat-lying layer of volcanoclastic material extending over 71km.

That means the deposit extends from surface with consistent grades to at least 150m, which makes it ideal for large scale, low-cost open pit mining.

Resouro has acquired what it believes to be all the potentially economic parts of the formation that are available, based on its access to an exploration database compiled over the past 14 years as well as its own exploration.

Another plus for the Tiros project is that it’s in Brazil’s key mining-friendly state of Minas Gerais, close to excellent infrastructure and skilled labour.

 

And there’s titanium

As well as its grades and scale, another factor setting Tiros apart is that it’s also one of the world’s largest undeveloped titanium dioxide projects.

The majority of TiO2 is used for white pigments in paint and plastics. TiO2 is also used in products many of us use daily, as well as in cars and aerospace, as it is stronger and lighter than steel.

TiO2 is also essential to renewable energy technology. For example, it boosts the efficiency and durability of photovoltaic cells, while a lot of work is being done to commercially develop sodium titanate batteries thanks to their financial, environmental and safety benefits over lithium-ion batteries.

All this gives the annual TiO2 market a forecast compound annual growth rate of 5.7%, with ReAnIn Research Analysis and Insights seeing demand increasing from a value of ~US$22bn in 2023 to US$32.2bn by 2030.

And with the critical mineral being complicated to recycle, new titanium projects are crucial to fulfil global supply needs.

 

Next steps

Resouro is already well under way with metallurgical and mineralogical test work, which shows that a simple, less costly and more environmentally sensitive process can produce a rare earth concentrate and maximise the recovery of the project’s high-value metals.

Resouro expects to make an announcement about its met test work in coming weeks.

 

 

This article was developed in collaboration with Resouro Strategic Metals, 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.

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