Meteoric Resources (ASX:MEI) has hit pay dirt with outstanding drilling results at its 100%-owned Caldeira Rare Earth Ionic Clay Project in Minas Gerais, Brazil.
The drilling unveiled high-grade ionic clay rare earth element mineralisation, with grades of up to 8,000 ppm total rare earth oxides just south of the Capão do Mel starter pit.
The company says the campaign covered 6,538m across 224 holes, yielding intercepts including 37m at 7,998 ppm TREO (hole BDPAC0171) and 34m at 6,862 ppm TREO (hole BDPAC0178).
The results are substantial and reveal an average thickness in mineralisation of 27 metres across the total 2km by 4km license area.
Stuart Gale, Meteoric Resources’ managing director, underscored the significance of the result, saying “The exploration and drilling teams continue to identify additional high-grade areas across the Caldeira Project. This work supports our capacity to feed high-grade ore in excess of 4,000ppm TREO to the processing facility for significantly longer periods, further enhancing the economics of the Caldeira Project.”
Meteoric says this outcome upsizes the potential for the project’s expansion and confirms its capability to sustain low-cost mining and processing operations exceeding 4,000 ppm TREO for at least a decade.
The high mineralisation grades open up enhanced flexibility around options for future project development.
The indications of the drilling are numerous for Meteoric Resources, as the new discovery won’t be included in the mine plan for the upcoming pre-feasibility study, magnifying potential further upside in future project feasibility studies.
MEI has been trading at 9.3 cents.
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