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Vital Metals (ASX:VML) wraps up first month of production at Nechalacho

Materials
ASX:VML      MCAP $27.83M
06 August 2021 11:30 (AEDT)

Source: Vital Metals

Vital Metals (VML) has concluded its first month of rare earths production at the Nechalacho Canada project with encouraging mineralisation intercepts.

The company describes Nechalacho project as a high grade, light rare earth project located at Nechalacho in the Northwest Territories of Canada.

Intersections identified within the North T pit are not included in its existing high-grade mineral resource, leading Vital to believe the new material could provide opportunities for an expanded mining plan.

Vital was targeting a concentrate specification of above 35 per cent total rare earth oxides and said the sorted performed as expected, inferring it may have met this target.

Vital said ore processing had “exceeded expectations”, despite only working through its low-grade stockpile so far and is set to start working through high and medium grade stockpiles this month.

Mining activities have been focussed primarily on removing overburden and establishing infrastructure with its first mining campaign targeting an October completion date.

According to Vital, works at the operation mark the first time a First Nations business has extracted mineral resources from Canada, with Det’on Nahanni Construction Ltd — a YKDFN-owned business — completing contract mining at the site.

Vital Metals shares were up 5.56 per cent at 11:45 am AEST to trade at 5.7 cents.

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