The Australian Nuclear Science and Technology Organisation (ANSTO) has produced the first mixed rare earth carbonate (MREC) sample from ABx Group’s (ASX:ABX) Deep Leads resource in northern Tasmania.
The MREC contains 4% dysprosium (Dy) and 0.7% terbium (Tb) as a percentage of total rare earth oxides (TREO) – more than twice that of any other peer MREC.
ABx says the MREC also contains the highest amounts of other valuable heavy rare earths and very low impurities, including aluminium, uranium and thorium. The high proportions of these high value rare earths means that the ABx MREC basket price is 17% to 51% higher than all peer MRECs.
The MREC composition and samples of the MREC product will be shared with prospective customers and offtake partners for evaluation.
ABx expects discussions and negotiations to deepen based on these results. For the next stage of project development, ANSTO is conducting column leach tests on a bulk sample from the Deep Leads deposits.
Preliminary results are expected later in December 2025.
CEO Dr Mark Cooksey says the production of MREC is a major milestone for ABx as it represents the saleable product used in downstream refining to produce separated rare earth oxides, rare earth metals and magnets essential for electric vehicle motors, wind turbines, robots and guidance systems.
“This is one of the most significant achievements of our rare earths project and we are simply delighted with this result, especially since it is our first MREC product and there is significant scope for optimisation,” Cooksey says.
We’ve been eagerly anticipating confirmation of this MREC product, which is simply the best we know of from any ionic rare earth resource outside of China.
“Combined with the resource size, grade and ideal location near existing infrastructure, this means that the Deep Leads project is a highly compelling opportunity. We can’t wait to share this result with our prospective customers and receive their feedback.”
Cooksey adds that the MREC is likely to be particularly sought after by customers seeking high DyTb and low uranium and thorium.
Existing and prospective rare earth refineries are seeking high quality MRECs produced at low cost. MRECs with high proportions of Dy and Tb are in particular demand, because these elements have the most acute supply risk.
Cooksey notes ABx has ‘excellent prospects’ of meeting these requirements because achieving high extractions at ambient temperatures and pressures with minimal acid in a short time is likely to lead to lower cost and lower impurities in the MREC product.
For most clay-hosted rare earth deposits globally, minimal rare earth extraction is achieved using these process conditions.
Additionally, the MREC has a significantly higher proportion of Dy and Tb compared to peers.
It comes as ABx is raising $6.05 million through a share placement to fund development activities at the Deep Leads Project in Tasmania and construction of the ALCORE pilot plant.
The company will issue 74.69 million shares at $0.081 per share, representing a 17.3% discount to the last trading price and a 25% discount to the 15-day volume weighted average price.
Tranche one will issue 73.46 million shares, before the remaining 1.23 million shares are issued to ABx’s directors, subject to shareholder approval at a general meeting scheduled for January 2026.
ABx board and management have committed to subscribe for up to $100,000 in this placement.
The capital raised will be deployed to engineering and metallurgical studies, exploration drilling for a resource increase, and to secure offtake agreements for the Deep Leads Project.
Proceeds will also cover construction and commissioning costs of the ALCORE pilot plant to produce hydrogen and fluoride from aluminium smelter bath waste.
Write to Adam Orlando at Mining.com.au
Images: ABx
