Dreadnought ‘significantly’ advances Mangaroon

Junior explorer Dreadnought Resources (ASX:DRE) has pocketed $2.1 million from the Australian government under its research and development (R&D) tax incentive scheme for the 2023 financial year.

The scheme is designed to support companies completing R&D work in the critical metals space, and Dreadnought says it emphasises the ‘vital’ work being completed at its Mangaroon Gold-Rare Earth Elements (REE) Project in Western Australia.

Further, the $66.1 million market capitalisation company says the incentive ‘significantly’ advances Mangaroon as a long-life and strategic tier-one critical minerals project. 

The R&D incentive payment comes just one day after Dreadnought expanded its Star of Mangaroon prospect in the project area through fresh soil sampling work. 

Shares in Dreadnought Resources were up 21.05% to $0.023 at 1:20pm AEDT.

The Mangaroon resource — comprising both Yin and the Gifford Creek Carbonatite — sits at 40.82 million tonnes @ 1.03% total rare earth oxides (TREO).

Dreadnought says alongside its exploration work, it’s undertaking ‘extensive’ metallurgical research and development studies to optimise on concentrates at Yin and Gifford Creek. 

Further, these studies are looking at optimising how rare earths will be extracted into an intermediate product for further midstream refining. 

Dreadnought says it’s based on this metallurgical work that it lodged its FY23 R&D tax incentive application. 

Alongside Mangaroon, Dreadnought also owns the Kimberley Nickel-Copper-Gold Project, the Central Yilgarn Gold, Base Metals, Critical Minerals, and Iron Ore Project, and the Bresnahan Heavy REE, Gold-Silver-Antimony, and Uranium Project, all in Western Australia. 

Dreadnought ended 2023 with roughly $2.8 million cash at hand, according to its latest quarterly report. 

Write to Joshua Smith at Mining.com.au 

Images: Dreadnought Resources
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Written By Joshua Smith
Joshua Smith has years of experience in the media sector, having worked as a markets reporter, features writer, and editor since completing a Communications and Journalism degree and a Creative Writing degree. Josh is an avid board game fan and a self-professed coffee snob.