Gold Mountain (ASX:GMN) has received stream sediment sample assays, confirming highly anomalous widespread rare earths and radiometric anomalies at the Down Under Rare Earth Element (REE) Project in Brazil’s Bahia State.
Samples were taken over a 80km2 area and were compared more favorably with geochemical samples taken from known mineralised catchments.
Gold Mountain, which has a market capitalisation of $9.44 million, identified widespread contiguous catchment areas with anomalous geochemical rare earths assay results in seven areas — five of which form immediate drill targets.
There are four major drill target zones of geochemical anomalies, with two additional areas in the Florestal and Jenipapo areas.
The company says there is “outstanding potential” for new rare earths discoveries along the geological and structural trends that host the province.
Following this announcement, the company’s share price increased 20% to $0.003 per share as of 2.30pm AEST on Monday 8 July.
Further, widespread anomalous spectrometer radiometric thorium was identified in intervals up to 1,600m wide. Additionally, 44 spectrometer radiometric traverse lines, for 85km of traverses were carried out on the Down Under tenements.
Gold Mountain says follow-up work will comprise auger drilling to 10m depth and into the saprolite zone, depending on the location of the anomalies. An auger drill rig is in transit to the company’s field site and is expected to arrive this month.
Drilling will be conducted where geochemical or radiometric thorium anomalies are identified. These targets will be ranked according to anomaly value and areas of laterite profile present.
The company expects additional results from the stream sediment sampling program to be received from the laboratory before the end of this month. A total of 350 samples are currently at the laboratory.
Gold Mountain is a mineral explorer focused on its assets in Brazil and Papua New Guinea. The company’s projects are considered prospective for rare earths, niobium, lithium, nickel, copper, and gold.
Write to Aaliyah Rogan at Mining.com.au
Images: Gold Mountain
