Red Metal (ASX:RDM) says phase-two metallurgical testing at its Sybella rare earth oxide (REO) discovery in north-west Queensland supports the potential for a low-cost, low-capital heap leach processing operation.
The recent studies achieved strong REO extractions using low levels of ambient-temperature sulphuric acid on coarse fractions of both weathered and fresh granite over increased residence times.
Combined with comminution studies to date, the results point to a REO extraction process using low-cost bulk open-pit mining, simple coarse gyratory, jaw and cone crushing, and heap leach method using low levels of sulphuric acid.
Managing Director Rob Rutherford says the interim results from the second-phase testwork and comminution studies have confirmed the initial hypothesis that
Sybella can be coarsely crushed and leached under weak acid conditions in a sustainable manner.
“Impurity removal trials are progressing with early indications showing residual contaminants from the pregnant leach solution may be successfully removed, potentially resulting in a premium mix rare earth carbonate product,” Rutherford says.
“Results from these tests are expected shortly.”
Red Metal notes that broad-spaced step-out drilling is continuing, with 50% of the initial program complete.
Sybella is a new discovery that sits 20km southwest of Mount Isa in Queensland. The company believes this is a new REO deposit style for Australia and potentially a “world first”. The target is partially weathered and fresh REO-enriched granite 12km long and 3km wide offers vast tonnage potential.
Red Metal will be presenting at the upcoming Vertical Events 2024 Gold Coast Investment Showcase, being held on 19 and 20 June at the JW Marriott Gold Coast Resort & Spa in Queensland.
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Write to Aaliyah Rogan at Mining.com.au
Images: Red Metal
