St George Mining (ASX:SGQ) has upgraded its resource estimate for the Araxá Rare Earths-Niobium Project in Minas Gerais, Brazil, by 75%, with a total estimate 70.91 million tonnes @ 4.06% total rare earth oxide (TREO) and 0.62% niobium pentoxide.
The updated resource increased the measured and indicated category by 218% to 29.49 million tonnes @ 4.56 TREO and 0.75% niobium pentoxide.
St George says the increase in both the measured and indicated categories creates a “stronger basis for robust economic studies”, while the inferred category has grown to 41.42 million tonnes.
The improved inferred resource provided a basis for further resource definition drilling across the project, which will deliver additional measured and indicated resources.
SRK Consulting completed the updated resource estimate for the Araxá Project on behalf of St George.
Executive Chairman John Prineas says the resource upgrade is a “milestone in St George’s history”, by upgrading the size and quality of Araxá.
“This new mineral resource estimate (MRE) at the Araxá Project now compares even more favourably with the size and scale of rare earths and niobium deposits owned by some of the world’s largest, listed miners including MP Materials (NYSE:MP) and Lynas Rare Earths (ASX:LYC),” Prineas says.
“What this upgraded MRE also does is confirm Araxá’s prime position as one of the world’s most promising, near-term rare earths and niobium development opportunities at a time when the Western world, led by the Trump Administration in the US, is actively working on establishing new and secure supply chains of critical strategic minerals.
“This MRE upgrade is therefore an exceptional outcome for our shareholders and validates our commitment to invest heavily in the ground at Araxá to carry out an aggressive and fully funded drill program — which continues today 24/7 — that has confirmed historical drill data, extended the known zones of mineralisation, and delivered new discoveries, such as East Araxá.”
St George is focused on developing critical minerals projects in Brazil and Western Australia.
Write to Maddison Elliott at Mining.com.au
Images: St George
