Get 40% Off
These stocks are up over 10% post earnings. Did you spot the buying opportunity? Our AI did.Read how

Aruma Resources intersects high-grade rare earth elements at Salmon Gums

Published 06/03/2024, 09:56 am
Updated 06/03/2024, 10:00 am
© Reuters.  Aruma Resources intersects high-grade rare earth elements at Salmon Gums

Aruma Resources Ltd (ASX:AAJ) has found multiple zones of high-grade ionic clay rare earth elements (REEs) at its Salmon Gums Project in the Eastern Goldfields of Western Australia, including the highest grade REE result in the area to date.

The Salmon Gums Project consists of three exploration licences covering a total area of 360 square kilometres, some 200 kilometres south of Kalgoorlie.

This area is fertile terrain not only for REE prospectivity but also offers potential for gold and lithium.

Record REE result in sampling

The company’s surface sampling activities delivered the record REE result of 8,700 parts per million (ppm) total rare earth oxides (TREO) with high-value neodymium and praseodymium (NdPr) oxides constituting 22.5% of the TREO grade.

A 39-hole maiden REE-focused aircore drilling program also yielded several noteworthy intersections of considerable thickness, including:

  • 11 metres at 904 ppm TREO from 18 metres;
  • 18 metres at 638 ppm TREO from 12 metres;
  • 6 metres at 727 ppm TREO from 15 metres; and
  • 3 metres at 933 ppm TREO from 21 metres.

These results confirm a northern extension to recent REE findings by neighbouring companies, further highlighting the Salmon Gums Project's potential to host a significant ionic clay deposit.

Gold too

Along with this, the company intersected 3 metres of anomalous gold mineralisation, proving the diversity of minerals to be found in the area.

The next steps for Aruma include a targeted second phase of REE-focused aircore drilling to further delineate these high-grade zones and assess the project's full REE resource potential.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

The REE drilling also confirms a northern extension of recent REE discoveries by Meeka Metals and OD6 Metals in the region.

Indeed, two of the three anomalous high-grade REE zones identified during Aruma’s drilling campaign are coincident with OD6’s REE discovery, highlighting the ionic clay REE potential within the region.

Aruma managing director Glenn Grayson said: "The high-grade results returned from our first-pass REE-focused drilling at the Salmon Gums Project is exciting for Aruma.

“It appears that the higher grade mineralisation extends further onto our project area, which enhances the potential for it to host extensive REE mineralisation.

“The exceptional grades and thicknesses reported in this maiden drilling program, along with the highest grade ionic clay REE reported in the region to date – in surface sample AR33002 – highlights the largely untested REE potential of Salmon Gums and our team's skill in identifying and advancing high-value mineral prospects."

MAIN IMAGE: Outcropping high-grade REE Ionic clay from Circle Valley.

Read more on Proactive Investors AU

Disclaimer

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.