Assay results from recent drilling by St George Mining Ltd (ASX:SGQ) at the Destiny Project in the Eastern Goldfields region of Western Australia have confirmed more thick high-grade, near-surface rare earth element (REE) mineralisation.
The grades and thicknesses — and importantly, the high proportion of magnetic rare earths (MREO) such as neodymium and praseodymium — are similar to the results from the maiden drilling, providing confidence for the potential of a continuous high-grade REE deposit.
Assays from 13 of the 28 drill holes completed successfully confirm further continuity of the high-grade clay-hosted total rare earth oxide (TREO) discovery announced in December.
The assays reveal more high-grade mineralisation with grades up to 3,160ppm TREO, adding to the high-grade 5,125ppm TREO intercept from the maiden drilling.
St George highlights that high-value magnetic rare earth oxides (MREO) – such as neodymium and praseodymium that are needed for magnets used in electric vehicle motors – comprise a high percentage of TREO (19% on average) across all drill holes.
Potential for “very large, high-grade deposit”
The drilling revealed continuous high-grade intervals of up to 34 metres thick in near-surface clay-hosted zones with continuity into basement rocks. The intercepts’ grades and thicknesses are largely homogenous, indicating the potential for a very large, coherent high-grade REE deposit.
The strike of high-grade mineralisation has been extended by 3 kilometres to more than 10 kilometres, while the deposit remains open in all directions.
Infill drilling, meanwhile, has provided confidence in the consistency of the mineralisation along this trend.
This second round of extension and infill drilling was aiming to confirm the continuity of the high-grade TREO mineralisation intersected by the maiden drill program carried out by St George in late 2023.
Last year’s maiden drilling – with wide-spaced holes up to 500 metres apart – confirmed high-grade TREO mineralisation across a strike of 7 kilometres. The follow-up program comprised 28 drill holes and identified continuity in the distribution of the TREO zones.
The largely homogenous nature of the high-grade mineralisation supports the potential for further and consistent mineralisation across the large, untested areas of the clay zone – which remains open in all directions within a prospective stratigraphy that extends for more than 70 kilometres along the Ida Fault.
High-grade near-surface mineralisation
St George Mining executive chairman John Prineas said: “We are very pleased with the results of our follow-up drilling program which has significantly expanded the lateral continuity of the rare earths mineralisation footprint at Destiny.
“The latest assay results confirm that the near-surface high-grade mineralisation is widespread and consistent in grades and thickness across the 15 square kilometres area tested by drilling to date. This is a very large footprint and – impressively – the mineralisation remains open in all directions.
“The attractiveness of the Destiny Project is also underscored by the high proportion of heavy and magnetic rare earths in the mineralisation – with the magnetic rare earths such as neodymium and praseodymium highly sought-after by the clean energy sector.
“St George has also completed a gravity survey over several prominent magnetic features at Destiny that may be carbonatite intrusive and potentially associated with the REE mineralisation. Modelling of the data is in progress and will be fed into our next stage exploration push.
“We look forward to planning the next round of drilling at Destiny with a clear focus on establishing a significant deposit of mineralisation at what is shaping as a highly exciting REE discovery in a prime mining province.”
Looking ahead
Further assay results are pending for an additional 15 drill holes that intercepted “favourable geological features”. A ground gravity survey has also been completed to investigate large magnetic features that may represent carbonatites.
The priority focus is now on further exploration and resource definition drilling. St George will be planning deeper drilling for the next drill program at Destiny to further investigate the depth extent of the high-grade mineralisation.