St George Mining Ltd (ASX:SGQ) has intersected a significant clay-hosted rare earth elements (REE) system described as “ground-breaking” at the Destiny Project in the Eastern Goldfields of Western Australia.
REE mineralisation up to 5,125 parts per million (ppm) total rare earth oxide (TREO) was unearthed in a near-surface clay zone during a maiden drilling program at the project originally called Woolgangie.
Assay results received for drilling covering a 7-kilometre-long strike commencing in September showed high-grade TREO of more than 500 ppm in 42 of the 61 drill holes, hosted in zones up to 42 metres thick.
In addition to REE, St George is also mapping and sampling pegmatites for lithium in an area adjacent to Neometals’ Spargos Project, where minerals such as spodumene have been reported.
“Ground-breaking”
“These are ground-breaking results for the company in our first-ever drill program at the Destiny Project, with high-grade rare earths confirmed along a 7-kilometre-long strike of the Ida Fault,” St George Mining executive chairman John Prineas said.
“The high grades returned in the assays are very exciting. Together with the scale of the prospective geology – which may extend for more than 70 kilometres – the potential of the project is impressive.
“Importantly, the assays show a high proportion of sought-after magnetic rare earths – a feature that could be a huge value driver for the project.”
Magnetic rare earths (MREO) are highly sought-after for their use in high-strength permanent magnets critical for use in electric vehicles and other clean-energy solutions.
Strong showing
St George’s 30-square-kilometre drill program, comprising 61 aircore holes for 2,145 metres of drilling, was to follow up on Mincor Resources’ historical intercepts when it was exploring for nickel sulphides in 2010.
Standout results from St George’s aircore program include:
- WGAC0001 – 8 metres at 1,673 ppm TREO, 342 ppm MREO from 24 metres;
- WGAC0026 – 30 metres at 1,885 ppm TREO, 399 ppm MREO from 20 metres, including 6 metres at 3,578 ppm TREO, 755 ppm MREO from 32 metres and including 2 metres at 5,125 ppm TREO, 1,199 ppm MREO from 32 metres;
- WGAC0030 – 42 metres at 1,832 ppm TREO, 351 ppm MREO from 12 metres, including 14 metres at 2,622 ppm TREO, 515 ppm MREO from 38 metres; and
- WGAC0100 – 29 metres at 1,042 ppm TREO, 200 ppm MREO from 14 metres.
Initial metallurgical testing on selective drill samples is underway to determine the characteristics of the REE mineralisation, including the extractability of mineralisation.
As well, a follow-up drill program is in the works to further define the clay-hosted REE mineralisation early next year.
Map showing Destiny Project, with REE drill area marked by the yellow polygon.
Lithium exploration
St George has also started mapping as well as rock-chip and soil sampling for lithium at Destiny, where no previous systematic exploration is believed to have been undertaken.
The company will draw up a schedule to drill the priority area once the initial fieldwork has been completed and results analysed.
The Destiny Project covers 3,350 square kilometres and takes in more than 90 kilometres of the Ida fault, an area that is gaining increased interest as a major minerals deposit in Western Australia.
REE is complementary
“The Kathleen Valley lithium deposit (156 million tonnes at 1.4% Li2O) of Liontown and the Mt Ida lithium deposit (14.6 million tonnes at 1.2% Li2O) of Delta Lithium are two major lithium deposits associated with the Ida Fault,” Prineas said.
“We are excited to control more than 90 kilometres of the Ida Fault at our Destiny Project – and another 30 kilometres strike at our Mt Alexander Project – with advanced targets for lithium, rare earths, nickel and copper.
“The REE project is complementary to our lithium and nickel assets, enhancing St George’s position as a high-impact explorer of multiple battery metals in the Tier 1 jurisdiction of Western Australia,” he added.
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