EMU NL has confirmed the presence of both magnetic and heavy rare earths at its Condingup project near Esperance after rock samples returned results of up to 2124 parts-per-million total rare earth oxides (TREO).
A total of eight samples were collected from a reconnaissance program late last year including three rocks from the Booanya granite complex that all returned results above 1000ppm TREO.
The Booanya samples also contain up to 25 per cent magnetic rare earth oxides (MREO) and 12.7 per cent heavy rare earth oxides (HREO) of the total TREO content. The three granite samples are also showing anomalous levels of neodymium, praseodymium and dysprosium – all elements that are critical for the manufacture of industrial magnets used in electric vehicle engines.
Emu says the primary focus of the reconnaissance program was to collect clay samples from dam surfaces from various farms in the region.
Clay-hosted rare earths deposits offer large-scale, low-cost mining opportunities given their cheaper mining and processing costs when compared to the higher-grading hard rock alternative.
Magnetic and heavy rare earths concentrations are considered highly desirable for their use in the strongest and most affordable industrial magnets.
The Condingup project sits within the prospective Booanya granite suite in the south-east of WA, about 60km from the port of Esperance. The operation sits only 35km south-east of ASX-listed OD6’s Splinter Rock project. Historical drilling results show the clay intersections at Splinter Rock are up to 37m in thickness with the mineralisation taking in a significant 30km by 40km strike extent. OD6 says the historical drilling at the site suggests the TREO grades are about two to three times higher than known Chinese rare earths clay deposits.
The company is currently finalising the necessary approvals for a planned air-core drilling campaign over the northern, southern and eastern granite intrusive areas, in addition to a follow-up rock chip sampling program.
Emu is also on the lookout for rare earths at its Merredin project near the WA town of the same name and at its Georgetown project in Queensland. The company’s rare earths-focused landholdings cover more than 1100 square kilometres of highly prospective exploration licences.
It is Emu’s Condingup project in the Esperance region however that is becoming part of the rapidly developing Esperance clay-based rare earths story.
While Esperance has always been thought of as an agricultural hub buoyed by its own port, the advent of rare earths based in clay is allowing it to muscle into the mineral resources field that has always been more closely aligned with its Goldfields counterpart to the north.
Hard rock mining is well understood in the Goldfields and clay-based mineral resources are less understood but are grabbing all the attention right now – particularly in the Esperance region.
There is a general view that clay-based rare earths are softer and easier to mine and can often be found in massive mineral horizons. There are a number ASX-listed companies, including Emu, that have their collective foot across acres of potentially lucrative clay-based rare earths around Esperance and the race is now on to get the first one proved up and into production.
Is your ASX-listed company doing something interesting? Contact: matt.birney@businessnews.com.au
