Axel REE Moves Forward with Exploratory Program at Woolrich Rare Earths Deposit

Axel REE (ASX: AXL) progressed exploration activities at the Woolrich deposit within its flagship Caladão rare earth elements-gallium project in Brazil during the three months to end June.

Metallurgical test work by Core Resources in Brisbane delivered further validation of the deposit’s in-situ recovery (ISR) development pathway, demonstrating that dynamic, ISR-analogue flow conditions using a mild magnesium sulphate solution could recover up to 560 parts per million soluble total rare earth oxides (TREO) and 39% magnet rare earth oxides (MREO).

The results exceeded the diagnostic benchmark under lower strength reagent conditions while maintaining a magnet-rich rare earth basket and low impurity mobilisation to supporting the potential suitability for ISR development.

The highest diagnostic and column leach results achieved to date at Woolrich exceed the 486ppm soluble TREO grade previously referenced by Axel from the Gerik ionic clay ISR operation in Malaysia, while maintaining very low aluminium, iron, thorium and uranium mobilisation.

Field Exploratory Program

Axel plans to commence a Woolrich ISR field exploratory test program in the December quarter to generate operating parameters for wellfield and process design.

Testing will include permeability response, reagent consumption, pregnant leach solution (PLS) tenor, recovery behaviour, hydraulic control, and impurity management under field conditions.

A small parcel of land has been selected on the basis of low-relief topography to support gravity-assisted PLS drainage, providing suitable permeability for leachant distribution and bedrock immediately below the ionic rare earth mineralisation expected to act as a natural hydraulic boundary.

Successful progression through the field program could position Axel as a potential first-mover in commercial ISR rare earths extraction in the state of Minas Gerais.

Woolrich Resource Conversion

During the quarter, Axel reported assays for 137 holes from a 258-hole infill and step-out auger drilling campaign at Woolrich, further defining a laterally extensive and vertically developed ionic clay rare earth system across the selected 20 square kilometre footprint.

The 200 metre × 200m drill spacing was designed to support conversion of the deposit’s current inferred mineral resource of 128 million tonnes grading 1,013ppm TREO to the Indicated category while providing geological inputs for ISR wellfield design and leach domain definition.

Best high-grade assays included 1m at 8,517ppm TREO (41% MREO) with 269ppm dysprosium-terbium and 332ppm yttrium and thick shallow intercepts of 6m at 3,324ppm TREO and 12m at 2,552ppm TREO, both from 1m depth.

Axel also continued to work on an initial exploration target for the nearby Caldas rare earth project following the completion of auger drilling across the North, Central, East, and South prospects around the rim of the Poços de Caldas alkaline caldera complex.

The target is intended to provide an early indication of the potential scale of rare earth mineralisation contained within the project's 228 sq km landholding.

New Managing Director

Globally recognised mining executive and critical minerals strategist Dr Patience Mpofu was appointed to the role of Axel managing director in June to support the company’s transition toward technical and commercial development of its rare earths and critical minerals portfolio.

Dr Mpofu holds a doctorate in mineral processing and has deep technical expertise in clay-hosted mineral systems and rare earth metallurgy, directly relevant to the planned ISR field exploratory test program at Woolrich.

She currently serves as a non-executive director of Orion Minerals (ASX: ORN) and is founder and chief executive officer of Insight Mining Experts, which supports miners with their environmental, social, and governance goals.

Axel finished the quarter with a strong cash position of $5.7m on hand.