Gold Mountain (ASX: GMN) has reported positive returns from regional stream sediment sampling across the north-east portion of the Central prospect within its Down Under rare earths project in Brazil.
A total of 281 samples were collected from 15 tenements and analysed and interpreted for a suite of elements including total rare earth oxides (TREO), magnet rare earth oxides (MREO) and a range of base and precious metals including gold.
The assays showed high TREO values, confirming significant rare earth element (REE) potential and highlighting a 10-kilometre extension to Central’s north-eastern gold anomaly, strongly supported by coincident mercury, arsenic, sulphur, and lead anomalies.
Seen as strongly suggestive of a large-scale mineralising system with a gold presence, they demonstrate the expanding scale of Bahia state as an emerging world-class REE province.
Large-Scale Gold Anomalies
The latest sampling results complement 304 stream sediment assays reported earlier this month that identified large-scale gold anomalies to significantly enhance Down Under’s mineral potential.
The assays defined strongly anomalous TREO zones and large-scale multi-element (including gold) targets which the company has earmarked for systematic follow-up and testing.
A targeted auger drilling program is now being planned over areas of highest TREO values and additional priority zones to refine diamond drill targets.
Gold Mountain expects the work will result in more advanced mapping and an enhanced understanding of the project’s REE and multi-element anomalies.
Increased Resource Confidence
Executive director David Evans said the sampling results had increased confidence in Down Under’s prospectivity.
“This project continues to deliver highly positive results with major TREO extensions to anomalous zones previously identified through our regional stream sediment sampling program at the Central prospect,” he said.
“With additional auger drilling underway at the Irajuba and Capivara prospects, an ever-expanding pipeline of high-quality targets is being defined and I am confident these programs will unlock significant value and advance the company toward substantial REE resources.”
Gold Mountain believes the large-scale gold anomalies identified – particularly those supported by arsenic and mercury – indicate the prospect’s strong gold potential.
