Australian Rare Earths unveils 84% jump in Koppamurra REE resource
Australian Rare Earths (ASX: AR3) has unveiled a dramatic 84% increase in the mineral resource estimate and a new exploration target of up to 3.1 billion tonnes at its Koppamurra rare earth element project in South Australia.
Notably, the new Koppamurra assessment has been confirmed to contain a significant percentage of the high-value heavy rare earths content which is favoured for use in electric vehicles.
Koppamurra’s total mineral resource estimate now stands at 186 million tonnes of with an average total rare earth oxides (TREO) grade of 712 parts per million (ppm). This includes 99 million tonnes in the measured and indicated categories.
3.1 billion tonnes exploration target
Australian Rare Earths’ studies have also created a major increase to the Koppamurra exploration target which now ranges from 340 million to 3.1 billion tonnes, at average grades of 510 parts per million to 780 parts per million total rare earth oxides.
Chief executive Travis Beinke said this is more than double the upper range tonnage of the previous exploration target.
“With each drilling campaign we have progressively built our confidence in our ability to demonstrate the establishment of a world-scale ionic clay-hosted rare earths province in the heart of a tier-one location,” Mr Beinke said.
“These outstanding results represent a substantial increase to the resource and confirms Koppamurra as a new world-scale ionic clay-hosted rare earths province. In addition, significant upside remains with an updated exploration target range of 340 million tonnes to 3.1 billion tonnes and the resource remaining open to the north and south.”
Mr Beinke said the company is gaining an improved understanding of the geology and rare earth mineralisation processes at Koppamurra.
“We remain confident in the consistency of the mineralisation across the project area and are eager to return to drilling next month to drill test areas with no historical drilling.”
“We intend to continue creating value for shareholders by growing and upgrading the inventory while advancing our metallurgical testwork and other development studies in parallel.”
Unique development opportunity
Mr Beinke said Koppamurra’s location in a tier-1 jurisdiction and the fact that it contains both light and the strategically important heavy rare earths provide a unique development opportunity.
Australian Rare Earths has also demonstrated that progressive and timely rehabilitation can be achieved through its trial mining pit.
“All of these factors distinguish Koppamurra as a unique opportunity to establish a new sustainable source of critical heavy rare earths for a clean energy future.”
Mineral resource estimate
The updated mineral resource estimate incorporates results from a drilling program conducted between February and June 2023.
Overall, the program added 16,394m (1,317 holes) to the existing 39,585m (3,966 holes) drilled for the previous mineral resource estimate announced in April 2023.
The updated resource continues to expand with an increase of 56% to the indicated and a 132% increase to the inferred resource inventories.
Notably, Koppamurra remains open to the north and south.
Exploration target lifted by road verge drilling
A comprehensive program of road verge drilling has played a role in helping to build the exploration target at Koppamurra.
To date the extensive road verge drilling program has focused on testing the eastern extent of mineralisation within the company’s Victorian permits EL’s 7254 and 7719.
A similar road verge program is planned in the fourth quarter within the company’s South Australian exploration licences 6509 and 6613 to test the area north of the main resource and south of the currently defined exploration target where very limited drilling has been undertaken.