Gold Mountain’s Down Under project yields high-grade REE discoveries
Gold Mountain (ASX: GMN) has achieved further exploration success at its Down Under rare earth element (REE) project area in Brazil.
The company has identified high-grade mineralisation amongst 54 stream samples collected within Down Under’s Irajuba tenements.
Peak values of up to 1,196 parts per million total rare earth oxides (TREO) were identified in the latest assays.
Further confirmation
Gold Mountain’s initial exploration work at Down Under has identified the potential for ultra-high-grade hard rock monazite-hosted REE-niobium, uranium and scandium mineralisation.
The latest stream sediment samples have further confirmed this, with some of the monazite results coincident with higher-value TREO anomalies.
The company will use the latest results in its selection of drill sites, which are being designed to test the extended areas of the most highly anomalous results for both hard rock monazite and ion adsorption clay mineralisation.
Hard rock deposits
As part of its exploration strategy, Gold Mountain will undertake radiometric traversing within the most highly-anomalous catchments and along all drill traverse lines to search for potential ultra-high-grade hard rock deposits.
The company has so far identified three groups of catchment areas with strongly anomalous geochemical REE assay results.
Two of these have given strongly anomalous results indicating potential for ultra-high-grade hard rock mineralisation.
New investor
Gold Mountain this week added to its exploration funds when it received firm commitments from institutional, professional and sophisticated investors to raise $2.7 million by way of a single-tranche placement.
The placement was strongly supported by new and existing investors.
One cornerstone investor in particular has subscribed for $2.3m under the placement and will emerge as the major shareholder of the company.
New tenements
Earlier this month, the company applied for nine new tenements to cover extensions of very highly anomalous catchments in the north-west of the Irajuba tenements surrounding the Down Under project.
Additional tenements have been applied for to cover extensions to anomalies the company has recognised.
Gold Mountain has ordered a second auger rig and permits have been lodged for drilling in the Irajuba area of the NW Down Under project.