St George Mining Reports High-Grade Drilling Success at Araxá Project in Brazil

St George Mining (ASX: SGQ) has identified significant upside with high-grade diamond drilling results at its new Araxá rare earths and niobium project in Brazil.

The company only acquired Araxá in late February, and through a calculated exploration strategy has already de-risked what it believes is a potentially world-class project in an area containing significant niobium mining operations.

The Araxa project hosts the largest and highest-grade carbonatite-hosted rare earths resource in South America, with a JORC-compliant mineral resource estimate of 40.6 million tonnes @ 4.13% total rare earth oxides (TREO).

Broad Mineralised Zone

One diamond hole intersected a broad zone of continuous mineralisation approximately 150 metres west of the current MRE.

This intercept comprised 87.7m @ 2.95% TREO and 0.41% niobium from 2m, including 70m @ 3.02% TREO and 0.43% niobium from 2m, while confirming Neodymium-Praseodymium:TREO ratios of as high as 31%, one of the highest ratios at the project so far.

Coupled with the second hole 230m west of the MRE – which also delivered wide, high-grade mineralisation – the assay results extend the system well beyond the current boundary, and demonstrate strong potential for a significant increase in resource tonnage.

Four Rigs in Operation

St George currently has an aggressive campaign running, with three diamond and one reverse circulation rigs conducting expansion drilling.

Follow-up work will include detailed mineralogical analyses to refine the understanding of the distribution of magnet rare earths and niobium within the system.

“These programs aim to unlock Araxá’s full potential and further establish its position as a globally significant rare earths and niobium project,” executive chair John Prineas said.

“With a world-class resource already confirmed and our location in an established mining region that supports an expedited pathway to development, the Araxá Project is emerging as a stand-out opportunity to support efforts by the Western world to fast-track the establishment of new and secure supply rare earths outside of China.”