ASX-listed Meeka Gold Limited appears to be unlocking more rare earth element potential at its Circle Valley gold project 95 kilometres north of Esperance in Western Australia. The explorer says it has now defined ionic adsorption clay mineralisation over an area of 7km by 5km, yielding higher than 300 parts per million total rare earths oxides, or ‘TREO’.
Holding new assays from drilling within the mineralised envelope, the company is now boasting a 4m hit going 1268ppm TREO within 12m at 715ppm TREO from 8m downhole. Among others, a broader 16m hit grading 1098ppm TREO within a lengthy 36m at 672ppm TREO from 12m was also encountered.
Meeka highlights for the latest round of results, neodymium and praseodymium average about 20 per cent of the overall TREO.
The company says it is systematically assaying over 13,000m of the remaining samples from its 2021 and 2022 drilling programs and expects results over the coming months.
Mineralisation is located within the saprolite clays blanketing its ground and varying in thickness from 2m to 50m, according to the explorer.
Meeka is also looking to the horizon with previous drilling data showing the prospective saprolite clay covers an area of 50 square metres and encouragingly remains open to the east.
According to a 2020 article published in the scientific journal Nature Communications, the globe’s supply of heavy rare earths is dominantly sourced from ionic adsorption deposits in China.
The US Geological Survey says the eastern superpower has produced an overwhelming – even scary – 87 per cent of the world’s rare earths, an alarming testament to its iron-grip on the industry.
Interestingly, because rare earths are key components to green technologies emerging in the ‘New Economy’ – such as the magnets in electric vehicles and wind turbines – the demand for them is being driven to new highs. Forbes has suggested the US needs 10 times its current inventory of rare earths to meet its ambitious 2030 electric vehicle goals.
US President Joe Biden wants to see 50 per cent of cars sold in 2030 being zero-emission electric vehicles.
Knowing there is effectively only one producer of the essential elements – particularly when it comes to the heavy variety – the importance of securing supply chains is becoming apparent as foreign sourcing could prove difficult in the future.
As the ionic deposit – once seemingly thought of as a Chinese native – is appearing to increasingly rear its head in the geological superstructure of the Albany-Fraser Mobile Belt, the region is fast emerging as a highly prospective rare earths province.
Notably, the Circle Valley project sits on the northern border of ASX-listed Mount Ridley Mines’ 3400 square kilometre holding where it is also exploring for rare earths. Over Meeka’s western fence lies the pre-IPO entity Odette Six Metals and its secured 4500 square kilometre package of the prospective region.
In addition to its Circle Valley – gold and now rare earths – project Meeka also holds its much larger Cascade rare earths project of 2068 square kilometres, barely 50km west over the Coolgardie-Esperance Highway.
With the rare earths starting to sizzle north of Esperance, the future could see the region home to an entirely new industry.
Is your ASX-listed company doing something interesting? Contact: matt.birney@businessnews.com.au
