Axel REE Limited continues to report impressive high-grade gallium and rare earth element assays from surface drilling at its Caladão Project in Brazil, setting the stage for a maiden resource estimate expected by July 2025.
- High-grade gallium intercepts up to 15m @ 60g/t Ga2O3 from surface
- Rare earth element assays reaching 17m @ 6,792ppm TREO from surface
- 417 holes drilled totaling 6,182 metres with mineralisation open at depth
- Maiden gallium and REE resource estimate targeted for July 2025
- Metallurgical testwork underway at ANSTO facility in Sydney
Continued Surface Success at Caladão
Axel REE Limited (ASX:AXL) has released further encouraging results from its flagship Caladão Project, located in Brazil's Lithium Valley, Minas Gerais. The latest batch of auger drilling assays reveals thick and high-grade intercepts of gallium and rare earth elements (REE) starting right from surface. Notably, holes such as CLD-AUG-232 returned 15 metres at 60g/t Ga2O3, while CLD-AUG-233 delivered 17 metres at 6,792ppm Total Rare Earth Oxides (TREO), underscoring the project's robust mineralisation.
Drilling Progress and Geological Context
To date, Axel has completed 417 auger holes totaling 6,182 metres, focusing on near-surface weathered profiles that extend up to 20 metres deep. The vertical drilling orientation aligns well with the flat-lying mineralised zones, providing consistent and representative sampling. The lateral persistence of mineralisation across a 60-kilometre strike length, combined with thick intercepts, suggests a substantial deposit footprint that remains open at depth, inviting further exploration.
Towards a Maiden Resource and Metallurgical Insights
Building on these results, Axel is advancing towards defining a maiden gallium and REE resource estimate, with completion anticipated by July 2025 in collaboration with SRK Consulting. Concurrently, selected mineralised samples have been dispatched to the Australian Nuclear Science and Technology Organisation (ANSTO) in Sydney for metallurgical testwork. These studies aim to unlock processing pathways and recovery rates critical for future development.
Strategic Positioning and Ongoing Exploration
Caladão's location within Brazil, a country ranked third globally in REE reserves, positions Axel to contribute meaningfully to the critical minerals supply chain. The company is also progressing auger drilling at Caladão Area B and its Caldas Project near the Poços de Caldas Alkaline Complex, expanding its footprint in the region. Managing Director Dr Fernando Tallarico highlighted the project's potential, noting the mineralisation's thickness, grade, and lateral continuity as key strengths.
Outlook and Market Implications
With metallurgical testwork underway and a maiden resource estimate on the horizon, Axel REE is poised to elevate the Caladão Project's profile in the rare earth elements sector. The continuation of high-grade surface intercepts not only validates earlier exploration but also signals potential for resource expansion, which could attract further investor interest amid growing demand for critical minerals.
Bottom Line?
Axel REE’s Caladão Project is rapidly advancing from promising surface assays to a formal resource, setting the stage for a pivotal phase in its development.
Questions in the middle?
- How will metallurgical test results influence the economic viability of Caladão’s gallium and REE mineralisation?
- What is the potential scale and grade of the deeper mineralisation beyond the current auger drilling depth?
- How might global rare earth market dynamics impact Axel REE’s development timeline and funding strategies?