Encounter Resources has announced its maiden inferred niobium mineral resource estimate at the Aileron project in Western Australia, marking a significant step in developing a critical minerals hub in the West Arunta region.
- Initial inferred resource of 19.2 million tonnes at 1.74% Nb2O5
- JORC 2012 compliant estimate prepared by Snowden Optiro
- Resource is shallow, high-grade, and open along strike and depth
- Ongoing RC drilling aims to extend and upgrade resource confidence
- Metallurgical test work shows potential for high-grade niobium concentrate
A Milestone for Niobium Exploration in Western Australia
Encounter Resources Limited (ASX: ENR) has taken a major stride in its quest to unlock critical minerals potential in the West Arunta region with the announcement of its first inferred niobium mineral resource estimate (MRE) at the Aileron project. Based on 2024 exploration drilling, the company reports a combined inferred resource of 19.2 million tonnes grading 1.74% niobium pentoxide (Nb2O5) above a 1.0% cut-off, compliant with the JORC 2012 code and independently verified by Snowden Optiro.
Resource Highlights and Geological Context
The resource encompasses three deposits, Green, Emily, and Crean, each hosted within weathered carbonatite intrusions. These deposits are relatively shallow, lying mostly within 150 metres of surface, and exhibit high-grade mineralisation that remains open both along strike and at depth. The Green deposit alone accounts for 12.1 million tonnes at 1.63% Nb2O5, with mineralisation extending over a 2.5-kilometre strike length beneath modest cover.
The geological setting is notable for structurally controlled carbonatite intrusions along major fault corridors, including the Elephant Island and Weddell Faults. This structural control has led to the formation of high-grade zones at fault intersections, a promising feature for ongoing exploration.
Advancing Metallurgy and Processing Potential
Metallurgical test work conducted on composite samples from the Green deposit indicates that the niobium-bearing mineral pyrochlore is well liberated using conventional physical beneficiation techniques such as gravity separation, magnetic separation, and flotation. Early results suggest the potential to produce a high-grade Nb2O5 concentrate, aligning with processing methods used by established global niobium producers. This metallurgical amenability is a critical factor in assessing the economic viability of the deposits.
Strategic Exploration and Development Plans
Encounter is actively pursuing an aggressive 2025 drilling campaign designed to infill and extend the current resource base. Reverse circulation (RC) drilling has commenced at Green, with plans for further infill and extensional drilling at Emily and Crean. Additionally, regional aircore drilling will target structurally complex zones across more than 60 kilometres of mineralised faults within the company’s tenure. Complementary geophysical surveys, including airborne electromagnetics and ground gravity, are underway to refine targeting and identify new prospects.
The company is also progressing technical studies and further metallurgical test work in collaboration with SGS Lakefield, aiming to de-risk the project and establish a pathway toward economic extraction. Early scoping assessments indicate no significant environmental or heritage impediments, supporting the potential for future development.
Niobium Market Context and Supply Dynamics
Niobium is a critical mineral with applications spanning high-strength steel alloys, aerospace, superconductors, and emerging energy storage technologies. Global supply is heavily concentrated in Brazil, with the Araxá mine alone accounting for over three-quarters of production. Encounter’s Aileron project offers a compelling new source of niobium supply, with grades comparable to world-class deposits and located in a stable, mining-friendly jurisdiction.
Given the strategic importance of niobium and the limited number of large-scale producers, the development of the Aileron resource could have meaningful implications for supply diversification and critical minerals security.
Bottom Line?
As Encounter Resources accelerates drilling and metallurgical studies, the Aileron project stands poised to reshape niobium supply dynamics from Australia’s emerging critical minerals frontier.
Questions in the middle?
- How will ongoing infill drilling impact the confidence and classification of the Aileron resource?
- What are the timelines and expected outcomes for the current metallurgical test work?
- How might global niobium market conditions influence the economic feasibility of developing Aileron?