Capão Bonito Samples Show Over 50% Magnet Rare Earth Oxide Recovery

• Over 75% of samples confirm IAC-style rare earth mineralisation
• Multiple shallow intercepts show MREO recoveries exceeding 50%
• High-grade mineralisation often starts at or near surface
• Results indicate a laterally extensive REE-bearing zone
• Plans underway for deeper and infill drilling plus metallurgical optimisation

Capão Bonito’s Breakthrough in Rare Earths

PVW Resources Ltd has unveiled promising metallurgical test results from its Capão Bonito project in Brazil, marking a significant milestone in the company’s rare earth exploration efforts. The results, derived from over 75% of selected samples tested by SGS Geosol Laboratories, confirm that the project exhibits characteristics consistent with Ionic Adsorption Clay (IAC) style mineralisation. This style is particularly prized for its amenability to low-cost, environmentally friendly extraction methods.

Among the highlights are multiple shallow drill intercepts showing magnet rare earth oxide (MREO) recoveries exceeding 50%, with one standout hole returning an exceptional 89% recovery over 10 metres. Notably, many of these high-grade zones begin at or near surface, a feature that could simplify future development and reduce mining costs.

Strategic Importance of IAC Deposits

IAC deposits are globally significant due to their low processing costs and environmentally benign metallurgy, making them critical to the supply chain for rare earth elements used in electric vehicles and renewable energy technologies. Outside China, such deposits are rare, positioning Capão Bonito as a potentially valuable new source of magnet rare earth elements essential for the global energy transition.

PVW’s CEO, Lucas Stanfield, emphasised the importance of these findings, stating that the results support accelerating deeper drilling and metallurgical optimisation. The company is now focused on confirming the lateral continuity of the mineralised zone through infill drilling and refining processing strategies to unlock the project’s full potential.

Next Steps and Outlook

Pending assay results from several drill holes, including the upper intervals of the high-recovery hole CPO-TD0039, are expected shortly. PVW plans to initiate follow-up and deeper drilling in late July to test extensions beneath the high-recovery zones, alongside a 400-metre spaced infill drilling campaign to better define the mineralisation geometry.

Additionally, the company is fast-tracking mineralogical analysis and advancing metallurgical optimisation to refine leach parameters and processing techniques. These efforts aim to support a rapid progression toward resource delineation and eventual development.

While the current drill spacing is wide, the consistency of results across multiple holes suggests a laterally extensive REE-bearing system. Confirmation of this continuity will be critical in assessing the project’s commercial viability and its role in PVW’s broader Brazilian rare earths strategy.

Bottom Line?

Capão Bonito’s promising IAC rare earth results set the stage for accelerated drilling and resource development in a strategically vital sector.

Questions in the middle?

• Will infill drilling confirm the lateral continuity and true scale of the mineralised zone?
• How will metallurgical optimisation impact the cost and environmental footprint of extraction?
• What are the potential timelines for resource definition and project advancement?