Ark Mines has secured $1.5 million to advance its Sandy Mitchell Rare Earths project, initiating a key drilling campaign and metallurgical testing aimed at significantly upgrading its resource base.
- Raised $1.5 million via placement to fund resource upgrade
- Started metallurgical improvement program with IHC Mining
- Awarded contract for 2,500m infill drilling at Sandy Mitchell
- Rock chip sampling at Pluton Gold Project shows high gold and silver grades
- Included in Queensland Government’s Critical Minerals Prospectus
Strategic Funding Boost
Ark Mines Ltd has taken a decisive step forward in the development of its flagship Sandy Mitchell Rare Earths and Heavy Minerals project in North Queensland. The company successfully completed a $1.5 million placement during the June quarter, attracting support from professional and sophisticated investors. This capital injection is earmarked to accelerate exploration activities, beginning with an infill drilling campaign designed to upgrade the existing measured resource of Monazite Equivalent (MzEq).
Advancing Resource Definition
Post quarter-end, Ark awarded a contract to Australian Exploration Drilling for a 2,500-metre drilling program. This third phase of drilling aims to significantly expand the measured mineral resource, targeting an increase from the current 71.8 million tonnes to approximately 260 million tonnes. The program will employ a combination of Air Core and Reverse Circulation drilling techniques, with results expected to feed into a Pre-Feasibility Study (PFS) scheduled for early 2026.
Metallurgical Testing to Enhance Project Economics
Complementing the drilling campaign, Ark has commenced a detailed metallurgical improvement program with IHC Mining, a specialist Australian mining services company. Utilizing a substantial bulk sample from previous drilling, the program focuses on refining beneficiation and mineral separation processes to optimise recovery of rare earth oxides, zircon, titanium oxides, and garnet. These advancements are anticipated to improve the project's economic outlook and will be integrated into the forthcoming PFS.
Exploration Success at Pluton Gold Project
Beyond Sandy Mitchell, Ark reported encouraging results from a wet season rock chip sampling program at its Pluton Gold Project, also in North Queensland. The samples revealed gold grades peaking at 24.96 grams per tonne and silver up to 33.7 grams per tonne, surpassing historic results and validating previous exploration efforts. This success supports ongoing exploration initiatives at Pluton as a complementary asset to the company’s rare earths focus.
Government Recognition and Funding Discussions
Ark Mines’ profile received a boost through its inclusion in the Queensland Government’s updated Critical Minerals Prospectus, part of a $315 million initiative to promote the state’s mining sector to domestic and international investors. This recognition aligns Ark with broader strategic efforts to develop critical mineral resources in Australia and supports ongoing funding discussions for the longer-term development of Sandy Mitchell.
Bottom Line?
With drilling and metallurgical programs underway, Ark Mines is poised to redefine Sandy Mitchell’s resource potential and attract further investment ahead of its 2026 Pre-Feasibility Study.
Questions in the middle?
- How will upcoming drill assay results impact the resource upgrade and project valuation?
- What are the potential funding sources and timelines for advancing Sandy Mitchell beyond exploration?
- How might metallurgical improvements influence the project’s cost structure and market competitiveness?