How ABx Achieved 98% Rare Earth Retention in Tasmania’s Deep Leads Project

High-Purity Rare Earths from Tasmania

ABx Group Limited (ASX, ABX) has reported compelling progress in its rare earth extraction program at the Deep Leads ionic adsorption clay project near Launceston, Tasmania. The company’s recent large batch tests have confirmed that over 98% of total rare earth elements (REEs) are retained in solution following impurity removal, with aluminium, a key contaminant, almost entirely eliminated. This milestone is critical for producing a high-quality mixed rare earth carbonate (MREC), the essential feedstock for downstream refining into rare earth oxides and metals used in electric vehicles, wind turbines, and other clean energy technologies.

Optimising Purity and Extraction Efficiency

The impurity removal trials, conducted by ANSTO on a 1.2 kg sub-sample from a 100 kg bulk sample, demonstrated near-optimum conditions at pH values around 6. Under these conditions, aluminium was precipitated out while retaining more than 98% of rare earths in solution. The aluminium to total rare earth ratio (Al, TREE) was impressively low, below 0.005, indicating a product purity that is likely to be highly attractive to potential customers.

These results build on earlier leach tests that achieved 62-66% extraction rates for dysprosium (Dy) and terbium (Tb), two of the most critical and supply-constrained heavy rare earths. The ability to extract these elements efficiently at ambient temperature and pressure, using mild chemistry, suggests a potentially lower-cost and environmentally friendlier processing route compared to many global peers.

Strategic Importance of Deep Leads Resource

The Deep Leads resource is notable for its high grades of Dy and Tb, which together comprise 4.4% of the total rare earth oxides (TREO) content, among the highest for ionic clay deposits worldwide. This positions ABx to supply rare earths that command premium prices, especially outside China, where demand for non-Chinese sources is growing amid geopolitical and supply chain concerns.

ABx is advancing toward producing its first MREC product sample from a 50 kg portion of the bulk sample, with delivery expected by the end of November. This sample will be distributed to prospective customers and offtake partners, a critical step in securing commercial agreements and validating market interest.

Next Steps and Market Outlook

In addition to ongoing MREC production, ABx has engaged ANSTO to conduct column leach tests to confirm that the high extraction efficiencies observed in tank leach tests translate to column leach scenarios, which better simulate commercial processing. Results from these tests are anticipated in early 2026 and will inform the final process design and cost modelling.

With rare earth prices for dysprosium oxide exceeding US$200/kg and terbium oxide approaching US$1,000/kg in China, and even higher premiums in Europe, the economic potential of the Deep Leads project is significant. ABx’s existing Memorandum of Understanding with Ucore Rare Metals and ongoing discussions with other potential partners underscore the growing commercial interest in this Tasmanian resource.