How St George Mining’s Latest Drilling Could Transform Araxá’s Rare Earths Future
St George Mining reports outstanding high-grade rare earth and niobium assay results from its Araxá Project in Brazil, signaling a significant resource expansion and upgrade. Ongoing drilling suggests the deposit remains open in all directions, reinforcing Araxá’s status as a world-class asset.
- Six new drill holes confirm thick, high-grade rare earth oxides (TREO) and niobium (Nb2O5) mineralisation from surface
- Resource expansion holes indicate potential large-scale increase beyond existing Mineral Resource Estimate (MRE)
- Resource definition drilling supports upgrading inferred resources to indicated category
- Deposit remains open laterally and at depth with 29 assays pending and 40 drill holes planned
- Araxá now ranks among the largest and highest-grade carbonatite-hosted rare earth and niobium deposits globally
Exceptional Drill Results Confirm World-Class Mineralisation
St George Mining Limited (ASX, SGQ) has released compelling assay results from its ongoing diamond drilling campaign at the Araxá Rare Earths and Niobium Project in Minas Gerais, Brazil. The latest six drill holes reveal thick intervals of high-grade rare earth oxides (TREO) and niobium (Nb2O5) mineralisation starting right from surface, with standout intercepts such as 80.55 meters at 5.44% TREO and 0.60% Nb2O5.
These results not only confirm the exceptional quality of the deposit but also demonstrate continuity and consistency across the newly drilled areas, reinforcing Araxá’s reputation as a world-class carbonatite-hosted deposit.
Significant Resource Expansion and Upgrade Potential
Crucially, several of the drill holes were step-out holes beyond the current Mineral Resource Estimate (MRE) boundary, indicating a potential substantial expansion of the resource. Holes AXDD005, AXDD010, and AXDD011, drilled west of the existing resource, have extended the known mineralisation footprint, suggesting the deposit remains open in multiple directions.
Meanwhile, resource definition holes AXDD006, AXDD008, and AXDD009 have delivered results that support upgrading inferred resources to the indicated category, a key milestone for advancing economic studies and eventual project development.
Robust Ongoing Drilling Campaign and Strategic Positioning
St George is operating three diamond drill rigs continuously, with 29 drill holes already submitted for assay and another 40 planned. This aggressive drilling program underscores the company’s commitment to rapidly expanding and upgrading the Araxá resource.
Located adjacent to CBMM’s world-leading niobium operations, Araxá benefits from established infrastructure and a skilled local workforce. The project has also secured government support, including participation in Brazil’s MAGBRAS Initiative aimed at developing a sustainable rare earth supply chain.
Global Context and Market Implications
The Araxá deposit’s high grades and scale position it as the largest and highest-grade carbonatite-hosted rare earth resource in South America and the second highest grade in the Western world, comparable to major producers like Mountain Pass in California and Mt Weld in Australia.
With peak assay grades reaching 22.5% TREO and 3.7% Nb2O5, and a strong proportion of magnet rare earth elements (around 20% NdPr ratio), Araxá is strategically significant amid growing global demand for rare earths and niobium, critical components in clean energy technologies and advanced manufacturing.
Bottom Line?
As drilling continues to unlock Araxá’s full potential, St George Mining is poised to redefine its resource scale and market value in the rare earths sector.
Questions in the middle?
- How will pending assay results from 29 drill holes impact the overall resource upgrade?
- What are the timelines and risks associated with environmental and land access approvals in Brazil?
- How might St George’s integration with the MAGBRAS Initiative influence project development and market positioning?