Korsnäs Exploration Intensifies Amid New Seismic Signals of Untapped Mineralisation
Prospech Limited has launched a 1,600-metre diamond drilling campaign at its Korsnäs rare earth element project in Finland, supported by promising passive seismic survey results that highlight potential new mineralised zones.
- 1,600-metre diamond drilling program underway at Korsnäs
- Passive seismic survey correlates with historical gravity lows
- New untested mineralised zone identified east of known deposits
- Drilling data to inform 2026 JORC Mineral Resource Estimate update
- Focus on confirming high-grade rare earth zones and metallurgical testwork
Drilling Program Initiated to Expand Resource Understanding
Prospech Limited (ASX, PRS) has commenced a significant 1,600-metre diamond drilling program at its Korsnäs rare earth element (REE) project in Finland. This Phase 2 drilling effort aims to confirm the continuity and scale of high-grade REE zones previously identified, while also providing fresh material to support ongoing metallurgical optimisation. The program includes seven holes designed to test down-dip and along-strike extensions of mineralised lodes, with a particular focus on zones enriched in heavy rare earth elements (HREEs).
Seismic Survey Reinforces Exploration Potential
Complementing the drilling, Prospech has reported preliminary results from a passive seismic survey using the Horizontal-to-Vertical Spectral Ratio (HVSR) method. This geophysical technique, which analyses ambient seismic noise to infer subsurface contrasts, has shown strong correlation with historical gravity low anomalies that align with known carbonatite and skarn mineralisation zones. Notably, the survey has identified a new, previously untested covered zone to the east of the existing mineralised areas, opening fresh avenues for exploration.
Building Towards a Resource Update
The data generated from this drilling campaign will feed into a planned update of the Korsnäs JORC (2012) Mineral Resource Estimate, scheduled for 2026. Currently, the project hosts an inferred resource of 13.5 million tonnes at 1.02% total rare earth oxides (TREO). While no new assay results are included in this announcement, the integration of drilling, geophysical, and metallurgical data is expected to refine the geological framework and potentially expand the resource base.
Strategic Positioning in Europe's Critical Minerals Landscape
Prospech’s Managing Director, Jason Beckton, emphasised the strategic importance of this phase, noting that the combined geological and geophysical tools now provide a robust platform for resource growth. The company’s focus on rare earth elements aligns with Europe's increasing demand for locally sourced critical minerals essential for the energy transition and mobility revolution. Subject to shareholder approval, Prospech will soon rebrand as European Resources Limited, underscoring its continental ambitions.
Next Steps and Market Implications
With drilling underway and further geophysical follow-up planned, investors will be watching closely for assay results and metallurgical test outcomes that could validate the project's upside potential. The identification of new mineralised zones beyond historically mined areas suggests that Korsnäs could play a pivotal role in Europe's rare earth supply chain in the coming years.
Bottom Line?
Prospech’s Korsnäs drilling and seismic work set the stage for a resource update that could reshape its rare earth prospects.
Questions in the middle?
- When will assay results from the current drilling program be released?
- How might the new seismic-identified zone impact overall resource size and grade?
- What metallurgical advancements are expected from the fresh drill core material?
