Resource Expansion at Flemington: What Risks Lie Ahead for Australian Mines?
Australian Mines Limited has reported outstanding near-surface scandium assay results from its Flemington Project, revealing significant potential to expand its existing resource. Follow-up drilling and an updated scoping study are set to advance this strategic critical minerals asset.
- High-grade scandium intercepts up to 615 ppm near surface
- Drilling confirms resource expansion potential to the north and east
- SRK Consulting engaged to update 2017 scoping study with latest resource data
- Alignment with proprietary scandium-doped metal hydride hydrogen storage technology
- Follow-up drilling scheduled for late February 2026
Exceptional Scandium Grades Confirmed
Australian Mines Limited (ASX – AUZ) has announced impressive assay results from its recent aircore drilling program at the Flemington Project in New South Wales. The company reported broad zones of high-grade scandium mineralisation near surface, with standout intercepts including 18 metres at 597 ppm scandium from just 2 metres depth and 12 metres at 615 ppm from 13 metres. These grades notably exceed the 2025 Mineral Resource Estimate (MRE) grade of 446 ppm scandium, underscoring the project's robust potential.
Resource Expansion Prospects
The drilling campaign targeted a large geophysical anomaly adjacent to the existing resource footprint. Results indicate promising extensions to the north and east, areas previously underexplored. Australian Mines plans to recommence drilling by the end of February 2026, focusing on testing further anomalies west of the current MRE boundary. This strategic approach aims to refine the geological model and potentially increase the resource base.
Updated Scoping Study and Strategic Alignment
To capitalise on these findings, Australian Mines has engaged SRK Consulting to update the 2017 scoping study. The original study highlighted a strong economic case for scandium production, with an internal rate of return of 37.3% based on a scandium oxide price of USD 1.5 million per tonne. The updated study will incorporate the latest resource data, which now stands at 6.3 million tonnes grading 446 ppm scandium at a 300 ppm cut-off, nearly doubling the previous resource size.
Importantly, the Flemington Project aligns with Australian Mines’ proprietary scandium-doped metal hydride technology for hydrogen storage. This innovative technology offers a vertically integrated supply chain opportunity, from mine to advanced energy storage solutions, positioning the company at the forefront of critical mineral supply for the global energy transition.
Looking Ahead
With follow-up drilling imminent and an updated technical and economic study underway, Australian Mines is advancing Flemington’s status as a strategic scandium asset. The combination of exceptional near-surface grades, resource expansion potential, and integration with cutting-edge hydrogen storage technology presents a compelling growth narrative for investors and stakeholders alike.
Bottom Line?
Flemington’s evolving resource and strategic tech integration could reshape Australian Mines’ role in critical minerals and clean energy markets.
Questions in the middle?
- How will the updated SRK study affect the project’s valuation and development timeline?
- What are the expected capital requirements and funding plans for advancing Flemington?
- How soon can Australian Mines scale production to support its hydrogen storage technology?
