Viridis Mining has delivered strong infill drilling results at its Colossus Rare Earth Project, boosting resource confidence and underpinning an imminent resource and reserve upgrade ahead of a Final Investment Decision in Q3 2026.
- Infill drilling confirms high-grade rare earth continuity
- Resource upgrade to convert Indicated/Inferred to Measured
- Definitive Feasibility Study on track for June completion
- Environmental permitting and demonstration plant progressing
- Advanced financing and offtake discussions underway
High-Grade Rare Earths Reinforce Project Value
Viridis Mining and Minerals Ltd (ASX:VMM) has reported a significant milestone in its Colossus Rare Earth Elements (REE) Project with the completion of a key infill drilling program. The results showcase impressive grades of Total Rare Earth Oxides (TREO) and Magnetic Rare Earth Oxides (MREO), particularly Dysprosium (Dy) and Terbium (Tb), elements critical to advanced technologies. Notably, hole FZ-RC-1290 yielded 16 metres at 7,434 ppm TREO, including 6 metres at a remarkable 10,426 ppm TREO and 3,956 ppm MREO, underscoring the deposit’s shallow, high-value mineralisation.
These results not only confirm the continuity of mineralisation but also provide a robust basis for converting a significant portion of the resource from Indicated and Inferred categories into Measured classification. This conversion is pivotal for the upcoming Mineral Resource Estimate update, which will feed into an Ore Reserve upgrade and strengthen the project’s bankability ahead of the targeted Final Investment Decision (FID) in Q3 2026.
Focused Drilling at Northern Concessions and Tamoyo Prospects
The infill drilling at the Northern Concessions Prospect was conducted on a tight 75 m x 75 m grid, delivering consistent assay grades above those in the current block model. Elevated concentrations of Dy and Tb were particularly encouraging, with thick mineralised zones such as the 12 m at 6,754 ppm TREO in hole CDP-RC-1343 and 8 m at 7,076 ppm TREO in hole FZ-RC-1241. Complementary auger drilling further confirmed lateral continuity and open mineralisation at depth, highlighting potential for resource expansion.
Meanwhile, the Tamoyo prospect’s infill program, though on a wider 200 m x 200 m grid, also returned significant intercepts, including 12 m at 4,854 ppm TREO in hole TM-DDH-0011. These results reinforce Tamoyo’s role in the broader resource base and its potential for future resource definition through additional drilling campaigns.
Supporting Technical Studies and DFS Progress
Alongside drilling, Viridis is advancing a suite of technical investigations to underpin mine design and project execution. These include geotechnical assessments, in-situ density measurements using gamma-gamma methods, moisture determinations, and hydrogeological modelling supported by installed water level indicators and piezometers. These studies aim to refine processing parameters and infrastructure planning.
The Definitive Feasibility Study (DFS), being prepared with engineering partner Hatch, is progressing well with a targeted completion by end of June 2026. It incorporates updated Mineral Resource and Ore Reserve estimates, geotechnical and hydrogeological data, and ongoing optimisation studies. This integrated approach is designed to deliver a comprehensive project blueprint for construction readiness.
Permitting, Demonstration Plant, and Financing Pathway
Viridis is poised to submit its Installation License application imminently, a critical step toward environmental permitting and construction commencement. The company’s Rare Earth Research and Processing Centre (CPTR) demonstration plant has secured its operating license and is expected to begin operations shortly. This facility will provide essential metallurgical data and process optimisation insights to support the DFS assumptions.
On the financing front, Viridis remains engaged in advanced discussions with multiple potential offtake, financing, and strategic partners. These efforts align with the company’s broader funding strategy to secure project financing by Q4 2026, following the Final Investment Decision. The recent AU$25 million oversubscribed placement has already bolstered the company’s cash position, enabling accelerated progress on key milestones. This capital raise built on momentum from the company's AU$25 million placement heavily oversubscribed and the Colossus Project Gains Global Climate Investment Boost, which together underpin the project’s strategic funding base.
Resource and Reserve Base Sets Stage for Long-Life Operation
The updated Mineral Resource Estimate for Colossus now stands at 493 million tonnes at 2,508 ppm TREO, with a strong magnetic rare earth oxide component at 24%. The maiden Ore Reserve totals 200.6 million tonnes at 2,640 ppm TREO, with a notably high MREO to TREO ratio of 28%, reflecting the deposit’s premium rare earth composition. These metrics support the potential for a long-life mine supplying high-value rare earths essential for clean energy and technology sectors.
Managing Director Rafael Moreno emphasised the importance of these infill results in enhancing resource confidence and project bankability, stating they "continue to reinforce the potential for a long-life, high-grade MREO feed profile, with shallow Dy, Tb, Nd and Pr enrichment expected to enhance basket value and future revenue potential."
Bottom Line?
Viridis’ latest drilling success and technical advances sharpen the Colossus Project’s profile, but the true test lies in securing final permits and financing to move into construction later this year.
Questions in the middle?
- Will the upcoming Mineral Resource and Ore Reserve updates translate into improved project economics?
- How will permitting timelines and regulatory reviews influence the Final Investment Decision schedule?
- What terms and conditions will emerge from ongoing financing and offtake negotiations with strategic partners?