Cadoux Secures Up to 80% Stake in Wimmera Rare Earths with High-Grade Danube Drilling

Cadoux Advances Rare Earths Footprint in Victoria’s Wimmera Region

Cadoux Limited (ASX:CCM) has taken a significant step in expanding its rare earths portfolio by entering a joint venture earn-in agreement to acquire up to 80% of the Wimmera Mineral Sands Project (WMS) in Victoria. This project covers approximately 1,400 square kilometres of granted exploration licenses in a globally significant mineral sands province, known for its rare earth-zircon resources.

The WMS project lies adjacent to major deposits including Iluka Resources’ WIM100 and China’s LB Group WIM150, positioning Cadoux in a strategic corridor for rare earth and zircon mineralisation. The company’s initial focus is the Danube prospect, an extension of the WIM150 deposit, where drilling has revealed a coherent, shallow mineralised zone extending over more than 7 square kilometres.

High-Grade Drilling Highlights at Danube Prospect

Drilling results at Danube have been encouraging, with 84 holes completed between 2022 and 2024 and assays returned in 2026. The mineralised zone is consistently 3 to 8 metres thick, with in-situ zircon grades reaching up to 5% and total rare earth oxides (TREO) averaging between 800 and 1,200 parts per million across the target area.

Notably, the top drill intercepts include intervals such as 7 metres at 2.02% zircon with 1,884 ppm TREO and 6.23% titanium dioxide, underscoring the high-grade nature of the deposit. The Exploration Target is conceptual, estimated between 50 and 100 million tonnes, with ongoing drilling and metallurgical testwork aiming for a maiden Mineral Resource estimate by Q4 2026.

Transaction Terms and Strategic Integration

The joint venture arrangement includes staged cash and share payments totaling up to $2 million in the initial phases, with vendors free-carried to a decision to mine. Cadoux’s earn-in involves minimum project expenditure of $1.5 million per year for two years, with the potential to increase its stake to 80% through further payments and financing arrangements.

Crucially, Cadoux plans to integrate WMS feedstock into its Minhub Operations Pty Ltd processing hub based in Darwin, aiming to establish a sustainable domestic supply of critical heavy rare earths such as dysprosium and terbium. This aligns with broader efforts to reduce reliance on Chinese processing dominance and support allied supply chains.

Outlook and Upcoming Catalysts

Cadoux is advancing exploration with ongoing infill drilling and assay submissions scheduled through 2026, alongside metallurgical testwork including QEMSCAN and heavy liquid separation techniques to refine the resource model. The company’s focus on delivering a maiden Mineral Resource estimate at Danube later this year will be a key milestone to watch.

This development complements Cadoux’s wider critical minerals strategy, which includes high purity alumina projects and recent technical milestones in the EU-backed SAFELOOP battery initiative, reflecting the company’s multi-pronged approach to emerging technology metals markets.