Power Minerals has extended rare earth oxide mineralisation to 242 metres downhole at Morro do Ferro, including a 2-metre zone grading 6.88% TREO. The result adds two deeper high-grade targets to the Brazilian project’s resource-definition campaign, although their true geometry and economic significance remain unproven.
- 88m at 6.33% TREO and 1.19% MREO from surface
- 50m at 9.0% TREO, including 20m at 12.05% TREO
- 2m at 6.88% TREO from 240m downhole
- Two deeper high-grade zones may represent hydrothermal conduits
- Further drilling, assays, passive seismic work and metallurgical testing pending
Deep drilling extends Morro do Ferro mineralisation
Power Minerals Limited (ASX:PNN) has pushed rare earth oxide mineralisation at its Morro do Ferro project in Brazil substantially deeper, with drillhole MFSR-054 returning mineralised intervals down to 242 metres downhole. The standout result was a 2-metre interval grading 6.88% total rare earth oxides (TREO) and 1.07% magnet rare earth oxides (MREO) from 240 metres.
The hole also delivered a broad near-surface intercept of 88 metres at 6.33% TREO and 1.19% MREO from surface, including 50 metres at 9.0% TREO and 1.56% MREO. Within that interval, 20 metres graded 12.05% TREO and 2.18% MREO from 18 metres. Power described the results as its deepest and highest-grade results to date at Morro do Ferro, though all reported widths are downhole lengths and may not represent true thicknesses.
Two possible feeder zones emerge at depth
Below the main near-surface zone, MFSR-054 returned 93 metres at 1.06% TREO from 88 metres, followed by 9 metres at 2.78% TREO from 181 metres. A separate 19.8-metre zone from 222.2 metres graded 1.38% TREO, including the 2-metre high-grade interval at 240 metres.
Power’s preliminary geological interpretation is that the two deeper high-grade zones may be linked to conduits through which rare earth-bearing fluids moved within an interpreted hydrothermal system. That remains an interpretation rather than a defined geological model. The company says further drilling, mineralogical work and geophysical analysis will be needed to establish the zones’ extent and geometry.
Results strengthen the resource-definition campaign
MFSR-054 was drilled in a different direction from most holes in the current campaign, toward the northeast rather than southwest, to help test the deposit’s geometry. Power said the orientation should provide additional control for its planned maiden JORC Mineral Resource estimate. The hole was drilled to 253.55 metres and its final batch of 35 samples was analysed by SGS Geosol using whole-rock fusion and ICP methods.
The result builds on a run of thick intercepts from the same Brazilian project, including the 91m high-grade drill result, which returned 91 metres at 7.7% TREO in an earlier hole. Power’s conceptual Exploration Target for Morro do Ferro was previously set at 9.2 million to 10.7 million tonnes grading 7.8% to 9.2% TREO, but that target is not a Mineral Resource and the company’s latest deep results were not included in the Base Section model underpinning it.
Pending assays and metallurgy remain decisive
Two holes have already tested the area above the deep zones, with results pending. Power also plans drilling along strike and has commenced a passive seismic survey intended to map subsurface layers and help guide future drilling where the orientation of the deep targets is uncertain.
The next technical test is not simply whether more high grades appear. Power must establish continuity, true widths, mineralogy and recoverability, particularly for the higher-value magnet rare earths. Metallurgical testwork is continuing, while a large number of other drillhole assays remain outstanding. Until those pieces are assembled, MFSR-054 is an encouraging exploration result rather than evidence of an economic deposit.
Bottom Line?
The deep intercept expands Morro do Ferro’s geological potential, but the planned resource estimate will need to convert impressive downhole grades into demonstrated continuity, true widths and recoverable product.
Questions in the middle?
- Will follow-up drilling confirm that the two deep high-grade zones continue along strike and between sections?
- How much of the reported downhole thickness will translate into true geological width?
- Can metallurgical testwork recover the magnet rare earths at commercially meaningful rates and costs?