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- Ionic Rare Earths’ (IXR) subsidiary, Rwenzori Rare Metals (RRM), has applied for two exploration licences at the Makuutu Rare Earths Project in Uganda
- If granted, these tenements will expand the company’s land holdings by 80 per cent
- They may also extend the existing 26-kilometre-long Makuutu mineralised corridor to 36 kilometres as well as materially increase the exploration target
- Furthermore, IXR believes the addition of two new exploration licences may increase the current mineral resource estimate by the first quarter of 2021
- The applications were submitted to the Ugandan Directorate of Geological Survey and Mines and will be processed within 40 days
- Company shares are trading 7.14 per cent higher for 1.5 cents
Ionic Rare Earths’ (IXR) 51 per cent-owned subsidiary, Rwenzori Rare Metals (RRM), has applied for two exploration licences at the Makuutu Rare Earths Project.
The applications were submitted to the Ugandan Directorate of Geological Survey and Mines.
The exploration licences cover a combined area of around 108 square kilometres and are located to the east of the Makuutu Eastern Zone. They were applied for to complement, and potentially significantly expand, RRM’s existing land holdings by about 80 per cent.
The new tenements may also extend the 26-kilometre-long Makuutu mineralisation corridor to 36 kilometres. This extension may substantially add to the existing exploration target of 270 million to 530 million tonnes at 400 to 1000 parts per million (ppm) total rare earth oxide (TREO).
Furthermore, IXR believes the addition of two new exploration licences may increase the current mineral resource estimate by the first quarter of 2021. The Makuutu Mineral Resource Estimate currently sits at 78.6 million tonnes at 840 ppm TREO, at a cut-off grade of 300 ppm TREO-cerium oxide.
“Our focus remains on defining and progressing towards developing a globally significant long-life alternative supply of heavy and critical rare earths, and this potential additional tenement area could add significant value in achieving this goal,” CEO Tim Harrison said.
The applications are required to be processed within 40 days and, subject to approval, will be granted once the applicant pays the relative fees.
Company shares are trading 7.14 per cent higher for 1.5 cents at 1:37 pm AEDT.
