Meteoric Resources NL is looking to acquire significant and strategic Ionic Clay Rare Earth Element (REE) licences contiguous with the highly prospective areas of its Tier 1 Caldeira project in the Minas Gerais State of Brazil.
The company said the acquisition consists of 21 licences, specifically two mining licences, 12 mining licence applications, four exploration licences and three exploration licence applications.
The licences will be acquired from Varginha Mineracao e Loteamentos Limited, Minas Rio Mineradora Limited and Fertimax Fertilizantes Organicos Limited.
The first 11 licences are freely transferrable, while the remaining 10 are subject to third-party encumbrances.
The licences have not been subject to previous exploration; however, historic drilling of the Capao do Mel, Soberbo and Figueira licences showed strong mineralisation extending to the licence boundaries.
Meteoric noted that the licences cover 49 km2, increasing the total area covered by the company in the REE province by 40 per cent.
Additionally, the acquisition amalgamates a large contiguous block of ground in the prospective southern portion of the Caldeira project, including the previously drilled Capao do Mel, Soberbo and Figueira licences.
The company said it is likely that the REE mineralisation will continue into new areas, enabling the company to target those areas for future exploration.
Commenting on the potential acquisitions, Meteoric Executive Chairman Andrew Tunks said the move boosts the company’s position in the REE province, saying the licences will consolidate its ground holdings in the prospective southern region of the project.
“This significantly increases our discovery opportunity and we will extend our current diamond drilling program to complete several stratigraphic holes to test for REE mineralisation and depth to basement within these new licences,” he added.
Tunks noted that the large contiguous area created by the acquisition would provide a platform to grow a Tier-1 world-class rare-earth project within a single area.
