VR Resources Ltd (TSX-V:VRR, OTCQB:VRRCF) has reported results from the first of five drill holes completed in the fall of 2022 at its Hecla-Kilmer project in Ontario.
Five drill holes were completed in November for a total of 1,437 meters, the company said. To date, 21 holes have been completed, and data from the remaining drill holes is expected shortly.
Notably, the mineralization starts at the bedrock surface, below an overburden of glacial till. It is continuous in nature from bedrock surface to the end-of-hole at 504 meters.
READ: VR Resources says new geochemical data increases PMREO content of high-grade rare earth element mineralization at Hecla-Kilmer in Ontario
The rare earth element (REE) mineralization remains open to depth, and is as strong as any REE interval higher in the 461-meter intersection, the company said. Gold mineralization at the bottom of the hole correlates with a corresponding increase in REE mineralization and is part of the same polymetallic fluid system.
In particular, there are now intersections with more than 1% total rare earth oxides (TREO), including 19-22% permanent magnet REO elements (PMREO) in 11 of the first 17 holes. A full breakdown can be found here.
PMREO are essential in the manufacturing of motors for electric vehicles and wind energy turbines, critical components in the emerging green economy. The high price of the four PMREOs (Neodymium, Praseodymium, Dysprosium and Terbium) in world markets reflects the constraints on demand because of the current global monopoly controlled by China, the company noted.
Looking ahead, VR has commenced a study of drill core samples from holes 13 and 15 using scanning electron microprobe to determine exactly which minerals host the high value magnet rare earth elements. Results are anticipated this quarter, and work will be ongoing through 2023, the company said.
Follow-up drilling is planned for the spring of 2023. It will focus on supporting the advanced-stage studies and completing additional drill holes to evaluate the extent of mineralization discovered in the central core and south rim of the complex.
Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com
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