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Mining

Meeka Metals “on track” for maiden Circle Valley resource after latest batch of assays

After receiving the latest batch of assays from infill and extensional drilling at Circle Valley Project in Western Australia, Meeka Metals Ltd (ASX:MEK) says it’s “on track” to deliver an initial rare earths mineral resource estimate (MRE) in the June quarter of this year.

The drilling program was launched in January, targeting an area of roughly 15 square kilometres where shallow, high-grade rare earth mineralisation was intersected last year.

So far, assays have been received for the first 60 drill holes, covering around 10 square kilometres. These samples returned total rare earth oxide (TREO) grades up to 3,084 parts per million (ppm), with neodymium-praseodymium (NdPr) to TREO ratios of up to 34%.

Strong results

Some of the most significant intercepts include 6 metres at 2,360 ppm TREO (30% NdPr) from 46 metres and 8 metres at 1,542 ppm TREO (27% NdPr) from 20 metres.

Assays for the remaining 5 square kilometres are expected in the coming weeks.

Meeka Metals managing director Tim Davidson said the results confirmed what was evident in last year’s drilling campaign - thick zones of high-grade mineralisation rich in rare earth elements.

“While we are awaiting results from a further 32 infill and extensional drill holes, it is apparent the shallow high-grade mineralisation trends northwest and remains open in that direction, providing potential for further growth through drilling,” he said.

Growing demand for rare earths

Rare earths are experiencing a boom in demand. With a sprawling array of applications, they are used in electric drive motors and turbines, military guidance and control systems, communications technologies, and more.

Much of this growth in demand is down to the electric vehicle market. Each electric vehicle uses between 2 and 5 kilograms of rare earths magnets, according to a report by Argus Media, and global sales are expected to grow at roughly 20 million cars a year until 2026.

The installation of wind turbines is expected to grow at a similar rate until 2030. Each direct-drive turbine uses around 650 kilograms of rare earth magnets per megawatt of generation capacity.

- By Oliver Gray

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