European Green Transition PLC (AIM:EGT) said ground exploration at the Djupedal prospect at Olserum in south Sweden had confirmed the potential to host a significant-sized rare earth (TREO) project.
Channel samples taken over a 100-metre zone confirmed REE mineralisation and included three metres grading 1.58% TREO and one metre grading 2.27% TREO of which 30% were in the desirable heavy category.
New rock chip grab samples from a southerly dipping shear structure near the east of Djupedal also graded 1.5% and affirmed the new geological model, said the junior.
A low-cost drill programme is scheduled for the second half of 2024 to confirm the project's upside and assist in finding a partner for a wider exploration campaign.
Aiden Lavelle, EGT’s chief executive, said: "The results from this latest phase of sampling at the Olserum REE Project confirm that the project has excellent potential to be expanded, with a large new zone and several drill targets defined at the Djupedal prospect 2.5km northwest of Olserum.
“The footprint of the Djupedal prospect alone is greater than that of the Olserum Resource and its surrounds and new mineralised structures have been located in Djupedal and to the south where parallel mineralised trends are now apparent.
“This project could have the potential to become a meaningful source of critical and heavy REEs for the European market, which to date has no domestic, secure supply.”