Cobra Resources Plc (LSE:COBR) shares advanced on Monday, after the junior miner announced results from testing at the Boland project, in South Australia, which point to improved economics.
The testing, conducted by the Australian Nuclear Scientific Technology Organisation (ANSTO), achieved the highest recoveries from the weakest lixiviant acidity reported for an Australian ionic clay project, the company said.
At pH levels of 4.5 to 5.0, recoveries reached 46–51% for neodymium and praseodymium and 44–48% for dysprosium and terbium.
Acid consumption was between 1.6 kg/t and 2.5 kg/t. All recoveries were achieved at ambient temperature over 24 hours.
The results are expected to improve production economics, increase recoverable ore, and reduce project costs.
“These are the highest recoveries from the weakest lixiviant acidity achieved by an Australian ionic clay project, highlighting the desirable ionic nature of Boland rare earth mineralisation,” said managing director Rupert Verco.
“These results further support reductions to the cost of extraction.
“Cobra is progressing to deliver bottom-quartile costs to support current and emerging supply chains - regardless of government-supported pricing mechanisms.”
In London, Cobra shares climbed 13% to 3.17p in Monday’s exchanges, valuing the business at just under £30 million.