St George Mining Ltd (ASX:SGQ, FRA:S0G, OTC:SGQMF) has delivered another batch of standout drill results from its 100%-owned Araxá rare earths and niobium project in Brazil, with thick mineralised intervals from surface continuing to reshape expectations around the scale and confidence of the existing resource.
More thick mineralisation from surface, with grades up to 15% TREO
The latest assays cover a further 10 diamond drill holes and confirm every hole intersected broad, high-grade mineralisation starting at surface and commonly ending in mineralisation.
Key intercepts included:
- 135.2 metres at 3.37% TREO and 0.58% Nb₂O₅ from surface in AXDD042, including 38.8 metres at 4.40% TREO and 0.82% Nb₂O₅ from 0 metres.
- 99.2 metres at 4.63% TREO and 0.61% Nb₂O₅ from surface in AXDD043, including zones such as 22 metres at 5.31% TREO and 0.51% Nb₂O₅ from 51 metres, with short internal runs reporting rare earth grades as high as 15.12% TREO.
- 85.8 metres at 5.16% TREO and 0.72% Nb₂O₅ from surface in AXDD044, including 22 metres at 7.48% TREO and 1.05% Nb₂O₅ from 12 metres.
Oblique section showing some of the latest diamond drill holes as well as other significant drilling completed in the current campaign, set against the current 3D model of the MRE. The latest drill holes are shown with red labels.
Management said the company has still not defined the limits of the mineral system, with mineralisation open in all directions.
“It's non-stop drilling at Araxá with exceptional results continuing to roll in," John Prineas, St George Mining’s executive chairman, said.
“Significantly, with mineralisation open in all directions, we still have not found the limits of the system. The ongoing drill campaign will, we believe, deliver more tremendous intercepts that have potential to have a very positive impact on the volume of the resource.
“The latest results again highlight three of the favourable features that distinguish Araxá from other projects in development – very high grades, a resource that starts from surface and abundant volumes of both niobium and rare earths. These features have potential to be huge value drivers for Araxá as we move towards development studies.
“We look forward to reporting further assay results over the coming weeks and keeping shareholders updated as we continue to advance our work at Araxá.”
Why Araxá stands out: scale potential, near-surface geometry and dual-commodity upside
St George is using tighter drill spacing to support both resource expansion and conversion of inferred material to indicated, arguing the consistent grades and broad widths validate the robustness of its modelling.
A key theme in this update is that multiple holes are extending mineralisation beyond the 100 metres depth used in the current MRE model, which the company believes could add meaningful volume in future updates.
Araxá’s near-surface profile is also a differentiator, with mineralisation beginning at surface alongside abundant volumes of both rare earths and niobium.
On the rare earths side, the company said the project remains rich in magnet rare earths, with a NdPr:TREO ratio around 20%, consistent with its existing resource.
The project’s broader setting is another advantage. Araxá is in Minas Gerais, Brazil, near CBMM’s niobium operations, with access to infrastructure and a skilled workforce, alongside government engagement aimed at expediting approvals.
Section A – A’ showing high-grade TREO intercepts (cut-off 1% TREO) and high-grade Nb2O5 intercepts (cut-off 0.2% Nb2O5) along with the existing MRE outline, showing both in-fill drilling and the expansion of the existing MRE along strike and at depth.
What’s next: 24/7 drilling and more assays pending
Drilling is continuing 24/7 with three diamond rigs and one RC rig, with the campaign extending into 2026.
Near-term news flow is underpinned by 31 drill holes currently at the lab awaiting assays, which the company expects to report over the coming weeks.
St George acquired Araxá in February 2025 and published a maiden MRE in April 2025, outlining 40.64Mt at 4.13% TREO and 41.2Mt at 0.68% Nb₂O₅. The ongoing drill program is now focused on increasing drill density in sparsely tested areas, testing extensions at depth and along strike, and laying the groundwork for future development studies.