PVW Resources NL (ASX:PVW)'s Tanami Project in Western Australia is drill-ready, with rare earth element (REE) and gold targets defined over 3 kilometres of strike.
Rare earth soil sampling results demonstrate continuity between the Killi Killi East 1 and 2 prospects, outlining a 3-kilometre-long drill target area.
Executive director George Bauk said: “The 2021 field program has defined a significant area of interest in the Tanami for heavy rare earths, with particular emphasis on dysprosium, terbium and yttrium.
“This is our highest priority REE target for drilling based on many geological factors including rock chip, soils, structural information, radiometrics and mapping.”
Watts Rise-Killi Killi Trend
Soil sampling has also identified multiple drill targets at Watts Rise.
“We have an 18-kilometre-long geological structure in the Watts Rise-Killi Killi Trend, with various points of surface mineralisation above 3% total rare earth oxides (TREO) and up to 12.45% TREO, some 12 kilometres apart,” Bauk continued.
“Further work has focused on the Watts Rise-Killi Killi Trend with a number of work programs completed to define areas that are drill-ready.”
Regional soil sampling results support the prospectivity of the unconformity along the 18-kilometre-long Watts Rise-Killi Killi East Trend with two new yttrium soil anomalies located along the trend.
Geophysical interpretation conducted by Southern Geoscience supports high-priority geochemical targets and new geochemical anomalies.
Gold an added bonus
Soils also reveal significant gold anomalies at Watts Rise (400 metres long and open to west), Killi Killi East 1 (800 metres long and open to southwest) and Killi Killi East 2 (400 metres long and open to southwest).
“While rare earths are our main target in 2022, you cannot simply overlook the outstanding gold results we have received in both rock chips and soils,” said Bauk.
“Rock chip results including multiple results over 1 g/t and up to 3 g/t gold and soil anomalies up to 750 metres long, up to 80 parts per billion gold and open.
“Not only does the location of the gold anomalies reinforce the geological interpretation, but the tenor of anomalism from surface samples is very encouraging.”
2022 program
PVW is now finalising plans for a drilling program to commence in April 2022, with an initial program of up to 10,000 metres of reverse circulation (RC) drilling and 25,000 metres of aircore drilling planned.
The field program will include further ground-based reconnaissance work to follow up additional targets identified as part of the Southern Geoscience interpretation, including additional radiometric anomalies.
“The program that has been designed for 2022 is significant and it will be managed through a gated process based on drilling results as we go,” Bauk said.
“The start of the program is contingent on several factors including the weather and availability of drilling rigs. The team has been working on all aspects of the program and are doing everything they can to start in April.”
Commodity markets
PVW is confident of a hard market for the commodities it is targeting. Rare earth prices continue to rise with dysprosium at US$488 per kilogram, up 20% since June 2021, while gold prices have strengthened to A$2,773 per ounce, up 15% since September 2021.
“The other significant increase in pricing is in yttrium which has been low for many years and is now US$14.81 per kilogram, up from US$4.60 per kilogram in June 2021,” Bauk said.
“Demand is strengthening and more projects are needed to meet this growing demand.”