American Rare Earths Works to Develop La Paz Project to Expand Rare Earths
- Category: tungsten‘s News
- Published on Friday, 01 October 2021 21:55
American Rare Earths Ltd. is in a strong position at the end of fiscal 2021 and is well-funded to continue to drive production at its flagship La Paz project in Arizona and build its growing rare earths scale.
The ASX-listed exploration company is focused on the discovery and development of rare earths and scandium, primarily in North America but also in Australia.
The La Paz project, located 170 kilometers northwest of Phoenix, Arizona, has strong potential to become the largest rare earth project in North America.
During the reporting period, the company acquired the Halleck Creek Rare Earth Project, formerly known as the Laramie Project. The project is located 70 kilometers northeast of Laramie and straddles Albany and Platte counties in Wyoming, USA.
It then further increased its U.S. portfolio by acquiring the Searchlight rare earth project located 119 kilometers south of Las Vegas in Clark County, Nevada, USA.
In addition, the company acquired scandium claims at the Split Rocks project located in the Forrestania Greenstone Belt in Western Australia.
The company ended the fiscal year with improved financial operating results compared to the prior corresponding period. a loss after income taxes of $258,920 in fiscal 2021 compared to a loss of $923,288 in the prior reporting period, and as a result of successful capital raising, the company ended fiscal 21 with a significantly increased cash balance of $3,700,689 compared to a The cash balance was $1,433,784.
Importantly, the capital raise provided an additional $2.4 million to accelerate exploration work on the La Paz project.
The additional funds raised enabled the company to conduct a successful sampling program at La Paz in December 2020, followed by the Company's first drilling campaign in the project area in March 2021. The nine diamond core holes drilled at La Paz achieved two very important things.
Firstly, the drill results confirmed the resource delineated by the previous project holder in 2011, and secondly, it provided the welcome news that additional rare earth mineralization exists below the current resource and that a potential new ore body has been identified to the southwest of the resource area.
Review of assay and metallurgical results by the technical team continues into the new fiscal year 2021/22, with plans to expand the size and grade of the La Paz resource as work progresses.
Subsequently, on August 3, the company announced an updated JORC 2012 resource estimate of 170.6 million tonnes at an average grade of 391 ppm total rare earth elements (TREE).
The company agreed to acquire the Laramie Rare Earth Project in Wyoming, USA, which was completed in June 2021 when the project was renamed the Halleck Creek Rare Earth Project. The company added another project to its portfolio of assets by acquiring the Searchlight Rare Earth Project in Nevada, USA.
Then in June 2021, the company acquired the scandium rights to the Split Rocks project in Western Australia through an exclusive two-year option agreement with Zenith Minerals Limited.
The company has also strengthened its local technical staff and the directors now believe it has an "excellent and very capable" team to further advance its rare earths and scandium projects in the United States.
American Rare Earths plans to continue its drill core metallurgical test work and conduct a dolomite beneficiation program and expects to assist in the preparation of a Preliminary Economic Assessment (PEA) to develop the La Paz resource in the second half of 2021.
Further phased exploration is also being prepared over the La Paz resource area to further increase the depth of the resource by drilling deeper and more uniformly at 200m below the surface.
Exploration targets will also be developed for drilling in the southwest portion of the project, which is expected to be five times larger than the first discovery resource area. In addition, the team will review existing data from other recently acquired assets and develop exploration plans to advance these projects.
- < Prev
- Next >
Link to this article：American Rare Earths Works to Develop La Paz Project to Expand Rare Earths
Reprint Statement: If there are no special instructions, all articles on this site are original. Please indicate the source for reprinting:Tungusten，Thanks！^^