Reach Resources (ASX: RR1) says a grab sampling program has helped it unlock the geological key to its Wabli Creek rare earths play in Western Australia’s Gascoyne region.
Armed with its newfound wisdom, the company is now drawing up an exploration plan aimed at replicating earlier successes at the site. The goal of Reach’s sampling program, which kicked off three weeks ago, was to try and mirror previous outcomes from its Pelops prospect, where earlier fieldwork had picked up rock-chip samples from bedrock, returning assays of up to 17.65 per cent niobium oxide.
The mapping and sampling program, covering half of the 15-square-kilometre tenement, revealed notably high concentrations of various elements – particularly in the alkaline biotite granite that was found to be more mineralised than other granites in the region, such as porphyritic monzogranite and schorl-mica-granite.
The company says the 74 surface samples collected showed elevated levels of neodymium, praseodymium, niobium and titanium, with values significantly exceeding background levels. Total rare earth oxides (TREO) values are up to 7060 parts per million from surface samples, boosting management’s confidence that it can uncover strong mineralisation in other parts of the Wabli Creek site.
The findings are of huge importance for Reach’s exploration team led by Nick Revell and principal geologist David Tsiokos, who now believe they have a good understanding of the mineralisation source.
In short, geological analysis has now confirmed that the higher grades occur mainly within the central alkaline granite at Wabli Creek, as well as along its contact with north-to-south-trending pegmatite dykes, suggesting a far bigger target area for exploration than initially anticipated.
Not only is there the potential for niobium and titanium, but also significant levels of magnetic REE, particularly neodymium and praseodymium. Of major importance is the thesis that the central alkaline granite is host to much of the rare earths mineralisation, in addition to its contact with the N-S trending dykes. This provides a much larger target area, which is very exciting.
Reach Resources CEO Jeremy Bower
With confirmation of elevated mineralisation in other zones, in addition to Pelops, management says the overall project has now been significantly derisked as it moves towards the next stage of exploration to pinpoint drill-ready targets and potentially further significant discoveries.
With $6 million in the bank after farming out 51 per cent of its Morrissey Hill and Camel Hill lithium projects to Delta Lithium for $3.2 million and raising $2.4 million in fresh cash, the company is well-funded going forward as it pivots towards niobium, rare earths and gold.
The latest results may not have given ASX punters an immediate sugar hit, but Bower says they should not be underestimated, either. As Reach moves closer to defining drill targets at Wabli Creek, interest in the company’s progress could become far more significant.
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