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Assays from drilling at DY6 Metals’ Machinga Main Northern anomaly, part of the flagship Machinga project in southern Malawi, have confirmed the zone is enriched with the valuable heavy rare earths dysprosium and terbium as well as niobium.
Machinga is just 40km east-southeast of Lindian Resources’ 261Mt at 2.19% TREO Kangankunde project, described as one of biggest and best rare earths projects outside China.
It’s one of four world-class projects Argonaut senior metals and mining analyst George Ross says are well-placed to ride the cycles.
A great spot for DY6 Metals’ flagship project then, which is particularly enriched with high-value heavy rare earth elements dysprosium and terbium – and holds significant niobium and tantalum potential as well.
DY6’s maiden 35-hole, 3,643m RC drill program was designed to follow up on historical drilling in 2010 which returned a highlight 11m at 1% TREO (including 330ppm dysprosium) from a down-hole depth of 12m and 5m at 1.5% TREO from 26m.
Notable assays from the first 11 holes at the northern end of the Machinga Main anomaly – just one of six targets identified to date – include 7m at 1.42% total rare earth oxide (TREO) with 0.49% Nb2O5 and 16m at 0.54% TREO with 0.21% Nb2O5.
The mineralisation also contains an average DyTb:TREO ratio of 3.5% in samples greater than 2500ppm TREO and niobium grades of 0.28% Nb2O5 at a cutoff grade of 2500 ppm TREO and 0.64% Nb2O5 for samples at TREO grades greater than 1%.
“The initial results are showing the prospect is skewed towards abundant heavy rare earths critical to high-temperature magnets used in EV traction motors,” DY6 CEO Lloyd Kaiser said.
Importantly, it looks like the mineralised zones are thickening at depth.
Widespread rare earth intersections
“The phase one program, comprising 35 RC holes, forms part of a substantial, project-wide exploration campaign at Machinga and the surrounding anomaly zones,” Kaiser said.
“We remain enthusiastic about the future for the Machinga project as we continue developing this exciting HREE and Nb opportunity.”
Phase two drilling in the December 2023 quarter
Results for the remaining 24 RC holes from Machinga Main Northern Zone are expected to be released progressively during October and the first batch of assays from eight diamond holes drilled (900m) are expected in the December quarter.
“Phase two drilling is expected to begin before the end of the year once all assays from the phase one program have been received and processed,” Kaiser said.
“On-ground exploration will continue to focus on the geophysical targets and in particular, those areas north and south of the Machinga Main prospect.
“We look forward to continuing to update the market as our exploration progresses.”
Financial indicators
The VIX fear gauge sits on a relaxed 12.45 points as at 30 December.
The Dow Jones Industrial Average sits on 37689.54, the STOXX 600on 479.02 and the Shanghai Composite index on 2,974.93.
Gold up to 2,071.80. US 10-year Treasury Bonds on 3.881 and oil down to 71.33. Cryptos Bitcoin on 42,085.
ASX 200 up to 7,590.80. The Aussie dollar up to 68.15 US cents.
Carbon Market Spot Prices
LGC $48.00 STC $39.25
ESC $24.25 VEEC $92.00
ACCU $32.50 EU ETS €80.75
NZU $NZ69.15 UK ETS GBP75.85
Sources: RenewEconomy, demandmanager, Market Watch, CarbonView, Stockhead.