Why Is the Discovery of Rare Earths Significant for Encounter Resources?

$ENR Why Is the Discovery of Rare Earths Significant for Encounter Resources?

Encounter Resources Reports High-Grade Niobium-REE Mineralisation at Emily Target

Encounter Resources Ltd (Encounter) has announced the discovery of near-surface, high-grade niobium-REE (Rare Earth Element) mineralisation at the Emily target within the Aileron project in Western Australia’s West Arunta region. Key drill results include 12 meters at 2.3% Nb2O5 and 0.85% TREO from 54 meters in drill hole EAL098.

Exploring a Critical Minerals Province

The Aileron project, entirely owned by Encounter, spans 1,765 square kilometers in the West Arunta region, approximately 600 kilometers west of Alice Springs. This region has emerged as an important critical minerals province, with significant niobium and REE discoveries made in 2023. Encounter has completed extensive gravity, magnetic, and radiometric surveys to identify initial drill targets.

Broad-Spaced Drilling Identifies Mineralised Carbonatites

The first phase of the RC drilling program comprised sixteen broad-spaced holes in the southern part of the Aileron project. This program successfully identified new mineralised carbonatites at Green and Emily, ... leading to an expansion of the drilling program at Emily.

High-Grade Intersections and Prospective Trends

Emily, located near WA1 Resources’ Luni discovery, has shown promising results from its first line of RC drilling. Another noteworthy intersection at Emily is EAL136, which recorded 32 meters at 1.0% Nb2O5 and 0.25% TREO from 34 meters. At the Green target, two drill holes confirmed mineralisation along the northeast structure extending from Luni, indicating the potential for a larger intrusive complex.

Preparing for an Extensive Drill Campaign in 2024

Encounter is gearing up for a major 20,000-meter drill campaign in 2024, including detailed RC/aircore drilling at Emily and Green, further drilling at Crean and Hurley, and the first drilling at the Mawson, Wordie, and Perce gravity targets. This campaign aims to follow up on the 2023 discoveries and test new targets in unexplored areas.

A Transformational Year Ahead

Will Robinson, Managing Director of Encounter, commented on the successes of the first drilling programs at Emily and Green. He emphasized the importance of these discoveries in shaping 2024 as a potentially transformational year, with systematic drilling planned for Emily and Green and heritage surveys to facilitate detailed drilling.

A Leading Mineral Exploration Company

Encounter is a prominent mineral exploration company listed on the ASX, focusing on discovering major copper and critical mineral deposits in Australia. With a portfolio of 100% owned projects in key mineral provinces, Encounter is also advancing large-scale copper projects in partnership with industry leaders South32 and IGO.

Setting the Stage for Future Growth

The discoveries at the Emily and Green targets within the Aileron project underscore Encounter Resources' potential in the critical minerals sector. The planned extensive drilling campaign in 2024 positions Encounter to further explore and potentially develop these high-grade niobium-REE deposits, contributing significantly to Australia's growing critical minerals industry.

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