PHOENIX, Sept. 01, 2022 (GLOBE NEWSWIRE) -- American Rare Earths Limited (ASX: ARR, OTCQB: ARRNF, FSE: 1BHA) (ARR or ‘the Company’) is pleased to announce a substantial increase to the Exploration Target for the Halleck Creek (Albany Co., Wyoming) project, again confirming its potential to be one of the largest, Rare Earth Projects in the USA.
Globally, very few rare earths projects exceed either one billion tonnes of mineralized rock or one million tonnes of total rare earth oxide content. The Halleck Creek Project may be in very rare company. Furthermore, low penalty elements, access to infrastructure and location in a mining friendly jurisdiction set this project apart. The Company’s strengthened balance sheet, from the recent successful capital raise allows for accelerated efforts to define a high tonnage maiden Resource, advance metallurgy test work and fast track evaluation studies in the near term.
Managing Director and CEO Chris Gibbs commented: “The Halleck Creek project is shaping up to become a world class asset. The maiden drill campaign was a resounding success, and the new exploration target is massive. Assay results exceeded our expectations with consistent Rare Earth mineralization observed throughout the deposit. We continue to expand the project footprint and the deposit remains open at depth and laterally. We are looking forward to advancing this project and continue increasing shareholder value.”
Exploration Target Update
ARR updated the JORC* compliant Exploration Target estimate based on the latest surface sampling, and 2022 maiden drilling results. The updated exploration targets outline between 1.01 and 1.27 billion tonnes of rare earth mineralized rocks with total rare earths oxide (TREO) grades ranging between 2,245 ppm and 2,807 ppm (Figure 1 and Figure 2). Readers are advised that the potential quantity and grade of the Halleck Creek resource are conceptual in nature, and there has been insufficient exploration to estimate a Mineral Resource. This is an update and increase from the original Exploration Target reported by the company on November 4. 2021. The mass of mineralized rocks is 328% larger than previously estimated.
*The Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the JORC Code) establishes standards for public reporting, emphasizing principles of transparency and materiality. All companies listed on Australian or New Zealand Stock Exchanges are required to comply with the JORC Code.
Figure 1: Overton Mountain and Bluegrass Creek Exploration Target Extent and TREO Distribution
Figure 2: Red Mountain Exploration Target Extent and TREO Distribution
Next Steps
Completing the drilling campaign at Halleck Creek will be the focus of the Company's operational personnel in the near term. The data collected from this drilling will be used to prepare the first detailed geological models of the area and then define the maiden JORC compliant resource in early 2023.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks, uncertainties, and other important factors that could cause the Company's actual results, performance, or achievements or industry results to differ materially from any future results, performance, or achievements expressed or implied by these forward-looking statements. These statements are subject to a number of risks and uncertainties, many of which are beyond American Rare Earths Limited's control.
Concurrently, this press release contains forward-looking statements within the meaning of the U.S. Securities Act of 1933, as amended, and U.S. Securities Exchange Act of 1934, as amended, including, but not limited to, statements regarding the potential development, economic feasibility, resource, grade and other mineralization characteristics, and drilling and exploration methods that may be utilized in potential exploration of the Company’s projects. When used in this press release, the words “potential,” “plans,” “indicate,” “expect,” “intend,” “hopes,” “believe,” “may,” “will,” “if,” “possible,” “anticipate” and similar expressions are intended to identify forward-looking statements. Although, not all forward-looking statements contain such identifying words. These statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance, or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such statements. Such factors include, among others, uncertainty of mineralized material and mineral resource estimates, risks to projected and estimated economics not reflecting actual economic results due to the uncertainty of mining processes, potential non-uniform sections of mineralized material, potential mining hazards and accidents, changes in equipment and labor costs, changes in projected mineral prices and demand, competition in the mining industry, risks related to project development determinations, the inherently hazardous nature of mining-related activities, potential effects on the Company's operations of environmental regulations, risks due to legal proceedings, liquidity risks and risks related to uncertainty of being able to raise capital on favorable terms or at all, as well as those factors discussed in filings with the Australian Securities Exchange. Any forward-looking statements included in this press release are made only as of the date of this release. Except as required by law, the Company assumes no obligation to publicly update any forward-looking statements. The Company cannot assure you that the projected results or events will be achieved.
Cautionary Note to US Investors
The United States Securities and Exchange Commission ("SEC") limits disclosure for U.S. reporting purposes to mineral deposits that a company can economically and legally extract or produce and that are compliant with SEC Industry Guide 7. Investors are cautioned, that where a Resource has not been specifically published, not to assume that any part or all of the proposed projects contains any mineral deposits that will ever be converted into resources or that any inferred mineral resource or measured and indicated resources exists or is economically or legally mineable. The proposed projects do not contain any known proven or probable ore reserves or mineral resource compliant with SEC Industry Guide 7 reporting standards. Investors are urged to consider closely the disclosures set forth in the Company’s latest reports filed with the ASX.
Competent Persons Statement
The information in this document is based on a company memorandum entitled “2022 Exploration Target Summary of the Halleck Creek Project Area”, August 2022, compiled by Mr. Dwight Kinnes employed by American Rare Earths, respectively. This memorandum has been reviewed and approved for release by Mr. Dwight Kinnes (Society of Mining Engineers #4063295RM) is employed by American Rare Earths and has sufficient experience which is relevant to the style of mineralization and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2012 JORC Code. Mr. Kinnes consents to the inclusion in the report of the matters based upon the information in the form and context in which it appears.
About American Rare Earths
American Rare Earths Limited (ASX: ARR, OTCQB: ARRNF, FSE: 1BHA) is an Australian company listed on the ASX with assets in the growing rare earth metals sector of the United States of America, emerging as an alternative international supply chain to China's market dominance of a global rare earth market expected to expand to US$20 billion by the mid-2020s. The Company's mission is to supply Critical Materials for Renewable Energy, Green Tech, Electric Vehicles, National Security, and a Carbon-Reduced Future.
Western Rare Earths (WRE) is the wholly owned US subsidiary of the Company. ARR owns 100% of the world-class La Paz Rare Earth Project, located 170km northwest of Phoenix, Arizona. As a large tonnage, bulk deposit, La Paz is potentially the largest, rare-earth deposit in the USA and benefits from containing exceptionally low penalty elements such as radioactive thorium and uranium.
In the first half of 2021, ARR acquired the USA REE asset, the Halleck Creek Project in Wyoming. Since acquiring the asset, the company has increased the land holding to over 6,000+ acres. Approximately 1,015 to 1,268 million tonnes of rare earths mineralised rocks were identified as an exploration target for the Halleck Creek project area with an average Total Rare Earth Oxide (TREO) grade of 2,245 - 2,807 ppm.
La Paz and Halleck Creek's mineral profiles are incorporated into emerging US advanced rare earth processing technologies in collaboration with US national laboratories, major universities and the US DOE innovation hub, the Critical Materials Institute.
Media Contact
Susan Assadi
susan@americanrareearths.com.au
347 977 7125
Photos accompanying this announcement are available at:
https://www.globenewswire.com/NewsRoom/AttachmentNg/dddc3474-0cef-4812-990b-1f78af5ae0d6
https://www.globenewswire.com/NewsRoom/AttachmentNg/59f09d8b-6c9a-44ec-8097-ac1211f7825d
https://www.globenewswire.com/NewsRoom/AttachmentNg/45662b30-a447-41bb-990a-a537b9e44423
