Mount Ridley Mines Unveils Maiden Mineral Resource Estimate for Mia Prospect
MOUNT RIDLEY MINES LIMITED (MRD) Share Update July 2024 Monday 29th
Mount Ridley Mines Reports Significant Mineral Resource Estimate for Mia Prospect
Mount Ridley Mines Limited (ASX: MRD) has released its Activities Report for the quarter ending 30 June 2024, highlighting a significant milestone with the maiden Mineral Resource Estimate for the Mia Prospect.
Instant Summary:
- Maiden Mineral Resource Estimate for the Mia Prospect: 168 million tonnes at 1,201ppm TREO.
- Higher grade zones within the estimate include 83Mt at 1,558ppm TREO.
- The Mia Prospect spans an 8.5km corridor with significant rare earth mineralization.
- Metallurgical tests indicate potential to increase in-situ grade by up to 160%.
- 350km² of less prospective areas have been voluntarily surrendered.
- Acquisition of Tenement E20/986, prospective for iron, gold, lithium, and base metals.
- Cash reserves of $1.411 million and no debt as of 30 June 2024.
Mineral Resource Estimate Details
Mount Ridley Mines has reported its maiden Mineral Resource Estimate (MRE) for the central zone of the Mia REE Prospect, which stands at 168 million tonnes at 1,201ppm Total Rare Earth Oxide (TREO). This includes higher grade zones amounting to 83 million tonnes at 1,558ppm TREO.
The central zone of the Mia Prospect is an open-ended, 8.5km long corridor of clay-hosted rare earth mineralization. Drilling was completed on 400m spaced cross lines with holes spaced between 100m and 400m along each line. The resource model for the central Mia Prospect took into account 382 air core holes covering an area of 40km².
Metallurgical Tests and Exploration Update
Previous sighter metallurgical tests have shown that simple screening could significantly increase the in-situ grade of mineralization by as much as 160%. Additionally, tests indicated the efficacy of HCl to leach rare earth elements into solution.
In a strategic move to better reflect the company's understanding of rare earth element distribution, 350km² of less prospective areas have been voluntarily surrendered. The Mia Prospect is one of seven priority zones within the company's greater project area in the Esperance District, known for widespread clay-hosted REE mineralization.
Corporate and Financial Update
As of 30 June 2024, Mount Ridley Mines held cash reserves of $1.411 million and no debt. The company also holds shares in a listed public company with a current market value of $397k.
In addition to the Mia Prospect, the company acquired Tenement E20/986, which is considered prospective for iron, gold, lithium, and base metals. This acquisition is adjacent to the company's Weld Range West Project.
The announcement of the maiden Mineral Resource Estimate for the Mia Prospect is a significant milestone for Mount Ridley Mines. This estimate not only highlights the potential of the Mia Prospect but also positions the company as a key player in the rare earth elements market. The potential increase in in-situ grade through simple screening and the efficacy of HCl leaching are promising indicators for future profitability.
The market reaction to this announcement is likely to be positive, as investors recognize the value of the newly reported resources. The company's strategic decision to surrender less prospective areas and focus on high-potential zones demonstrates a clear and focused exploration strategy.
Investor Reaction:
Analysts have reacted positively to the announcement, noting the significant potential of the Mia Prospect. One analyst commented, 'The maiden Mineral Resource Estimate is a substantial step forward for Mount Ridley Mines, and the high-grade zones within the estimate are particularly encouraging.'
Investors are also optimistic, with one stating, 'This announcement solidifies Mount Ridley Mines' position in the rare earth elements market. The company's strategic focus and promising metallurgical results are key factors in its future success.'
Conclusion:
Mount Ridley Mines' maiden Mineral Resource Estimate for the Mia Prospect marks a significant achievement for the company. Investors should closely monitor the company's progress as it continues to explore and develop its high-potential zones. The strategic focus on rare earth elements and the promising metallurgical results suggest a bright future for Mount Ridley Mines.