Red Metal Gets ANSTO Validation For Potential Low Cost Processing Of Sybella Rare Earths

Red Metal Ltd (ASX: RDM) recently discovered a world-first, new style of REO deposit at the Sybella project in northwest Queensland.

The deposit was found to be hosted in REO-enriched granite, a low-acid consuming rock.

The bulk of the Rare Earth Elements (REE) were in soluble fluoro-carbonate minerals.

Strikingly, it’s in an infrastructure-rich region just 20 kilometres from Mount Isa.

Last month the company delivered metallurgical results favouring a low-CAPEX, low-cost heap leach processing.

ANSTO Minerals, the independent rare earth metallurgical specialists, have now successfully validated the results.

Phase 1 test work completed by Core Resources showed strong REO extraction with low levels of impurities could be achieved on coarse non-pulverised, reverse circulation chip samples using low levels of sulphuric acid addition at ambient temperature.

Red Metal considers that the slight differences in acid consumption and element extractions between the ANSTO and Core results can be further understood during planned Phase 2 leach test work using coarsely crushed drill core.

This is currently in progress.

Phase 2 work will evaluate the leach responses for a range of size fractions under varying pH conditions and over extended residence times to provide more optimised data for an early-stage mining study.

The deposit is hosted in REO-enriched granite, which is a low-acid consuming rock, and the softer weathered granite in the top 20 metres adds mining and comminution advantages.

Sybella is 12 kilometres long and 3 kilometres wide, open to the north, south and depth, delivering tonnage potential.

The news will continue for Red Metal with a step-out drill program anticipated to begin in early May 2024.

Sybella is showing the processing benefits of clay-hosted ionic deposits without the potential filtration and handling difficulties of clay ore.

The company held $3.4 million of cash at the end of last quarter.

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