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Staff Writer

Encounter Resources Ltd (ASX: ENR) has confirmed a thick zone of high-grade, niobium-REE mineralisation in the first diamond tail assays at the Crean target in the West Arunta region of WA.

The niobium-REE mineralisation intersected at Crean extends significantly in the diamond tail of EAL008,” Managing Director Will Robinson, said.

“Assays results from the easternmost hole, EAL007, are due back in September 2023. The carbonatite mineralised system is thickening and becoming more coarse-grained to the east and it remains unconstrained.

“A follow up RC drill programme is on track to commence in August 2023.”

Background

The 100% owned Aileron project covers 1,765 sq. km2 and is located in the West Arunta region of WA, ~600km west of Alice Springs. Encounter completed large gravity, magnetic and radiometric surveys at Aileron which defined three initial drill targets at Caird, Crean and Hoschke.

In May-June 2023, a diamond (with RC pre-collar) drilling program at Caird, Crean and Hoschke was completed.

The first diamond hole (EAL001) at Hoschke intersected a niobium-REE mineralised carbonatite dyke over a downhole length of 16m, within the Elephant Island Fault corridor.

Two additional diamond holes at Crean (EAL007 and EAL008) were added to the programme following observations of the core from EAL001.

In addition, a preliminary mineralogical assessment on a sample from EAL008 has confirmed that the main niobium-bearing mineral identified in the carbonatite is interpreted to be coarse grain pyrochlore. The coarse grain size could be advantageous for metallurgical separation. Preliminary metallurgical testing will commence in September 2023.

Next Steps

  • Assays for the diamond tail of EAL007 (from 69m) which intersected 282m of carbonatite from 64m to end of hole at 346m are expected in early September 2023
  • An 80-100 hole RC drill program will commence in August 2023 which includes:

– drilling to extend the shallow, high-grade niobium-REE mineralisation at Crean;

– drilling of the Hurley and Wild targets located east of Crean; and

– drilling at the Green target north of WA1 Resources’ Luni niobium-REE discovery.

  • Initial metallurgical testing will commence in September 2023
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