American Rare Earths reckons it’s found a new REE deposit in the USA

American Rare Earths’ (ASX:ARR) exploration team picked up 118 new mining claims in Wyoming on Tuesday, chasing after what it believes to be a new Rare Earth Element (REE) project. 

Company shares were up 6% in the first hour of trade.

The potential deposit is in the Halleck Creek District (HCD) where the company has been having success since July last year. The company first completed its maiden drill run at HCD in May 2022. 

Since moving into HCD in 2021, the company now sits on a total of seven different project areas.

Expanding project size 

The 118 new claims picked up on Tuesday grew the HCD project to 8,165ha, reflecting acreage growth of 147%. 

“The district has now grown to an area of about 5 miles (8 km) wide and 5 miles (8 km) long,” company CEO Chris Gibbs said. 

ARR will get straight to work on establishing a JORC-compliant Mineral Resource Estimate (MRE) at the Overton and Red Mountain project areas. 

“This new area is larger than the current 1.01 to 1.27 billion exploration target announced to market on 1 September 2022,” the company noted.  

Low radioactivity bonus 

“What also makes Halleck Creek unique is the extremely low thorium and uranium penalty elements so often associated with rare earth projects,” company President for North America Melissa Sanderson said. 

“This means less harmful chemicals during processing and not having to dispose of radioactive waste,” she added. 

REEs typically coincide with radioactive materials including uranium, thorium, and monazite. For this reason, Australia’s nuclear regulator is actually tasked with conducting REE assay preparation. 

Works are planned for when snow begins to clear in Spring, which typically starts in late March in the US.

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