Askari Metals discovers rare earth potential at the Barrow Creek Lithium Project

Rare earths potential is gathering momentum at Askari Metals' (ASX: AS2) 100% owned Barrow Creek Lithium Project, located in the Arunta Pegmatite Province of Central Northern Territory. 

Recent fieldwork has targeted an area in the south-central part of the Barrow Creek Project, seeking to gain more traction following a successful rock sampling program in January, which returned significant total rare earth oxides (TREO) of up to 4,553 ppm.

“The Barrow Creek Project still has a lithium focus, but we will now widen our radar to include rare earth elements here as well,” said Johan Lambrechts, VP of Exploration and Geology.

Uncovering rare earths potential 

The field program rolled out several early-stage activities such as geological mapping, and rock chip and soil sampling over the defined anomaly area. Some of the key findings included:

• Sample results were clustered around two large granite outcrops.

• Other samples with elevated results above 500 ppm were found further away from the cluster, signifying “the potential for enlarging the REE mineralised footprint through follow-up phases of work”. 

Askari notes that these anomalies are occurring ‘within discrete structural corridors’, interpreted to cover a strike length between 1.5 to 2.0 kilometres, based on current assay dataset analysis. 

“The highly anomalous REE results are very encouraging, especially at a time when the world is facing REE supply deficits and supply chain issues,” Askari said in a statement.

Recent milestones 

Last week, Askari attracted a $2.5 million investment from China’s Huayou International – a global lithium battery and cobalt supplier with a market cap of approximately US$13 billion.

The investment was via a subscription for 4.5 million shares at an issue price of 55 cents per share, representing a 10% premium to the stock’s last close (before the announcement). 

Askari continues to make progress on several fronts outside of Barrow Creek, including:

• Recent acquisition of Namibian Lithium Project, with plans to commence a Phase II RC drilling program in 1Q23.

• Expanding Eastern Pilbara lithium portfolio with the acquisition of the Talga East and Hillside Lithium Projects in WA.

• Early-stage exploration activities at the Myrnas Hill and Hillside Lithium Projects. 

• RC drilling at the Burracoppin Gold Project in WA .

Disclaimer: Market Index helps small-cap ASX-listed companies connect with Australian investors through clear and concise articles on key developments. Askari Metals was a client at the time of publishing. All coverage contains factual information only and should not be interpreted as an opinion or financial advice.