Materials

Rare earths present across 3km target at Dreadnought’s WA Yin project

Mon 25 Jul 22, 12:23pm (AEST)
An auger drill bit pictured sinking into gravel-like rock
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Key Points

  • RC drilling has intersected rare earths mineralisation at the Yin prospect, part of Dreadnoughts’ 100% owned WA Mangaroon acreage
  • JORC Resource for Yin-Mangaroon expected in December
  • 66 new targets currently unexplored being assessed internally

Dreadnought Resources’ (ASX:DRE) share price is up 11.7% in morning trades as the company reports 87% of drillholes sunk on-site have hit rare earth minerals. 

Specific assay results are not yet available for investors to peruse, however, the company intends to translate the commercial potential on-site. 

In short, by nature of how far apart each drillhole completed so far is, Dreadnought is confident that rare earths are present on-site over a 3km distance. 

The Gascoyne exploration project is one of Dreadnought’s three main projects (all WA-based) and prospective for nickel, copper, and platinum group elements. 

Yin is 100% owned by Dreadnought. A second project at Mangaroon is a JV structure alongside private player Quantum Minerals. 

While this might not mean much for investors at this early stage, it does suggest a move to production at Yin will likely see Dreadnought take in higher profits in the future. 

87% of RC exploration drillholes hit REEs 

It’s worth noting that in the absence of assay results (laboratories across WA are seeing delays,) Dreadnought is reporting 58 of 67 (87%) drillholes targeting thick ironstones have intersected mineralisation.

Assays are expected to be delivered later this month. 

Those results will allow Dreadnought to publish its maiden JORC Resource estimate for the Yin project, due December. 

The Y3 prospect on-site Yin is tilted for further drilling next month, along with five separate carbonatite targets. Carbonatite deposits are the most common sources of host rock for rare earths niobium and zirconium, among others.

“Drilling at Yin continues to exceed expectations,” Dreadnought managing director Dean Tuck said. 

“Once drilling at Yin is complete, the rigs will move to Y3 and C1-C5 to test additional REE targets.” 

“We are seeing genuine scale here with runs already on the board and 66 further anomalies recently identified.” 

What should investors be looking out for?

Dreadnought has a busy few months coming up.

Investors would be well advised to keep an eye on the following developments:

July

  • Quarterly activities and cashflow report

  • Initial REE assay results from Yin

August

  • Progress update on drilling at Yin

  • RC assay results from carbonatite drilling

 

Investor interest in Dreadnought is clear on the company's three month charts. Is this REE explorer the next big thing?
Investor interest in Dreadnought is clear on the company's three month charts. Is this REE explorer the next big thing?

 

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Written By

Jonathon Davidson

Finance Writer

Jonathon is a journalism graduate and avid market watcher with exposure to governance, NGO and mining environments. He was most recently hired as an oil and gas specialist for a trade publication. Email Jon at [email protected].

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