The deposit is known to contain 6.4 million measured tonnes averaging 2.86% total rare earth oxide (TREO).

The update showed a significant inferred mineral resource of 1.4 billion tonnes at a copper-equivalent grade of 0.67%.

The updated PEA gives Gabbs an after-tax net present value with a 5% discount of $292.2 million and an internal rate of return of 17%.

This was the highest-grade intercept to date.

The company intends to develop a high-margin, long-life, large-scale and low-carbon mine. It will produce a 60% nickel concentrate for direct feed into the stainless steel industry.

The company says its first resource estimate for the Carangas silver-gold project in Bolivia makes it notable worldwide.

The increased tonnage in the indicated resource comes as the inferred resource shrinks to 499,000 oz. of  gold.

The new vein, named Yessi, has a geochemical signature indicating a potentially different phase of mineralization containing a higher gold to silver ratio and low levels of base metals.