Foran upsizes placement to $263m for Saskatchewan projects
The proceeds will primarily go to the McIlvenna Bay copper and Bigstone copper-zinc projects.
Resouro Strategic Metals (TSX-V: RSM)(ASX: RAU), one of the newest companies to tap into the Brazilian rare earths market, has published a maiden near-two-billion-tonne resource estimate for its Tiros titanium and rare earth elements project in the country’s Minas Gerais state.
The resource estimate sits at 1.7 billion tonnes grading 3,900 parts per million (ppm) total rare earth oxides (TREO), containing 1,100ppm magnet rare earth oxides, and 12% titanium dioxide.
The Canadian junior, which kicked off trading on the ASX in June, said the estimate included a high-grade section of 120 million tonnes at 9,000ppm TREO, containing 2400ppm MRE and 23% titanium.
The mineral resource estimate for the Tiros project positions it as one of the world’s largest undeveloped resources of its kind.
Tiros measured and indicated portions of the resource comprise one billion tonnes at 4050ppm TREO containing 1120ppm MREO and 12% titanium.
According to Resouro, the figures place the Tiros project as “one of the largest undeveloped titanium and rare earth resources globally.”
“We consider that the average resource grades of 3900 ppm TREO 1100 ppm MREO and 12% of TiO2 are well above average for this style of deposit,” RAU chief executive Chris Eager said in a statement.
“We have defined a very substantial resource over just 7% of the land area of the project,” he noted.
Instead of pursuing potential expansions at this stage, Resouro will now focus on infill drilling to support mine planning and feasibility studies. The Toronto-based firm aims to complete a preliminary economic assessment (PEA) of Tiros by the end of the year.
Resouro holds, through its Brazilian subsidiary, a 90% interest in the project. The remaining 10% interest is held by RBM Consultoria Mineral Eireli, an unrelated third-party vendor.
Shares in the company rallied on the news, closing 13.4% higher in Sydney at A$0.55 each. The stock was up 11.3% in Toronto early afternoon at C$0.45 each. That leaves Resouro with a market capitalization of C$41.09 million ($30 million).
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