Axel REE Limited (ASX:AXL) Identifies Significant Gallium Mineralisation

Gallium Mineralisation Insights

Axel REE Limited (ASX: AXL) has announced the discovery of significant Gallium (Ga₂O₃) mineralisation at its flagship Caladão Project in the Lithium Valley, Brazil, during a review of Phase One drill program assays. The results indicate high-grade mineralisation near the surface, crucial in light of recent supply constraints due to China’s export bans on Gallium.

Drilling Results

The Phase One drill program revealed high-grade intercepts, including samples yielding up to 124g/t Ga₂O₃. Significant results include multiple drilling intersections such as 6m @ 71 g/t Ga₂O₃ from CLD-AUG-109 and 14m @ 77 g/t Ga₂O₃ from CLD-DDH-005. The mineralisation trend suggests widespread and continuous Gallium mineralisation across approximately 30 square kilometres of the drilled area, comprising only about 10% of the total project target area.

Strategic Importance and Future Outlook

Managing Director Dr Fernando Tallarico expressed optimism regarding the findings, stating, “Significant Gallium concentrations have been identified, which are strategically critical for the semiconductor and military defense industries.” He highlighted the economic potential linked to the shallow mineralisation and emphasized Brazil’s position as a key supplier of critical minerals.

Project Advancement

Ongoing work continues with a comprehensive drilling campaign currently underway, involving a total of 217 drill holes and 3,606 metres drilled in targeted areas. Further assays are expected to return in batches throughout December 2024 and early 2025, underpinning the potential for a notable REE resource development at Caladão.

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Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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