Australia’s only proven ionic clay hosted rare earth deposit in the south east of South Australia has been bolstered by a significant upgrade.
Australian Rare Earths (AR3) today announced via the ASX a 25 per cent increase in the resource, taking it to over 100 million tonnes of clay hosted resources of which total contained rare earth oxide is 80,000 tonnes.
This has strengthened AR3’s plans to establish its Koppamurra project as the location for long term production of rare earths, creating generations of jobs and investment in South Australia.
AR3’s Koppamurra project includes exploration tenure of 4,000 square kilometres in South Australia and Victoria. The company has been granted five exploration leases and so far, a program of 4,300 drill holes has been undertaken, at an average depth of 10 metres.
Results have established Koppamurra as a globally significant critical rare earths deposit. These rare earths are vital in the production of electric vehicles and wine turbines as we move towards a more sustainable world.
The western world is seeking an independent sustainable supply of rare earths, opening the door for Koppamurra to participate in the diversification of the international critical minerals supply chain. The production of rare earths from Koppamurra and further downstream processing of them would strengthen Australia’s sovereign capability.
AR3 is now moving towards applying to the State Government for a mining lease (ML). In preparing the application a range of extensive studies are being undertaken including:
- Environmental studies focusing on groundwater, soils and geochemistry, air quality, ecology, flora and fauna and cultural heritage.
- Specialist studies on noise and vibration, traffic and transport.
- Economic studies on benefit to the local, state and national economies.
As part of the ML application process, AR3 has established the Koppamurra Landholder Reference Group to share information and seek feedback on the project with key stakeholders including landowners, forestry, viticulturalists and local government agencies.
AR3 Managing Director Rick Pobjoy said the company is undertaking a range of environmental, economic and technical studies alongside extensive community consultation.
“We believe there is the potential to establish a whole new industry for South Australia that will create high skilled, high paid jobs and economic growth for generations to come,” said Mr Pobjoy.
“We want to put Australia on the map as championing world-leading innovation and standards in the mining of rare earths which are critical to the energy transition.
“The 25% upgrade of our resource to more than 100 million tonnes is an exciting development for South Australia with global significance. It means that we now have the potential to grow a new industry for decades to come.
“We are in the early stage of our journey in the application for an ML. We have completed baseline studies and now we are undertaking impact studies. If we are granted a mining lease we expect to generate jobs for up to 200 workers in phase one of the operation.
“We are committed to the local community as we add another revenue stream to the region. This has the potential to be a major contributor to the South Australian economy.
“We are already investing in education locally, by supporting the study of rare earths as part of the curriculum in local schools, and we’re investing in world-leading research. We want local kids leaving school to have more opportunity to stay and work in their community.
“We have established strong relationships with landowners, local businesses, local government, residents, schools and community groups and continue to work collaboratively.”
AR3 will continue to extend its exploration activities across its extensive exploration tenure and complete studies to support the development of a mining lease application for submission to the Department for Energy and Mining.
