St George Mining Limited (ASX:SGQ) Starts Major Drilling at Araxá Project
Major Drilling Campaign Underway
St George Mining Limited (ASX:SGQ) has commenced a major 10,000m drilling campaign at its Araxá Project in Minas Gerais, Brazil. The inaugural drill program will span 12 to 16 weeks and include auger, reverse circulation (RC), and diamond drilling. The campaign aims to grow the Araxá resource, with mineralisation open in all directions and significant mineralisation below 100m from the surface not yet included in the current Mineral Resource Estimate (MRE).
High-Grade Mineralisation
The Araxá Project currently boasts a JORC-compliant MRE of 40.64Mt @ 4.13% TREO and 41.2Mt @ 0.68% Nb₂O₅. Drilling will target the expansion of high-grade zones, with past results showing intercepts up to 8% Nb₂O₅ and 33% TREO. Over 500 intercepts of high-grade mineralisation have been identified from surface, highlighting the potential for substantial resource growth.
Magnetic Survey
In addition to drilling, a high-resolution airborne magnetic survey is set to begin next week. This survey will cover the entire project area, aiming to identify and prioritize further rare earths and niobium targets for subsequent drilling. The magnetic data will refine the geological model and support the broader strategy to expand the mineral resource base.
Executive Comments
John Prineas, Executive Chairman of St George Mining, stated, “We are delighted to have started our first phase of drilling at the Araxá Project. The Project has already delivered more than 500 intercepts of high-grade rare earths and niobium from past drilling, and we expect to add significantly to this tally by the time we complete our 10,000m drilling campaign. It promises exciting newsflow of results over the coming weeks and months.”
Future Outlook
The Araxá Project is strategically positioned to deliver sustained value for St George shareholders, especially as global economies seek to establish new supply chains for critical metals. With mineralisation starting from the surface and being free-digging, the project supports a potential low-cost open-pit mining operation in an established mining region with strong ESG credentials.
Motley Fool contributor Kiarra Jackson 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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