Australia's Barkly Rare Earths Spins Drill Rods at NT Project

ASX-listed Barkly Rare Earths kicks off a massive 10,000-metre drilling campaign in the Northern Territory, aiming to significantly expand its existing 40-million-tonne rare earths resource.

Drill Rig Spins to Life in NT Rare

Earths Quest The remote outback of the Northern Territory is abuzz with activity as ASX-listed Barkly Rare Earths commences a massive drilling campaign at its flagship project. The company's drill rig, mobilised from Cobar in NSW, is now on-site and preparing to punch the first of 400 holes, averaging 25 metres deep, in a quest to expand its existing 40-million-tonne rare earths resource.

'Paydirt Potential' Unlocked

The drilling program, a significant milestone for the company, marks the first major field test for Barkly since its listing on the ASX in January following a heavily oversubscribed $8 million float. 'Commencing drilling is an exciting and important milestone for Barkly,' said Craig Wright, Managing Director of Barkly Resources. 'We're unlocking the paydirt potential of our flagship project.'

Soft Rock Setting a Bonus

What makes the company's project compelling is not just its potential scale, but the nature of its geology. The deposit is hosted in near-surface, weathered quartz sandstone, a 'soft rock' setting that is typically simpler and cheaper to handle than hard rock deposits. Adding to the project's appeal is its high 34 per cent proportion of valuable magnet rare earth oxides (MREO), coupled with notably low levels of the radioactive elements uranium and thorium, which can often complicate processing, permitting and project development.

Exploration Target a Glimpse of Blue-Sky Potential

The company has previously tabled a massive exploration target for the project of between 200 million and 1 billion tonnes, grading between 1600 and 1900 ppm TREO. Whilst conceptual in nature, it gives a sense of the blue-sky potential management is chasing with this campaign.

Grants Fuel Drill-Out

Barkly has also received two recent grants of $115,000 each awarded under the Northern Territory's Geophysics and Drilling Collaborations program, providing a boost to the company's coffers.

Secondary Asset Advancing

While the drill rig spins at the rare earths play, Barkly has also been advancing its secondary asset, the Buntine base metals project, east of Halls Creek. Fieldwork at Buntine is now complete, with samples submitted for assay and results expected in the current quarter.

Partners to Earn 75% Interest

The company has also locked a savvy partnering deal with fellow ASX-listed explorer DevEx Resources to advance its Murphy West project in the NT. By spending $3.5 million over five years, DevEx can earn up to a 75 per cent interest in the project's uranium rights.

Drill-Out to Unveil Lateral Expansion

The current resource is defined within two optimised pit shells. However, drilling between these two areas previously intersected rare earths, hinting at the potential for significant lateral expansion across an intervening 20-kilometre corridor, coined the Immediate Zone, which will be the focus of the new drill-out.

News Flow Set to Pick Up

With the drill rig rods now spinning, the company has flagged a consistent stream of news flow through the second half of the year, including further metallurgical test work and modelling, follow-up exploration at Buntine, and a mineral resource update scheduled for December.

Punters Buckle Up

With more than $7 million in cash in the bank, government backing and drills actively spinning on a potentially transformative program, Barkly has set the stage for an action-packed second half. Punters should buckle up for a steady stream of news as the explorer charges towards the festive season.