American Rare Earths Ltd (ASX:ARR, OTCQB:ARRNF) is moving towards test mining at the Halleck Creek Project in Wyoming, one of North America’s largest deposits of rare earths, and has filed an application with the Wyoming Department of Environmental Quality.
The application for a 'License to Explore for Minerals by Dozing' contemplates two test pits at ARR’s Cowboy State Mine site at Halleck Creek in Albany County, Wyoming.
Test mining will allow the company to procure the necessary volumes of ore to be processed at a pilot processing facility.
Scaling an operable mine
This application, coupled with expedited analytical test-work from the recent drilling campaign, represents the next steps to ARR scaling an operable mine and processing facility for the Cowboy State Mine at Halleck Creek.
The company has also submitted an application for a revised drilling notice at Halleck Creek to permit locations for additional core and reverse circulation holes on state leases at the Cowboy State Mine area.
Not resting on laurels
CEO Donald Swartz says: “As this management team has demonstrated since its arrival last year, we have no intention to rest on one’s laurels.
"I’m looking forward to meeting with investors at PDAC in Toronto, the Battery Venture/Innovations/Partnering conference in Orlando, Florida, followed by meetings with investors in Australia to conclude Q1 2024.
READ: American Rare Earths raises $13.5 million to advance Hallack Creek Project in Wyoming
"The successful placement has allowed us to accelerate work originally contemplated in FY2025 in parallel with the completion of our scoping study due for release this quarter.
"I’m encouraged with the interest shown by new and existing investors under the placement and see it as a real demonstration of confidence and support for our vision to build the next major rare earth company and to play a key role securing supply for the United States.”
The company raised $13.5 million via the strongly supported institutional placement, providing a significant runway to execute on project development milestones to advance the flagship Halleck Creek Project.
Strongly supported
Supported by new and existing institutional, professional and sophisticated investors, both domestically and offshore, the company received firm commitments for the placement of 45 million new fully paid ordinary shares at A$0.30 per share.
Proceeds, together with existing cash, will be used to fund the continued development of the Halleck Creek project.
Specifically, this will include mineral resource and extensional drilling, pre-feasibility study (PFS), metallurgical test work and process development, heritage/permitting/environmental activities and for general working capital purposes.
Tests to follow scoping study
A JORC-compliant scoping study for Halleck Creek is on track for release this month and this is expected to be followed by test-work.
Sepro systems has been supplied with Halleck Creek core material to perform separation test-work using spiral separators and Falcon concentrators at various sizes and specific gravities.
This test-work will build upon previously announced gravity separation results performed by the University of Kentucky.
Test-work for high pressure grinding rolls along with detailed spiral and concentrator test-work is in the final stages of planning.