Highlights

• Ark Mines continues to advance ongoing work at its 100% owned Sandy Mitchell Project in North Queensland.
• In December 2023, AHK concluded the second phase of its drilling program.
• Mineralisation encountered in sand from surface to the metamorphic bedrock averaged 12.9m in depth with the deepest hole being 25.5 m of sand above bedrock.
• AHK is planning stage 3 and 4 of drilling in this financial year at Sandy Mitchell.

Ark Mines Limited (ASX: AHK), an Australian mining company listed on the ASX exchange, focuses on acquiring and exploring mining projects. In their recent half-year report for the period ending December 31, 2023, Ark Mines highlighted their progress on the Sandy Mitchell Rare Earth and Heavy Mineral Project. This 147km² project, located in North Queensland and fully owned by Ark Mines, has been their primary focus.

Timeline of developments at Sandy Mitchell in the half-year

Ark Mines kicked off their drilling program at the Sandy Mitchell project site in July 2023, followed by initial analysis of the collected samples. By October, they received promising results from the first phase. The assays revealed an average grade of 503.5ppm for TREO (Total Rare Earth Oxides) along with Yttrium and Scandium, with peak grades reaching 1175.4ppm per meter.

AHK successfully completed the second phase of its drilling program in December 2023. They discovered mineralisation in sand at an average depth of 12.9 meters, with the deepest point reaching 25.5 meters of sand above bedrock. Additionally, the company drilled and installed water monitoring bores to comply with environmental regulations.

Looking ahead, AHK plans to conduct stages 3 and 4 of drilling later this financial year. To ensure responsible development at Sandy Mitchell, they have engaged ecologists to conduct further environmental studies.

Path forward

Throughout the latter half of 2023, Ark Mines Limited (AHK) focused on advancing the Sandy Mitchell project towards production. They aimed to convert the data from the initial drilling phases (1 & 2) into a mineral resource estimate. Additionally, they have planned the next stages of drilling (phases 3 & 4) alongside comprehensive metallurgical studies.

AHK is confident in the project's potential due to the promising characteristics of the rare earth placer sand deposit. Assay results and ongoing metallurgical studies suggest a unique deposit amenable to a simple and cost-effective approach. This includes surface-to-12-meter mining of the sands in North Queensland, followed by gravity processing and commercialisation. The project's strength lies in its ability to extract both rare earths and heavy minerals.

AHK shares traded at AU$0.14 apiece on 20 March 2024.