REG - Altona Rare Earths - Operational Update

Altona Rare EarthsAnnouncement

19/02/2024 07:00

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RNS Number : 5819D  Altona Rare Earths PLC  19 February 2024

19 February 2024

 

 

ALTONA RARE EARTHS PLC

("Altona" or "the Company")

 

 

OPERATIONAL UPDATE

 

Altona (LSE: REE), a resource exploration and development company focused on
Rare Earths in Africa, is pleased to provide an operational update on its
Monte Muambe Rare Earths project and on other activities.

 

Monte Muambe

 

As previously announced, Prefeasibility Study activities for Monte Muambe are
underway and currently focused on advanced metallurgical testing. A 70kg
representative ore sample is with Auralia Metallurgy in Perth (Australia), and
another 100kg ore sample has been received by SGS Lakefields in Canada. The
sample with SGS Lakefields will first undergo extensive feed characterisation
including Electron Microprobe Analysis and TIMA-X analysis. TIMA-X stands for
Tescan Integrated Mineral Analyzer and is a one of the newest automated
mineralogy technologies. It is designed to provide quantitative mineral
speciation and distribution, as well as characterisation, grain size
attributes, degree of liberation and associations of minerals of interest.

 

Following feed characterisation, metallurgical test work will initially focus
on producing a high-grade Rare Earth concentrate in order to improve the
economics of the Mixed Rare Earth Carbonate production process. The possible
separation and recovery of fluorspar, another critical raw material present in
the ore at Monte Muambe, will also be assessed. Flotation test results are
expected in Q2 2024.

 

Separation of the 15 Rare Earths present at Monte Muambe from their ore, with
a focus on Neodymium, Praseodymium, Terbium and Dysprosium, is a complex
process. Metallurgy is a critical component of rare earths projects
development. Beside process design and costing, key outputs will also include
products specifications to enable discussions with potential off-takers.

 

Portfolio Expansion and Diversification

 

Altona attended a very busy Mining Indaba event in Cape Town in early February
and was pleased to note the general optimism in the mining industry in Africa,
as well as the tangible interest of Western Governments to support the
development of critical raw material sources. Altona had fruitful meetings
with representatives of several US Government agencies with respect to Monte
Muambe.

 

Additionally, the Board of Directors has undertaken a careful and thorough
review of the Company's corporate strategy. As Monte Muambe is advancing,
Altona recognises that the time is right for the Company to expand and
diversify its portfolio of projects in Africa, including Rare Earths, but also
non-Rare Earths critical raw materials such as copper, lithium and niobium.
The Company is therefore currently actively assessing potential new
opportunities with a focus on projects having a low-entry cost with a clear
pathway to early results and to majority ownership.

 

Cedric Simonet, CEO of Altona, commented: "To complement Monte Muambe, we are
looking to build a balanced portfolio of carefully selected critical raw
materials projects across different African countries. We believe this will
improve Altona's risk profile and strengthen the Company's value proposition
for its shareholders.

 

"Operating several projects, within the management team's capacity and without
increasing significantly our overheads, will enable the Company to maintain a
higher proportion of money-in-the-ground, as well as to build more resilience
and a stronger news flow.

 

"I am excited by the opportunities we are creating, and I am looking forward
to a transformative 2024 for Altona."

 

This announcement contains information which, prior to its disclosure, was
inside information as stipulated under Regulation 11 of the Market Abuse
(Amendment) (EU Exit) Regulations 2019/310 (as amended).

 

To subscribe for RNS alerts, please visit:
https://www.altonare.com/investors/regulatory-news-alerts/
(https://www.altonare.com/investors/regulatory-news-alerts/)

 

-ends-

 

Altona Rare Earths Plc

Cedric Simonet,
CEO
+44 (0) 7778 866 108

Christian Taylor-Wilkinson, Business
Development
+44 (0) 7795 168 157

 

Novum Securities Ltd (Corporate
Finance)
+44 (0) 20 7399 9400

David
Coffman

Daniel Harris

 

Allenby Capital Ltd (Joint
Broker)
+44 (0)20 3328 5656

Kelly Gardiner / Guy McDougall (Sales)

Nick Athanas (Corporate Finance)

 

Optiva Securities (Joint
Broker)
+44 (0) 20 3411 1882

Daniel
Ingram

 

About Altona Rare Earths Plc

 

Altona is a resource exploration and development company focused on Rare
Earths in Africa. The Company is listed on the Main Market of the London Stock
Exchange.

 

Rare Earths are a group of 17 chemical elements, many of which are critical to
the World's ongoing transition from carbon-based to renewable energies, and to
the defence and communication sectors.

 

The Company is currently developing Monte Muambe, its flagship Magnet Rare
Earths Project, located in Northwest Mozambique. The Project was acquired in
June 2021, and the Company has so far drilled over 7,800m, and defined a
maiden JORC Mineral Resource Estimate of 13.6 million tons at 2.42% TREO. A
Competent Person Report including the Scoping Study for Monte Muambe was
published on 18 October 2023. The Project is now at Prefeasibility Study
stage, with a focus on metallurgical testing and process.

 

Altona is presently assessing new critical raw material projects acquisition
opportunities, including both Rare Earths and non Rare Earths projects.

 

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