REG - Cobra Resources PLC - New Tenement Granted

Cobra ResourcesAnnouncement

23/09/2024 07:00

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RNS Number : 1138F  Cobra Resources PLC  23 September 2024

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF
REGULATION 2014/596/EU WHICH IS PART OF DOMESTIC UK LAW PURSUANT TO THE MARKET
ABUSE (AMENDMENT) (EU EXIT) REGULATIONS (SI 2019/310) ("UK MAR"). UPON THE
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CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION.

 

23 September 2024

 

Cobra Resources plc

("Cobra" or the "Company")

 

New Tenement Granted

 

Expanding dominant regional landholding to support ionic rare earth and
uranium development at scale

 

Cobra (https://cobraplc.com/) (LSE: COBR)
(https://www.londonstockexchange.com/stock/COBR/cobra-resources-plc/company-page)
, the mineral exploration and development company advancing a potentially
world-class ionic Rare Earth Elements ("REEs") discovery at its Boland Project
in South Australia, is pleased to announce that the Company has further
expanded its palaeochannel landholding through the granting of Exploration
Licence 7009 ("Yellabinna"), a significant landmass covering 954km(2) of a
highly prospective region of the Narlaby Paleochannel.

 

To view this announcement on Cobra's Investor Hub, and submit any questions
you might have, visit: https://investors.cobraplc.com/link/weYJ4r
(https://investors.cobraplc.com/link/weYJ4r)

 

Highlights:

 

·    Increased ground position further establishes Cobra as the largest
holder of prospective palaeochannel geology within the mineral-rich Eyre
Peninsula, South Australia

 

·    Adds massive scale potential to Cobra's Boland ionic REE discovery,
with over 2,000km(2) of mapped palaeochannel geology within the Company's
5,200km(2) Eyre Peninsula tenure - ultimately supporting a pathway (subject to
continued exploration success) to a massive, multi-generational resource
development opportunity

 

·    Previous exploration at Yellabinna defined extensive spatial
occurrence of the Padinga formation, the same unit that hosts ionic REEs at
Boland

 

·    REEs and uranium are sourced from similar source rocks and accumulate
in palaeosystems under different chemical conditions, therefore the presence
of elevated uranium is a positive indication of enriched REEs and provides a
potential additional important mineral asset to Cobra

 

·    Sparse historic drilling has intersected roll-front uranium
mineralisation with grades up to 203 ppm U(3)O(8)

 

·    EL7009 lies less then 3km directly north of IsoEnergy's (ISO.CVE)
Yarranna Uranium Prospect which incorporates four defined roll-front uranium
prospects that contain roll-front grades up to 0.35% U(3)O(8)

 

Cobra has made a regionally scalable ionic rare earth discovery where high
grades of valuable Heavy Rare Earths ("HREOs") and Magnet Rare Earths
("MREOs") occur concentrated in a permeable horizon confined by impermeable
clays. This unique geology is amenable to ISR which has been successfully used
for decades to recover uranium from geologically similar systems in South
Australia. Cobra is working to demonstrate that, with modification, ISR
techniques will enable non-invasive and low-cost production of critical REEs
from its Boland discovery. Bench scale metallurgical test work to date is
supporting this model with exceptionally high recoveries with low impurities
and low acid consumption.

 

Land Tenure Strategy

 

·    Cobra is focused on demonstrating that the Boland Project is a
strategic source of HREOs that can operate in the lowest cost quartile of
global REE production and will proceed to commence defining an ionic REE
resource of significant scale

 

·    Cobra is also considering strategies to advance its uranium assets
whilst the focus is maintained on REEs at Boland. This includes exploring
partnerships for uranium rights

 

Rupert Verco, CEO of Cobra, commented:

 

"Being the first to discover palaeochannel hosted REEs has provided Cobra with
a first-in-market advantage and allowed us to establish the dominant
landholding of palaeochannel geology on the Eyre Peninsula. Our tenement is
almost twice as big as Georgia - the country - and therefore we are well
positioned to define a resource of global significance.

 

EL7009 complements our REE strategy and enables us to add more prospective
uranium geology to our portfolio in an area where uranium mining operations
have proven successful. We are working to secure the best outcome for our
shareholders to advance these assets whilst keeping our eyes on the rare earth
prize.

 

We are well placed to define a resource of massive scale, with re-assays
confirming REE mineralisation across our landholding which, in turn, de-risks
follow-up drilling. Our metallurgical tests are nearing completion and, once
finalised, we will be looking to expediate resource drilling to define a
scalable resource capable of supporting a multi-generational mine life.

 

We have a great opportunity to deploy the low cost, low disturbance in situ
recovery mining method at our projects, and we are well advanced in
demonstrating the significant economic benefits it presents. We look forward
to updating the market on the final results of our ISR bench scale testwork in
due course."

 

Figure 1: Cobra's Western Eyre Peninsula tenements including granted EL7009

 

 

Enquiries:

 

 Cobra Resources plc                           via Vigo Consulting

 Rupert Verco (Australia)                      +44 (0)20 7390 0234

 Dan Maling (UK)

 SI Capital Limited (Joint Broker)             +44 (0)1483 413 500

 Nick Emerson

 Sam Lomanto

 Global Investment Strategy (Joint Broker)     +44 (0)20 7048 9437

 James Sheehan                                 james.sheehan@gisukltd.com

 Vigo Consulting (Financial Public Relations)  +44 (0)20 7390 0234

 Ben Simons                                    cobra@vigoconsulting.com

 Kendall Hill

 

The person who arranged for the release of this announcement was Rupert Verco,
Managing Director of the Company.

 

About Cobra

 

In 2023, Cobra discovered a rare earth deposit with the potential to re-define
the cost of rare earth production. The highly scalable Boland ionic rare earth
discovery at Cobra's Wudinna Project in South Australia's Gawler Craton is
Australia's only rare earth project amenable for in situ recovery (ISR) mining
- a low cost, low disturbance method. Cobra is focused on de-risking the
investment value of the discovery by proving ISR as the preferred mining
method which would eliminate challenges associated with processing clays and
provide Cobra with the opportunity to define a low-cost pathway to production.

 

Cobra's Wudinna tenements also contain extensive orogenic gold mineralisation,
including a 279,000 Oz gold JORC Mineral Resource Estimate, characterised by
potentially open-pitable, high-grade gold intersections.

 

Regional map showing Cobra's tenements in the heart of the Gawler Craton

 

 

Follow us on social media:

 

LinkedIn: https://www.linkedin.com/company/cobraresourcesplc
(https://www.linkedin.com/company/cobraresourcesplc)

X (Twitter): https://twitter.com/Cobra_Resources
(https://twitter.com/Cobra_Resources)

 

Engage with us by asking questions, watching video summaries and seeing what
other shareholders have to say. Navigate to our interactive investor hub here:
https://investors.cobraplc.com/ (https://investors.cobraplc.com/)

 

Subscribe to our news alert service:
https://investors.cobraplc.com/auth/signup
(https://investors.cobraplc.com/auth/signup)

 

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