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Ionic Rare Earths secures renewed retention licence at Makuutu

ASX-listed, Ionic Rare Earths has announced it has renewed retention licence at Makuutu rare earths project in Uganda.

Makuutu is an ionic adsorption clay (IAC) hosted rare earth element (REE) deposit located 120 km east of Kampala in Uganda and is well serviced by existing high quality infrastructure including roads, rail, power infrastructure and cell communications.

The deposit stretches 37 km in length and has demonstrated potential for a long life, low-cost capital source of magnet and heavy REEs. These IAC deposits are prevalent in southern China which have been the source of the world’s lowest cost magnet and heavy REE production, however these deposits are gradually being exhausted and Makuutu represents one of only a handful of such deposits outside of southern China.

Retention Licence

The firm managed to renew Retention Licence (RL) 00007 for a further two years. RL 00007 covers the Makuutu Western Zone (MWZ) and contains an Inferred Resource of 39 Mt at 470 ppm TREO. RL 00007 is located immediately west of the Retention Licence (RL) 1693, which is currently under Mining Licence.

Application (MLA) and will provide the basis for additional capacity and organic growth at Makuutu once initial mining and processing activity commences. This renewed RL is also immediately south of the prospective exploration target located at EL00257, where applications have been submitted for drilling to commence this year to further define the scale of potential ionic clay mineralisation to the west of the MLA area. Once these new exploration approvals have been granted, the company intends to initiate the Phase 5 drill program at Makuutu to move the resource to an Indicated Resource classification.

“The rapid approval of the renewal of RL 00007, which occurred within 2 weeks of finalising the submission documentation, is another positive reflection of the strong support IonicRE and the Project has within Uganda. As the company, via RRM, finalises the MLA at Makuutu for RL 1693, we remain confident that Makuutu will continue to grow and support a much larger project,” IonicRE’s MD Tim Harrison stated.

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