IMC Rare Earths Ltd (NYSE: IMC) shares lost badly Thursday after announcing two high-grade yttrium-rich discoveries at its Itarantim ionic adsorption clay rare earth project in Brazil. The results include a shallow, seven-meter intersection at Block H and a 13-meter intersection at Block D that remained mineralized when drilling stopped. The findings are exploration-stage results; further drilling and metallurgical work are required to establish their extent and commercial potential.
"Yttrium accounts for more than a third of the rare earth oxides in the Block H interval," said CEO Frank Scolaro. "This discovery could shape the product we ultimately seek to produce, adding yttrium to the group of rare-earth metals at Itarantim, alongside dysprosium and terbium.
“Yttrium is used in semiconductor equipment, aerospace components, lasers and advanced ceramics, making these discoveries relevant to efforts to diversify critical-mineral supply chains. Our job now is to establish how far these zones extend and confirm their extraction performance through further testwork."
Representative material will be collected for metallurgical testwork at ANSTO in Australia, and leach testwork on this material will provide a direct measure of yttrium extraction from the high-grade zones.
IMC shares let go of 64 cents, or 5.8%, to $10.47.
