The infill drilling will enable the targeting of metallurgical testwork and assist with early-stage mining proposals.

Red Metal is also conducting ongoing bottle roll and column leach tests using weak sulphuric acid across extended residence times to optimise its metallurgical testing outcomes. The company’s previous metallurgical testwork gave the go-ahead for a spend on expensive drill programs that may lead to a potential mining operation.

Management says the granite-hosted soft ore that appears to be abundant in its ground can offer simple crushing and processing options that are expected to provide an economic edge to the project.

Red Metal has not been shy in past months in describing its promising project as both “globally unique” and a “metallurgical nirvana”. It believes it is “all about the ore” because of the advantages offered by the soft, soluble rare earths that can be easily extracted using a low-acid solution.

Management adds there are many advantages that come with the soft ore, ranging from the relatively simple and time-saving crushing process, to reduced processing costs from energy savings, low impurity levels after leaching and no requirement for an expensive hydrometallurgical plant for extreme heating and cracking of the ore.

A recent positive for Sybella’s potential has come via a lift in the US dollar price for the in-demand NdPr magnet oxides, with an increase in the past four weeks from near US$53,000 (AU$79,500) per tonne to more than US$59,000 (AU$88,600) per tonne today, according to Shanghai Metals Market pricing.

With the latest assays demonstrating the potential scale of the magnet rare earths at the project’s site, Red Metal will be keeping a watchful eye on the improving price outlook as it assesses the value of its operation.

Is your ASX-listed company doing something interesting? Contact: mattbirney@bullsnbears.com.au