American Rare Earths secures another high-grade US project near Mountain Pass in Nevada

American Rare Earths Ltd (ASX:ARR) has secured 100% of the Searchlight Rare Earth Elements (REE) Project, which is made up of 80 contiguous unpatented lode mining claims and covers 1620 acres in the mining-friendly state of Nevada. This new high-grade REE exploration project is near the USA’s only operating rare earth mine operated by MP Materials Corp, Mountain Pass, and is likely to complement the company’s flagship La Paz project in Arizona. Searchlight consists of 80 contiguous unpatented lode mining claims prospective for rare earth elements and totalling 1620 acres. It was staked by the company in early 2021. One sample collected contains high levels of heavy REE and magnetic REE, including a total REE of 14,800 parts per million (ppm) or 1.48% REE. Complements existing project American Rare Earths managing director Keith Middleton said: “The company is delighted to be adding the high-grade Searchlight REE Project to its portfolio of rare earth assets as a complement to the company’s existing flagship La Paz Rare Earths Project in Arizona. “The historical data and new sampling results, which confirm the high-grade opportunity of the Searchlight Project, makes this an extremely attractive acquisition. “In addition, the proximity of the project to the only integrated operating and processing rare earth mine in the USA, the Mountain Pass mine, and the project’s unique positioning within the friendly mining jurisdiction of the State of Nevada, further highlights the project as a strategic acquisition for the company. “Lastly, the Searchlight Project offers a unique REE property unusually endowed with heavy REEs that warrants further study and exploration.” Shares have been as much as 17.4% higher intra-day to A$0.081. Initial geological review and sampling Before staking the mining clams through 100%-owned subsidiary Western Rare Earths (WRE), the company conducted an initial geological review and sampling program to confirm previous historical rare earth exploration success. In December 2020, geologists from World Industrial Minerals LLC, working on behalf of the company, performed three days of reconnaissance geological mapping, collecting 10 surface geochemical rock samples from monazite‐apatite bearing veins in biotite granite, and hornblende‐ biotite granite sills occurring in Early Proterozoic granites within the project area. Analyses of the samples by Hazen Research in Golden, Colorado, USA, indicated the presence of concentrated REE. The available historical sample data indicated remarkably high grades of rare earths, especially of the very coveted heavy rare earths (HREE) and magnet associated rare earths. Based on the promising preliminary results of the 10 surface samples, which also confirmed the high-grade opportunity identified from the historical data, the company filed for 80 unpatented mining claims in March 2021. These mining claims, collectively known as the Searchlight Project, cover 1,618 acres in Clark county of southwestern Nevada in the Crescent Mining district on public BLM land. MP Materials’ Mountain Pass rare earths mine, the only operating rare earths mine in the USA, is about 19 miles (35 kilometres) west of the Searchlight REE project area. Next steps The Searchlight mining claims are adjacent to additional active mining claims in the region. WRE personnel are in preliminary discussions with the controlling interests of the adjacent claims to acquire geological data within the Searchlight project area. Additionally, WRE is developing exploration plans for the Searchlight area for systematic surface geological sampling, detailed surface geologic mapping, and options for acquiring high-resolution aerial imagery and LiDAR data. Objectives for this exploration include locating additional higher-grade veins at the surface, developing a structural framework of the vein, joint and fault orientations, and locating targets for future exploration drilling.