Visuals from LNR’s first WA rare earths drill

This morning our rare earths Investment Lanthanein Resources (ASX:LNR) said it has visuals in RC chips from its now completed maiden drill campaign at the Lyons Project in the Gascoyne region of WA.

While it's still early days, and assays in mid-November should confirm if LNR has hit rare earths in this drilling program, we think the results from today are pretty good for a first pass.

Key bits of information from today’s LNR announcement:

• The visual logs of RC chips from the 4 prospects confirm the ironstones are continuous along strike and at depth.
• Lyons 27 prospect, in the north‐western area, intercepted up to 6m thick ironstone, open in all directions.
• Widths of main ironstone trend intersected at Lyons 12 and Lyons 13 recorded a thick zone of 1-4m, analogous to Hastings Technology Metals ($464M market cap) deposits Simons Find, Frasers, and Bald Hill ~2.5km away.

LNR’s Lyons 12 and 13 prospects are closest to Hastings’ project:

These are our bull, base, and bear cases for LNR from our latest note:

Bull case = ~10-20m with rare earth grades of 2-3% (TREO)

Base case = ~5-10m with rare earth grades of 1-2% (TREO)

Bear case = No mineralisation is found

For now, it looks like we could be on track to hit our base case, but assays will confirm.

What’s next for LNR?

First assay results are expected mid-November.

There’s plenty more to look forward to as well with “multiple interpreted ironstone trends and carbonatites under thin cover still to be drill tested in Q4, 2022 and 2023”.

We’re particularly interested in drilling of the carbonatite structures that LNR has found to the SE of this drilling. These are very big targets that go up to 2km deep. The WA Government has tipped in $200k to co-fund the drilling and results from this drilling program loom as a big catalyst for LNR going forward.