Announcement • Jul 22
Spark Energy Minerals Reports Assay Results From Twelve Reverse Circulation Drill Holes At The Cruzeta Target Of Its Flagship Arapaima Project
Spark Energy Minerals Inc. has reported assay results from twelve reverse circulation drill holes (ARA-RC-009 to ARA-RC-020) at the Cruzeta target of its flagship Arapaima Project in Brazil’s Lithium Valley, Minas Gerais State. The results materially expand the scale of Arapaima. Drilling confirmed near-surface gallium mineralization in every hole and extended the known mineralized trend approximately 2.9 kilometres westward, from the eastern area of the Cruzeta target into its western area. The single Cruzeta target now defines a mineralized footprint measuring approximately 4.4 kilometres east–west by 1.5 kilometres north–south, interpreted as one broad, contiguous mineralized trend. Gallium mineralization was intersected from surface in all twelve holes reported in this program, overlying a broader rare earth element zone. Composite intervals include 30 m from surface at 69 g/t Ga2O3 in ARA-RC-011 and 12 m from surface at 77 g/t Ga2O3 in ARA-RC-012, with the highest individual 2 m sample returning 85 g/t Ga2O3 from 10–12 m in ARA-RC-011. Underlying rare earth mineralization returned composite intervals including 14 m at 3,125 ppm TREO and 32 m at 2,456 ppm TREO, with an individual 2 m sample of 12,039 ppm TREO (1.20% TREO). All grades are in-situ analytical results; no metallurgical recovery is implied. Gallium mineralization was intersected from surface in all twelve holes, demonstrating consistent near-surface gallium mineralization across both the western and eastern areas of the Cruzeta target. Table 1 summarizes the reported gallium intervals together with the peak individual 2 m samples returned in each hole. Gallium is reported as gallium oxide (Ga2O3) in g/t as in-situ analytical content. Rare earth mineralization was intersected beneath the near-surface gallium zone, with the strongest TREO interval returned in ARA-RC-011 in the western area of the Cruzeta target. Table 2 summarizes the reported TREO intervals together with MREO and NdPr proportions, which provide additional context on the magnet rare earth content of the reported rare earth mineralization. The western area returned several of the strongest results in the program, including the highest individual gallium sample and the highest individual TREO sample. These results support treating the western area as a priority for follow-up drilling rather than a peripheral step-out. In the eastern area, the new drilling supports the extension of the original discovery area. ARA-RC-018 returned 32 m at 2,456 ppm TREO from 32 m, including intervals of 2 m at 4,387 ppm TREO from 36 m, 4 m at 4,573 ppm TREO from 38 m and 2 m at 6,007 ppm TREO from 42 m. In each of the twelve holes, drilling encountered near-surface gallium mineralization passing downward into a thicker rare earth–bearing zone, consistent with Spark’s current interpretation of a vertically zoned, supergene IAC-style profile developed through deep tropical weathering of granitic host rocks. The recurrence of this near-surface gallium cap over a rare earth zone in both the eastern and western areas of the Cruzeta target supports continued exploration; it has not been verified by a mineral resource estimate. Step-out and infill drilling is ongoing as part of Spark’s current follow-up 2,000-metre RC program, which is nearing completion. Samples for metallurgical test work have arrived at ANSTO in Australia and are currently being processed. No metallurgical recovery results are available at this time. The holes are vertical RC drill holes (dip -90°). Collar coordinates are in SIRGAS 2000 UTM Zone 24S. Reported intervals are downhole widths; as the holes are vertical, true widths are not known and may differ materially from the downhole widths reported. TREO, MREO, NdPr and gallium oxide (Ga2O3) values reported in this release are in-situ analytical assay results only. These values are reported on an oxide basis and should not be interpreted as recoverable rare earth oxides, recoverable gallium oxide, metal-equivalent grades, mineral-equivalent grades or implied metallurgical recoveries. Metallurgical test work is in progress, and no metallurgical recoveries have been determined for gallium or the rare earth elements. Gallium is reported as Ga2O3 in grams per tonne (g/t). Gallium results are provided in the context of the broader rare earth mineralized system and are not intended to imply economic extraction or recovery. Reported intervals are length-weighted composites. Rare earth intervals are reported above a 500 ppm TREO cut-off, and gallium intervals are reported from surface above an approximate 50 g/t Ga2O3 basis, in each case permitting limited internal dilution. Reported widths are downhole widths; the drill holes are vertical and true widths are not known and may differ materially. Individual high-grade sample values reported within broader intervals are disclosed where applicable and are not necessarily representative of the mineralization sampled. Reverse circulation sampling may be subject to contamination, sample loss and down-hole dilution that can affect reported grades. Samples were collected at 2 m down-hole intervals from vertical reverse circulation drill holes; collar coordinates, end-of-hole depths and survey details are set out in the Drill Hole Information table above (SIRGAS 2000 UTM Zone 24S). Each sample was split using a Jones riffle splitter to approximately 2 kg for analysis, with approximately 1 kg retained for archiving and future metallurgical test work. The Company’s quality-control program comprised a blank (crushed quartz) as the first sample of each batch (each drill hole constituting a batch), a field duplicate every 20 samples, and two certified reference materials (CRMs) every 25 samples; CRM and control results are used to monitor laboratory accuracy and precision and are excluded from the reported assay tables. Samples were submitted to the independent SGS Geosol Ltda laboratory (MG-10 highway, km 24.5, Angicos, Vespasiano/MG), which is independent of the Company and is ISO 17025, ISO 14001:2015 and ISO 9001:2015 certified. Sample preparation comprised crushing (75% to 3 mm) and pulverizing (250 g, 95% passing 150 mesh) — Jones split (code PRP70J_A2-PA). Analysis was by ICP-MS/OES following sodium peroxide fusion for 56 elements, including the rare earth elements and gallium (code ICM90A). The scientific and technical information in this news release has been reviewed and approved by Jonathan Victor Hill, BSc (Hons), FAusIMM, VP Exploration and Director of the Company, and Dr. Fernando Tallarico, P.Geo., Chief Executive Officer and Chairman of the Company, each a Qualified Person as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects.
