SYDNEY, April 14, 2025 (GLOBE NEWSWIRE) -- Brazilian Rare Earths Limited (ASX: BRE / OTCQX: BRELY) (BRE) is pleased to announce that it has entered into a binding agreement with Rio de Contas Desenvolvimentos Minerais Ltda. (Rio Tinto Brazil) to amend the Amargosa Tenement Acquisition Agreement.
Amargosa Bauxite Project
- Amargosa is an advanced stage, large-scale bauxite project acquired from Rio Tinto in 2023, adjacent to select BRE rare earth tenements in Bahia, Brazil
- The large-scale bauxite project benefits from over 10 years of exploration by Rio Tinto, including 56,919 metres of drilling across 4,257 holes and detailed geological data sets
- Exploration to date has confirmed thick, high-grade bauxite zones from surface, including intercepts such as 27.5 metres at 51.3% total available alumina content with low levels of reactive silica and iron
- BRE and Rio Tinto have signed a binding agreement to replace the existing US$40m bauxite milestone payment at the Amargosa Bauxite Project with a fixed US$1.00/wet tonne royalty on future bauxite sales
High-Grade Gallium Discovery
- BRE has re-assayed 1,275 Rio Tinto bauxite samples collected at the Pelé Bauxite Project
- New, high-grade gallium discovery confirmed with exceptional grades of up to 190 ppm Ga2O3, with a mean grade of 75 ppm Ga2O3
- These assay results place Amargosa among the highest-grade undeveloped gallium prospects globally, with the potential to deliver strategic gallium supply amid ongoing geopolitical disruptions to global gallium markets
Amargosa Bauxite-Gallium Project Development
- Given the potential scale and quality of the bauxite-gallium prospects, BRE will rapidly advance the Amargosa bauxite-gallium project, and has engaged RPM Global to accelerate development activities for a JORC-compliant Mineral Resource Estimate and Scoping Study
- Amargosa is strategically positioned to supply seaborne bauxite and gallium markets facing rising demand and geopolitical risks
Brazilian Rare Earths' CEO and MD, Bernardo da Veiga, commented:
"Global bauxite and gallium markets are underpinned by compelling structural trends - strong demand, constrained supply, and rising geopolitical risks to supply chains.
We are focussed on advancing our world-class, high-grade rare earth province - and this successful restructuring of the Rio Tinto agreement enhances our strategic flexibility to create long-term value for shareholders."
A link to the full announcement can be found here.
Contacts
Bernardo Da Veiga, Managing Director and CEO
investors@brazilianrareearths.com
www.brazilianrareearths.com
