Highlights
- Cobra Resources discovers extensive rare earth element mineralization in South Australian tenement with high TREO concentrations.
- Company leverages historical drill samples to identify potential for in-situ recovery (ISR) of rare earth elements with minimal additional drilling.
- Innovative clean-tech approach could position Boland project as a global first in environmentally controlled rare earth extraction.
Cobra Resources PLC (LSE: COBR) (opens in a new tab) is making waves across the rare earth sector after announcing a significant scale-up to its ionic rare earth element (REE) system in South Australia. The company confirmed that re-analysis of historical drill samples from its newly acquired EL 6742 tenement—part of the Yaninee Palaeochannel system—indicates a much broader footprint of REE mineralization reflective of its flagship Boland discovery. Shares jumped 12% following the news, as reported by TipRanks.
In its August 4 RNS release, Cobra revealed that multiple reanalyzed drill holes yielded high concentrations of total rare earth oxides (TREO), including key magnet metals dysprosium and terbium, within permeable geological horizons suitable for in situ recovery (ISR). One standout intercept (IR276) returned 2,329 ppm TREO over 2 meters, with strong concentrations of heavy rare earths (HREEs). This marks one of the highest-grade historic intercepts reported outside of Boland.
Managing Director Rupert Verco (opens in a new tab) emphasized the strategic implications: “These results confirm the presence of an extensive REE system over 750km² of tenement—at low cost and without additional drilling.” By utilizing legacy uranium-focused rotary mud drill samples held in the South Australian Drill Core Library, Cobra is fast-tracking its target delineation efforts with minimal capital outlay.
The mineralization is hosted in the Pidinga Formation, a permeable, clay-rich aquifer capped by an aquitard, making it ideal for confined ISR—a process widely used in uranium mining but novel in rare earths. This clean-tech approach could position Cobra’s Boland project as a global first in environmentally controlled rare earth extraction, avoiding excavation and lowering the cost per kilogram of production.
While current assay methods underrepresent the fine particle fraction hosting REEs, Cobra is confident that follow-up sonic drilling will validate higher grades and continuity. Over 1,000 additional samples are pending, covering even more ground across multiple licenses.
Investor Questions Remain:
- Will ISR-based REE mining win regulatory and community approval at scale?
- How quickly can Cobra move from exploration to pilot production?
- Can they secure downstream partners to validate and offtake Boland’s output?
Cobra’s valuation remains modest (~£20M market cap), but today’s news further cements its position as one of the most compelling ionic clay REE stories outside China.
Source: Cobra Resources PLC RNS, Aug 4, 2025 (opens in a new tab); TipRanks, Cobra Resources press release (opens in a new tab)
Leave a Reply