Power Minerals Hits 108.55m at 4.15% TREO With Record 4.4% MREO Peak at Morro do Ferro
Key Takeaways
- Drillhole MFSR-053 returned 108.55m at 4.15% TREO from surface, the third consecutive thick, high-grade intercept in Power Minerals' maiden diamond drilling programme at Morro do Ferro.
- A project-record peak of 4.40% MREO of whole rock from 69.55–71m positions Morro do Ferro among a narrow group of rare earth projects globally capable of reporting magnet rare earth content in percentage terms rather than parts per million.
- Mineralisation has now been confirmed at depth beyond 200m, with three intervals between 183m and 203m all returning rare earth grades, materially expanding the deposit's vertical footprint ahead of resource definition.
- Gallium returned a new project high of 124.5ppm from 62m — surpassing the previous best of 87.7ppm — adding potential by-product credit optionality to the project's economics.
- An independent radiation study classifies the overall deposit in the lower-risk Category II radiation category at an average of 94Bq/g, reducing a key processing risk concern for the project.
Power Minerals extends high-grade rare earth zone with 108.55m at 4.15% TREO at Morro do Ferro
Power Minerals Limited (ASX: PNN | OTCQB: PEIMF) has delivered a third consecutive high-grade intercept at the Morro do Ferro Rare Earth Project in southern Minas Gerais, Brazil. Drillhole MFSR-053 returned 108.55m at 4.15% TREO from surface to 119.3m, with 8,163ppm MREO of whole rock — a project-record 4.40% MREO over 1.45m from 69.55–71m. Results reported cover the upper portion of the hole; assays from 135m to end-of-hole (EOH) 209.55m remain pending.
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MFSR-053 headline results at a glance
The third drillhole in the maiden diamond programme continues the pattern established by MFSR-051 and MFSR-052: thick, continuous, near-surface rare earth mineralisation with elevated magnet rare earth content. Key intervals include:
- 108.55m at 4.15% TREO from surface to 119.3m (8,163ppm MREO of whole rock)
- 29.25m at 9.01% TREO with 1.32% MREO from surface to 35m
- 6.45m at 9.34% TREO with 2.87% MREO from 69.55m
- Project-record peak: 1.45m at 4.40% MREO (whole rock) from 69.55–71m
- Highest TREO: 2m at 17.98% TREO from 12m
Two magnetite-rich zones (5.75m from 18m and 5m from 35m) were excluded from weighted averages due to low rare earth concentration. These zones are anticipated to be easily removed during early-stage mineral processing using magnetic separators.
| Hole | Interval | Width (m) | TREO % | MREO % whole rock |
|---|---|---|---|---|
| MFSR-053 | from surface to 119.3m | 108.55 | 4.15 | 0.82 |
| MFSR-053 peak sample | 69.55–71m | 1.45 | 13.84 | 4.40 |
| MFSR-052 | from surface to 137m | 137 | 4.31 | 0.73 |
| MFSR-051 | from surface to 116m | 116 | 4.78 | 0.78 |
Why magnet rare earths matter — and why these grades stand out
MREO — Magnet Rare Earth Oxides — refers to the subset of rare earths used in permanent magnets: neodymium (Nd), praseodymium (Pr), terbium (Tb), and dysprosium (Dy). These elements are critical inputs for electric vehicle motors, wind turbines, and defence systems. Most rare earth deposits report MREO only as a percentage of TREO, because absolute concentrations in the rock are far lower. Morro do Ferro’s peak sample of 4.40% MREO of whole rock positions it among a narrow group of projects globally capable of reporting magnet rare earth content in percentage terms rather than parts per million. What this tells you: the deposit’s value driver is not just the volume of rare earths, but the quality of the basket.
The right basket
The 6.45m interval from 69.55m showcases the deposit’s strategic rare earth distribution: elevated neodymium-praseodymium with heavy rare earths including dysprosium, terbium, gadolinium, erbium, and holmium.
| Oxide | ppm | % whole rock | Basket |
|---|---|---|---|
| Nd₂O₃ | 20,973 | 2.10 | MREO |
| Pr₆O₁₁ | 6,511 | 0.65 | MREO |
| Dy₂O₃ | 1,011 | 0.10 | MREO |
| Tb₄O₇ | 204 | 0.02 | MREO |
| Y₂O₃ | 5,047 | 0.50 | Other HREO |
| Gd₂O₃ | 1,989 | 0.20 | Other HREO |
Gadolinium at 1,989ppm positions the deposit among world leaders in this heavy rare earth category, according to the announcement. The presence of yttrium, erbium, and holmium alongside the magnet rare earths adds optionality to the product basket.
Mineralisation extends deeper than previously recorded
MFSR-053 was drilled vertically to test depth below the previous angled hole (MFSR-052) and to collect samples for mineralogical studies ahead of metallurgical drillholes. The only drillholes with results received to date from greater than 135m all intersected mineralisation at depth, providing evidence that the rare earth zone continues to greater depths than previously measured.
Three deeper intervals returned:
- 2m at 5,955ppm TREO from 183m
- 1.6m at 8,364ppm TREO from 191.5m
- 2m at 4,563ppm TREO from 201m
End-of-hole depth was 209.55m. Remaining samples from the lower section (135m to EOH) have been dispatched to SGS Geosol laboratory, with results awaited. What this means for you: if mineralisation persists consistently below 200m, the deposit’s vertical footprint — and its resource potential — expands materially from what was previously defined.
Gallium and thorium takeaways
Gallium: MFSR-053 returned 2m at 124.5ppm Ga from 62m (sample MFP-0299), confirmed by laboratory duplicate at 122.6ppm. This surpasses the previous best of 87.7ppm Ga from MFSR-052. Accurate gallium reporting at Morro do Ferro is complicated by high rare earth interference; the company is working with the commercial laboratory to refine the analytical method. The result reaffirms the presence of elevated gallium at depth, a potential by-product credit.
Thorium: An independent radiation study by SA Radiation Pty Ltd, using whole-rock geochemical analyses and specific activity calculations, confirms the Morro do Ferro deposit sits overall in the lower-risk radiation category. The reported average total value of 94Bq/g is considered a more relevant metric during bulk mining operations, particularly when applying a conservative scenario (two standard deviations); the deposit is currently classified under Category II (100 to less than 500Bq/g). Historical near-surface measurements reflected only the more radioactive areas; this study provides a comprehensive assessment of the entire deposit body. The study does not cover processing.
Director insight
Alistair Stephens, Chief Executive Officer
“These initial results from the third hole in our ongoing drilling campaign at the MDF Project are highly encouraging and continue the pattern of broad, high-grade mineralisation from our first two holes. The peak interval of 4.40% MREO, together with elevated levels of dysprosium, terbium, and other heavy rare earths, highlights the potentially strategic character of the rare-earth basket. Just as importantly, the limited deeper assays received to date indicate that mineralisation may continue beyond the depths previously tested. While considerable work remains, including the remaining assays, mineralogical studies, metallurgical test work and resource definition, we believe Morro do Ferro is emerging as an increasingly compelling rare-earth project. We intend to advance it methodically, responsibly and with strong technical discipline.”
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What’s next for Power Minerals at Morro do Ferro
Drilling continues with two rigs operating on extra shifts from 4 August. The company has dispatched 16 sample batches to the laboratory, with results released as received. Key catalysts include:
- Maiden diamond drilling: ~25 holes / ~4,000m ongoing (2 rigs)
- Subsequent drillhole assays: pending at SGS Geosol, released as received
- Metallurgical testwork sampling: planned within programme
- Gallium analytical method review: in progress with commercial laboratory
- Lower MFSR-053 section (135m–EOH) assays: awaited
Consistent high-grade, thick, near-surface mineralisation with depth extension potential positions Morro do Ferro as an emerging premium magnet rare earth development project amid demand for diversified supply into energy, manufacturing, and defence.
Ready to Explore the Full Morro do Ferro Rare Earth Discovery?
Power Minerals has now confirmed three consecutive high-grade intercepts with elevated magnet rare earths at Morro do Ferro—and mineralisation remains open at depth. These aren’t just promising headlines; they’re backed by whole-rock MREO percentages that position the project among a select group globally.
For detailed technical updates, upcoming drillhole results, and the company’s strategic roadmap as it advances towards resource definition and metallurgical testwork, visit the Power Minerals investor centre. The deposit’s thickness, grade, and rare earth basket continue to evolve with each batch of assays—stay informed as the story unfolds.