Patagonia Lithium Maps 10 New REE Drill Targets Using AI Geophysics in Brazil

Patagonia Lithium has used AI-driven geophysics to pinpoint 10 new rare earth element drill targets in Brazil's Goiás State, with the Logos system achieving 100% prediction accuracy within 2 km in blind testing — and the top 5 targets now headed for priority ground-truthing.
By William Hadrian -
Summarise with Ai:

Patagonia Lithium pinpoints 10 new REE targets in Brazil using AI-driven geophysics

Explorer Patagonia Lithium has identified 10 new drill targets on its Goiás State concessions using a new deterministic system called Logos, layered over prior hyperspectral work. The targeting exercise generated 25 total drill targets — the top 5 NEW targets (scores 0.92–0.89) selected for priority ground-truthing — within a few kilometres of existing samples on concessions 860164/2024 and 860165/2024, adjacent to CMOC’s Catalão niobium operation (producing 10,024 tpa Nb).

The announcement marks a targeting milestone rather than a discovery. No new assay results have been produced from the Logos analysis — the system identifies where to drill, reducing exploration expenditure risk before committing to an augur or drilling program.

How the Logos system sharpened the target list

Logos is a deterministic (process-based) system that requires no training datasets or proprietary data, running instead on open geophysical fields: gravity, magnetics, topography, fault geometry, and radiometrics. The Company added radiometric surveys (Th/K/U) and fenitization filters — key vectors for REE mineralisation — as well as an AI screening layer, on top of the prior SWIR/hyperspectral mapping.

Two unrelated systems, built on entirely different principles, independently confirmed targets to within single-digit kilometres, providing validation without relying on the same data inputs. The addition of thorium-potassium-uranium channels allowed the model to pick up the geochemical signature of fenite alteration halos surrounding carbonatite complexes, which are known to host rare earth elements.

Why this matters for investors

Ionic clay REE deposits become potentially economically viable at approximately 0.25% TREO (Total Rare Earth Oxide). The targeting work narrows the search area before expensive augur or drilling programs commence, increasing the probability of intersecting economic-grade mineralisation when drilling does begin.

Phillip Thomas, Executive Chairman

“We were able to utilise the latest AI and other technology to sure up our augur/drill targets in Goiás state to drastically improve our chances of REE discovery in ionic clays. While using AI is useful, this process has been very rewarding so far and we are impressed with the Logos System and its results.”

The validation numbers behind the targets

The Company ran a rigorous series of blind tests, eliminating sample points one at a time and forcing the system to predict their position without prior knowledge. The validation metrics demonstrate the model’s robustness:

  • 5 of 5 known carbonatite complexes captured within 30 km in blind testing
  • Best individual result: 1.3 km to Araxá Carbonatite, 2.6 km to Catalão I
  • 100% of predictions landed within a 2 km radius in blind tests (40 predictions, 10 random splits)
  • Average localisation error: 0.45 km (450 m); median 0.28 km (280 m); best under 100 m
  • Statistical significance: p < 0.001, lift 1.99× vs random
  • Thorium-TREO relationship reproduces at +0.90 correlation across two surveys flown 31 years apart

For the first time, the system began predicting approximate TREO content at target locations. This is a weak correlation (r=0.31), an early signal the Company plans to refine with augur sampling data, not a proven predictive capability at this stage.

Logos System Validation Scorecard

Target Score Type Nearest PL3 Sample Distance (km)
1 0.920 confirm 064 0.7
2 0.917 NEW 070 2.4
3 0.907 NEW 070 2.6
4 0.895 confirm 054 0.2
5 0.889 NEW 056 4.7
6 0.887 NEW 070 2.2
7 0.886 NEW 066 2.2
8 0.884 NEW 056 4.7

The top 5 NEW targets (scores 0.92–0.89) have been chosen for priority ground-truthing. The 10 confirming targets — sitting within approximately 1.5 km of existing samples — serve as method validation, demonstrating the system correctly locates known mineralisation.

What’s next for Patagonia’s Brazil exploration

The Company has outlined a staged approach to ground-truthing the new targets:

  1. Progress to augur sampling to identify REE ionic clays across the priority targets
  2. Complete a ground magnetics survey after sampling to validate structure and geology
  3. Re-run the Logos system with new sampling data to refine grade prediction

Historical ground-truth reference provides context for prospectivity: ~1,800 ppm TREO fenites were found off-concession less than 500 m away. Previously reported 2024 assay results (not connected to the current Logos work) returned TREO up to 2,295.7 ppm and niobium up to 245.8 ppm, confirming the geological setting can support economic-grade mineralisation.

Management will provide a further update in an investor briefing on 19 August 2026, 12:30pm AEST via Zoom.

The bigger Patagonia Lithium picture

The Brazil REE targeting work sits within a broader portfolio of five exploration concession packages totalling 41,746 ha, targeting ionic REE clays, niobium, antimony, and lithium in pegmatites.

The Company’s flagship Argentine lithium brine project holds a Mineral Resource Estimate of 551,400 t LCE at 294 mg/L (comprising 14,800 t Indicated at 393 mg/L and 536,600 t Inferred at 292 mg/L), lodged 14 July 2025. The Brazil REE work represents emerging optionality alongside the established Argentine lithium resource base, diversifying the Company’s commodity exposure and development pathway.

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Frequently Asked Questions

What is the Logos system used by Patagonia Lithium?

Logos is a deterministic, process-based geophysical targeting system that uses open data inputs — gravity, magnetics, topography, fault geometry, and radiometrics — to identify drill targets without requiring proprietary training datasets. Patagonia Lithium used it to identify 10 new rare earth element drill targets on its Goiás State concessions in Brazil.

What grade do ionic clay REE deposits need to be economic?

Ionic clay REE deposits are considered potentially economically viable at approximately 0.25% TREO (Total Rare Earth Oxide), equivalent to around 2,500 ppm. Patagonia Lithium's 2024 assay results from its Goiás concessions returned TREO up to 2,295.7 ppm, approaching that threshold.

How accurate was the Logos system in blind testing?

In blind testing, Logos achieved 100% of predictions within a 2 km radius across 40 predictions and 10 random splits, with an average localisation error of 450 metres and a best result of under 100 metres. The results were statistically significant at p < 0.001 with a 1.99× lift over random prediction.

What is Patagonia Lithium's connection to CMOC's Catalão niobium operation?

Patagonia Lithium's Goiás State concessions are adjacent to CMOC's Catalão niobium operation, which produces 10,024 tonnes per annum of niobium from the same carbonatite geological system that Patagonia is targeting for rare earth elements. Proximity to a major producing operation supports the prospectivity of Patagonia's ground.

What are the next steps for Patagonia Lithium's Brazil REE exploration program?

Patagonia Lithium plans to advance the top 5 new targets through augur sampling to identify REE ionic clays, followed by a ground magnetics survey to validate structure and geology, and then a re-run of the Logos system with new sampling data to refine grade prediction. Management will provide a further update at an investor briefing on 19 August 2026.

William Hadrian
By William Hadrian
Partnerships Director
William supports Discovery Alert subscribers across Australia and overseas, helping them tailor alerts, troubleshoot technical issues, and optimise platform settings to suit their workflow.
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