RareX Secures Funding for Gallium-Rich Khaleesi Project

RareX Secures EIS Funding for Gallium-Rich Khaleesi Project

RareX Limited (ASX: REE) has been awarded a significant Exploration Incentive Scheme (EIS) drilling grant for its Khaleesi Project, where extensive gallium mineralisation has been identified across a 5km x 3km area.

Major Discovery Points to Substantial Gallium Potential

The Western Australian Government has granted RareX up to $175,000 in co-funding for drilling at the Khaleesi Alkaline Intrusion Complex (KAIC), representing a strong endorsement of the project’s prospectivity. The funding will cover 50% of direct drilling costs (capped at $160,000) and 50% of mobilisation costs (capped at $15,000).

Initial exploration results have unveiled potentially significant gallium mineralisation at the Niobe prospect, with impressive aircore drilling intersections including:

• • 39m at 65 g/t Ga₂O₃ from 8m (end of hole)

• • 47m at 60 g/t Ga₂O₃ from 4m (end of hole)

• • 9m at 71 g/t Ga₂O₃ from 12m (end of hole), including 5m at 86 g/t Ga₂O₃

Rock chip samples have confirmed these results with assays of up to 81 g/t Ga₂O₃.

Strategic Location in Highly Prospective Geological Setting

The Khaleesi Project is located approximately 260km northwest of Kalgoorlie within the Northern Foreland Unit of the Albany-Fraser Belt. This area represents a portion of the Yilgarn Craton that was intruded by Paleoproterozoic magmatic rocks and reworked during the Mesoproterozoic Albany-Fraser Orogeny.

What makes this location particularly significant is its proximity to:

• • The eastern margin of the Canning Basin

• • The Mulga Rocks East Uranium and Rare Earth Elements deposits

• • Australia’s largest known carbonatite pipe (the 10km diameter Cundeelee Carbonatite)

• • The strongly REE-mineralised Ponton Dyke with historical intersections of up to 28m at 10% TREO

Understanding Gallium’s Growing Importance

Gallium is increasingly recognised as a critical mineral for next-generation technologies. While traditionally used in semiconductor manufacturing, gallium’s applications are expanding rapidly in:

• • Power electronics for electric vehicles

• • 5G telecommunications infrastructure

• • Energy-efficient LED lighting

• • Solar panels using gallium arsenide technology

• • Defence and aerospace applications

The material’s unique properties—including its ability to operate at extremely high temperatures and frequencies—make it essential for technologies driving the transition to renewable energy and advanced electronics.

Comprehensive Drilling Program Targeting Multiple Prospects

The EIS co-funded drilling program will test six target areas across the KAIC with varying amounts of RC drilling at each location:

Investment Significance: Why This Matters

The Khaleesi Project represents a significant exploration opportunity for RareX for several reasons:

1. 1. Scale Potential: The 5km x 3km area of gallium mineralisation suggests a potentially very large system with significant tonnage potential.

1. 1. Critical Mineral Focus: Gallium is classified as a critical mineral by major economies including the US, EU, and Australia due to its importance in advanced technologies and limited global supply sources.

1. 1. District-Scale Opportunity: The project is located within a 20km intrusion complex with multiple target types, including rare earth elements, gallium, niobium, and other high-field strength elements.

1. 1. Government Endorsement: The EIS co-funding represents a validation of the project’s technical merit and potential economic significance.

1. 1. Complementary Portfolio: The Khaleesi Project adds to RareX’s existing Cummins Range Rare Earths Project, which has a post-tax NPV8 of over $330 million according to previous studies.

What Comes Next for RareX

With EIS funding secured, RareX is positioned to accelerate exploration across multiple high-priority targets at the Khaleesi Project. The upcoming RC drilling program will test the extent and grade of gallium mineralisation in both the regolith and basement rocks, while also investigating potential carbonatite or magmatic-hydrothermal deposits similar to the high-grade Ponton Dyke.

Investors should watch for:

• • Results from the planned EIS co-funded drilling

• • Further definition of the extent and grade of gallium mineralisation

• • Potential discovery of higher-grade zones or new mineralisation styles

• • Advancement toward resource definition if results warrant

Why Investors Should Follow RareX

RareX presents a compelling investment case with exposure to multiple critical minerals through both advanced and early-stage projects:

• • Diversified Critical Minerals Portfolio: Exposure to rare earths, niobium, and now gallium—all essential for green energy transition and advanced technologies

• • Government Support: EIS funding demonstrates project credibility and reduces exploration costs

• • Strategic Location: Projects situated in Western Australia, a premier mining jurisdiction

• • Experienced Management: Led by a team with expertise in critical minerals exploration and development

• • Dual-Track Approach: Balance between the advanced Cummins Range project and high-potential exploration at Khaleesi

As the world increasingly focuses on securing supply chains for critical minerals, RareX’s strategic positioning in the gallium and rare earths space could provide significant upside potential for investors interested in the critical minerals sector.

Want to Explore RareX’s Critical Minerals Opportunity?

For investors seeking exposure to the rapidly expanding critical minerals sector, RareX’s Khaleesi Project represents a compelling opportunity with its extensive gallium mineralisation and EIS funding endorsement. To discover how this strategic project complements RareX’s broader portfolio and positions the company within the critical minerals supply chain, visit RareX’s website for the complete announcement and investment details.