Cyclone Metals Ltd (ASX:CLE) has moved a step closer to securing rare earth exploration licences by completing initial tenement application compliance over the Dogger and Sebastian Project tenure in Western Australia.
The company, formerly known as Cape Lambert Resources, has notified pastoralists and lodged securities and an affidavit of compliance with no objections received.
Cyclone will shortly complete the required heritage compliance to allow Native Title Notification to commence.
No objections or delays are expected for the remainder of the application process.
Supply shift in rear earth sector
Rare earths are attracting strong attention with China’s supply dominance in the sector facing a challenge after its recent move to ban exports.
Cyclone’s Dogger and Sebastian Project will allow the company to capitalise on this market shift.
Recent geochemical sampling over the project area has identified two rare earth elements (REE) anomalies coincident with identified geophysical anomalies.
This indicates the potential for the existence of a buried diatreme beneath the geologically recent sedimentary cover sequences.
“Rare earths are sought after commodities”
Cyclone executive director Tony Sage recently said: “This is a great chance to get into the rare earths space at very little cost to the company with no acquisition costs applicable.
“With China banning all exports, rare earths are sought after commodities.
“Cyclone has a long track record of investments in the resources sector and will continue to look out for other opportunities that may arise.”
Initial exploration program
Cyclone has engaged Allender Exploration, geological consultants with extensive experience in the project area, to undertake an initial exploration program.
The program will begin shortly with further desktop studies and initial non-ground disturbing reconnaissance exploration, including additional geophysics and geochemistry analysis.
This will allow the company to prepare a more detailed exploration program for implementation once the licences are granted.