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Rainbow Rare Earths Structural and lithological review of Gakara

Rainbow Rare Earths Ltd (LON:RBW), the Rare Earth producer, has today provided an exploration update for the Gakara Project in Burundi.

·   Results of a structural and lithological review of Gakara have confirmed the highest priority areas for the ongoing exploration programme

·   Structural review and other historical mining and exploration data are being incorporated into 3D models of mineral resources and exploration targets in compliance with the standards defined in the JORC Code (2012 edition) to develop a wider understanding of the mineralised system

·   Trial mining and processing continues to demonstrate that high Total Rare Earth Oxide (“TREO”) grade ore sourced from across the licence area has similar metallurgical and mineralogical characteristics

The structural and lithological review, further details of which are set out in the Appendix below, involved the reinterpretation of high-resolution geophysical data by TECT Geological Consulting in March and April 2020.  This confirmed the presence of three large carbonatite bodies at Gakara, which represent the regional source of rare earth elements (“REE”).

The review combined the structural information with the comprehensive mapping database accumulated by Rainbow over several years as well as the geological knowledge derived from PhD research completed in December 2019 to define a data-driven, objective appraisal of sites where REE mineralisation, in the form of vein stockworks and/or breccias, is likely to have been more intensely developed.  This work has defined a total of 57 exploration targets.

In parallel with the structural review and targeting, Rainbow has been reviewing the historical mining and exploration data to ensure that the full historical knowledge of the Gakara project is included in the next phase of exploration planning.  The combination of historical data, recent structural analysis and upcoming 3D mineralisation models will be used to refine the targets for ongoing exploration and trial mining with a view to converting exploration targets into mineral resources.

This work is being led by Malcolm Titley, the former MD of CSA Global UK Ltd, who is in the process of compiling mineral resource and exploration target 3D models which comply with the standards defined by the JORC Code (2012 edition) which will be announced once available.

Rainbow continues to operate trial mining and processing activities, demonstrating that the ore from veins found across the licence area is amenable to simple processing via gravity separation to produce a high grade concentrate (averaging 52-58% TREO) suitable for direct shipping with minimal radioactive elements or other deleterious by-products often associated with rare earth projects.

George Bennett, Rainbow Rare Earths CEO, said:  “Since my appointment as CEO in August 2019 my focus has always been to develop a deeper understanding of the deposit to realise the enormous potential it has to offer.  Understanding the structural controls that gave rise to the mineralisation is a key element to this.  Incorporating this knowledge into our 3D mineralisation models alongside the existing mining and drilling data will allow our initial JORC resource base to better reflect our potential and help drive our future exploration activities in the correctly targeted manner.”

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