Axel REE fully funded to fast-track Caladão MRE

Axel REE has emerged from the March 2025 quarter in a strong financial position, ending the period with $9.6 million in cash to accelerate development of its Caladão rare earth elements (REE) and gallium project in Brazil’s Lithium Valley.

The company is now fully funded to accelerate the project to a maiden mineral resource estimate (MRE) and advance metallurgical testing, with both initiatives already underway.

“Axel is now positioned as an emerging player with a unique critical minerals asset that faces significant supply chain constraints following recent export bans from China,” Axel REE managing director Fernando Tallarico said.

“We are extremely pleased to make one of very few high-grade gallium discoveries as a co-product to our REE discovery at Caladão, with exceptionally high-grade at-surface gallium intercepts not seen by other deposits in Brazil or globally.”

Drilling across Caladão delivered exceptional gallium results, including 20m at 79 grams per tonne (g/t) gallium oxide (Ga₂O₃) from surface (CLD-DDH-024) and 17m at 85g/t Ga₂O₃ from surface (CLD-DDH-029), including 1m at 102g/t Ga₂O₃.

High-grade REE intercepts also continued, with CLD-DDH-0036 returning 49.92m at 5909 parts per million (ppm) TREO from 27m, including 1m at 22,115ppm TREO.

With the mineralised footprint expanding 68 per cent during the quarter to cover 60km², Axel is capitalising on its funding strength to progress exploration and development at pace.

Metallurgical testing is being conducted by ANSTO, while MRE modelling is being handled by SRK, with completion targeted for the June quarter.

Axel also signed two memoranda of understanding during the quarter to support development, including one with the Federation of Industries of Minas Gerais and another with the State Economic Development Department and Invest Minas to fast-track licensing and approvals.

The company issued 79.4 million loyalty bonus options during the quarter to acknowledge shareholder support.