What's Happening?
Axel REE (ASX:AXL) has reported a significant breakthrough in gallium and scandium extraction from its Caladão Rare Earth Elements-Gallium Project in Brazil. Independent scoping leach test work on material from the Tiger Creek deposit achieved up to 95%
gallium extraction and 74% scandium extraction. Brisbane-based CORE Resources conducted 18 atmospheric batch tests using sulphuric and oxalic acids. Oxalic acid yielded the highest results, extracting 95% gallium and 74% scandium at 100 grams per liter and 90°C. Sulphuric acid, under the same conditions, extracted 90% gallium and 70% scandium. The tested composite assayed 63ppm gallium, which is above the wider resource grade of 38ppm gallium within Caladão’s 439Mt resource. Managing Director Patience Mpofu noted that achieving over 90% extraction with two acid systems provides Axel with optimization alternatives.
Why It's Important?
This development is crucial for the critical minerals sector, particularly for the supply of gallium. Gallium is predominantly produced as a by-product of bauxite processing for alumina, making the identification of alternative recovery pathways strategically important. The U.S. and other industrialized nations are increasingly focused on securing reliable supplies of critical minerals, which are essential for high-tech industries, defense, and renewable energy technologies. A significant increase in extraction efficiency, such as the 95% achieved by Axel REE, could enhance the economic viability of new gallium sources and reduce reliance on traditional, often geopolitically sensitive, supply chains. This could contribute to greater supply chain resilience and potentially lower costs for industries that depend on gallium, such as semiconductor manufacturing, LED lighting, and 5G technology. The ability to extract scandium alongside gallium also adds value, as scandium is used in aerospace and other advanced materials.
What's Next?
The next phase of development for Axel REE will focus on lowering reagent consumption and improving selectivity during the extraction process. The current tests showed high consumption of oxalic and sulphuric acids, and also dissolved substantial amounts of aluminum and iron, limiting selectivity. The company aims to optimize these parameters and develop a method for recovering gallium and scandium from the leach solution. No flowsheet has been selected yet, and an economic viability study has not been completed. These steps are critical before moving towards commercial production. The company will need to demonstrate that the process is not only efficient in extraction but also economically feasible and environmentally sustainable. Success in these areas could position the Caladão project as a significant new source of critical minerals.
Beyond the Headlines
The pursuit of higher extraction efficiencies for critical minerals like gallium and scandium reflects a global strategic imperative to diversify and secure raw material supplies. Many critical minerals are concentrated in a few geographic regions, creating potential vulnerabilities in global supply chains. Innovations in mining and processing technologies, such as those demonstrated by Axel REE, are vital for unlocking new sources and reducing dependency. This also highlights the environmental considerations in mining, as the high reagent consumption in initial tests indicates a need for more sustainable and efficient chemical processes. The long-term implications of such advancements could include a more distributed and resilient global supply of critical minerals, fostering innovation in various high-tech sectors and supporting the transition to a green economy. It also underscores the importance of ongoing research and development in mineral processing to meet future industrial demands.
