Prospech Ltd (ASX: PRS) Expands High-Grade REE Zones at Korsnäs with Outstanding Drill Results

Key Highlights:

• New drill assays confirm substantial high-grade rare earth element (REE) mineralization at the Korsnäs project.
• Notable intersections include:
• SO-021: 11.9m @ 11,010 ppm TREO, including 5.1m @ 17,790 ppm TREO.
• SO-017: 34.1m @ 5,685 ppm TREO, including 9.1m @ 10,088 ppm TREO.
• KR-2873: 6.3m @ 13,802 ppm TREO, including 1.6m @ 44,667 ppm TREO.
• Heavy rare earth enrichment noted, including terbium (up to 59.2 ppm) and dysprosium (up to 207.8 ppm).
• Additional 295 samples undergoing analysis; results expected in the coming weeks.
• Ongoing metallurgical testing and geologic modeling expected to enhance the project’s resource estimate.

Drill Results Strengthen Korsnäs’ Rare Earth Prospects

In a significant development for the rare earth element (REE) sector, Prospech Limited (ASX: PRS) has released a fresh set of drill results from its Korsnäs project in Finland, further validating the presence of high-grade REE mineralization. The latest assays confirm not only the continuity but also the expansion of key mineralized zones, solidifying Korsnäs as a strategic asset in Europe’s critical minerals landscape.

Drilling Confirms High-Grade Intersections

The latest drill program has delivered noteworthy intercepts, reinforcing confidence in the deposit’s scale. Among the standout results:

• SO-021: 11.9m @ 11,010 ppm TREO, including 5.1m @ 17,790 ppm TREO.
• SO-017: 34.1m @ 5,685 ppm TREO, including 9.1m @ 10,088 ppm TREO.
• SO-076: 17.9m @ 8,169 ppm TREO, including 6.4m @ 17,383 ppm TREO.
• KR-2873: 6.3m @ 13,802 ppm TREO, including 1.6m @ 44,667 ppm TREO.

Notably, heavy rare earth element (HREE) enrichment is evident in the results, with terbium (Tb₄O₇) reaching up to 59.2 ppm and dysprosium (Dy₂O₃) up to 207.8 ppm. The presence of these valuable elements underscores the project’s potential significance in the global REE supply chain.

Validating Historical Data & Expanding Resource Potential

A key aspect of Prospech’s ongoing exploration is the validation of historical drilling data from Finland’s Geological Survey archives, spanning back to the 1950s-70s. Modern drilling and sampling have now confirmed the accuracy of these legacy datasets, boosting confidence in the project’s long-term viability.

The mineralization remains open along strike and at depth, with multiple gravity anomalies aligning with known REE-rich zones. So far, five key anomalies have been identified across a 5km strike length, suggesting substantial untapped exploration potential.

Metallurgical Testing & Next Steps

Alongside the drilling campaign, metallurgical test work is advancing. Hard rock samples are currently under analysis at GTK Mintec in Finland, while tailings samples are being processed at Mining School Oulu laboratories. This work is being conducted as part of the REMHub consortium, supported by the Horizon Europe grant.

The company anticipates a resource update in the near term, incorporating these latest results. Additionally, 295 more samples are awaiting assay, with results expected between February and March. These findings will further refine the geological model and could pave the way for development planning.

Market & Strategic Implications

As demand for rare earth elements continues to grow—driven by their essential role in electric vehicles, wind turbines, and defense applications—the Korsnäs project’s potential significance cannot be overlooked. With Europe actively seeking to reduce reliance on Chinese REE supply, projects like Korsnäs could play a vital role in securing a domestic supply chain for critical minerals.

Stock Price Update:

As of February 20, 2025, Prospech Limited (ASX: PRS) is trading at A$ 0.026, up by 13.04%