PVW’s rare opportunity

1 November 2022 11:12

PVW Resources are showing itself in the right place and time with the right team to emerge as part of Australia’s answer to the growing question of how to secure the nation’s supply of rare earth elements.

The company has an uncommonly experienced rare earth team, and the Australian Government is moving in sync with intent on securing and processing supply of the increasingly critical minerals.

The explorer believe it is closing in on the nation’s next rare earth discovery, with its Tanami project showing all the key traits for an unconformity-related deposit of heavy rare earths.

A discovery which would have significance reaching well beyond PVW shareholders.

“The middle east has oil, China has rare earths,” then Chinese President Deng Xiaoping stated in 1992, long before rising applications in future-facing industries drove demand skyward.

He certainly had a point, the superpower accounts for 60 per cent of global mined production and 85 per cent of processing capacity.

Executive director George Bauk is one of the PVW team who were part of Northern Minerals when it made a globally significant discovery — the unique heavy rare earth Wolverine Deposit at Browns Range.

And speaking at the New World Metals conference earlier this year, Bauk said there are indications that China perceives an Australian challenge to its rare earth dominance.

It was the price of rare earths going downwards.

“Believe it or not, that is a really positive sign in a really messed up way,” he said at the New World Metals conference.

“How can a graph going down look exciting? That is unquestionably China manipulating the price because they set the price of rare earths and they sure as hell don’t want debt and equity markets driving production outside of China.

“They do not want a critical component of their industry taken over outside of China.”

While mostly known for importance in global electrification, rare earths hold heavy importance in multiple key industries.

Former defence minister Kim Beazley recently told The Strategist that a guaranteed supply of processed rare earths will be vital to manufacture high end capabilities to be developed under the AUKUS security partnership.

Bauk says while there is a way to go, excitement is building in the Australian space and, having been involved as early as 2005 when the minerals were hardly a hot ticket commodity, speaks from a place of authority.

“It is amazing how everyone laughed and said, ‘what are you doing in rare earths?'”

“This is some exciting news here, what is great on the Australian landscape is the billion dollars Iluka was able to get from the Australian government to build their refinery in Western Australia.”

Maiden drilling has wrapped up in the Tanami, with results showing widespread mineralisation and high-grade gold after rock chip assays returned with grades as high as 12.45 per cent TREO.

With another 66 holes awaiting assay, it looms as exciting times for PVW — and Australian exploration.

PVW’s Australian Stock Exchange-listed share price was trading at 13c today (10.18 am UTC+ 8 hours).

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