Overview

Brazilian Critical Minerals, a pioneering player in the rare earth elements (REE) sector in Brazil, boasts ownership of two major projects, Ema and Apui projects, covering a vast expanse of over 700 km2. Bolstered by the acquisition of nine exploration licenses, the company demonstrates a commitment to strategic expansion. The initial testing, specifically with ammonium sulphate, has yielded positive results, confirming the presence of ionic rare earths in these projects. Positioned in a notably underexplored region, these initiatives hold the promise of establishing a new rare earth district, emphasizing Brazilian Critical Minerals' pivotal role in uncovering valuable resources in untapped territories.

Rare Earth Elements (REE)

Ema Project spans 189 km2 with notable TREO values from 13 drill holes, including a standout 4 meters at 2,631 ppm TREO. Hosted in rhyolite, akin to Chinese Ionic REE producers, the mineralization, with values in the target range of 800–1,200 PPM, starts at the surface. A basic 2% ammonium sulphate leach confirms excellent REE recoveries, indicating the presence of IAC REEs. The vast area hints at potential large or multiple deposits, with an ongoing extensive auger drilling program. Expect the maiden Mineral Resource Estimate (MRE) by Q1 2024.

The Apui project encompasses seven tenements spanning a total of 510 km2. Notable findings include 4 meters at 930 ppm Total Rare Earth Oxide (TREO). Its mineralization and surface proximity closely resemble those of the Ema REE Project, with grades aligning with typical Ionic REE deposits like Makuutu in Uganda. Currently, there is an extensive auger drilling program in progress, underscoring the commitment to thorough exploration and understanding of the project's potential.

Platinum Group Elements (PGE)

On 25 October 2022, BBX announced a maiden Mineral Resource Estimate for the Adelar prospect (Table 1), forming part of the 100% owned Três Estados project, Apui, Amazonas, Brazil. The MRE contains a total of 651,710 5E PGM ounces.

Table 1: Inferred Mineral Resource Estimate, Adelar prospect, Três Estados project

5E PGM refers to the sum of platinum (Pt), palladium (Pd), iridium (Ir), rhodium (Rh) and gold (Au) expressed in units of g/t.

• The Mineral Resource covers an area of 31 Ha which represents only 8% of the known gabbroic bodies at Três Estados.
• The mineralised zone extends for 800m along strike with a true thickness of 2m to 50m, averaging 15m and dipping 15-20° to the west-north-west. It remains open at depth and to the east and west.
• The Mineral Resource is located relatively close to surface and would be mined in an open pit. It is limited to a depth of 100m below surface based on the depth of the deepest mineralised intersection.
• The presence of rhodium and iridium contribute significantly to the average weighted price per ounce of the Adelar prospect 5E PGM.

On 25 January, the Company announced an updated Mineral Resource Estimate (Table 2) for the Três Estados project, including a maiden resource estimate for the Tabocal prospect located 2.5km east of the Adelar prospect, forming part of the company’s 100% owned Três Estados project.

Table 2 - January 2023 revised Inferred MRE –Três Estados project1F

• The inclusion of the Tabocal target increased the Mineral Resource by 73,520 ounces of 5E PGMs, comprising platinum and iridium.
• The Adelar estimate was revised applying the same economic parameters as those utilised for Tabocal to generate the constraining open pits at both prospects. As a result, the Adelar MRE increased by 10.5% from 590,300 ounces 5E PGMs to 651,710 5E PGMs