(Alliance News) - Cobra Resources PLC on Monday reported high ionic rare earth mineralisation at the Wudinna project, after test work carried out at the Boland prospect found ionic adsorption rare earth clays.

Shares in Cobra were trading 9.5% higher at 1.26 pence each in London on Monday morning.

The gold, rare earth and iron oxide copper gold ore deposits exploration company focused on the Wudinna project in South Australia said test work, which was carried out by the Australian Nuclear Science & Technology Organisation, found rapid ionic metallurgy recoveries through desorption leaching.

Maximum extractions of 58% magnet rare earth oxides and 65% heavy rare earth oxides were achieved, Cobra said.

The company also announced it has made a further two tenement applications to increase the size of the Wudinna project, in order to "establish itself as the dominant landholder on the Narlaby palaeo-channel".

Cobra also plans to "rapidly advance" the Boland discovery by drilling sonic core holes, installing monitoring wells and carrying resource expansion aircore drilling.

Chief Executive Officer Rupert Verco said: "These metallurgy results place the company amongst the handful of projects which can attest to having highly desirable ionic rare earth mineralisation. Low-cost metallurgy, coupled with low-cost in-situ recovery mining, are the key ingredients to enable a clean, low-impact sustainable source of rare earth metals."

By Sabrina Penty, Alliance News reporter

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