SPECTRUM METALS LIMITED 
By (ASX:SPX)
ASX ANNOUNCEMENT
20 January 2014
GROUND RADIOMETRICS DEFINES TARGETS: SKYFALL HEAVY RARE EARTH PROSPECTHighlights
Spectrum Rare Earths (ASX:SPX) is pleased to announce significant progress at its Skyfall Heavy and Magnetic End Use Rare Earth Prospect. Very positive ground radiometric results continue to outline a large drill target with an economically favourable Rare Earth mix and evidence of an increasingly promising mineralogical setting. Over 250 assays from the completion of Phase 1 activities are pending. Assays are expected in the coming weeks and work is continuing.Target Definition Improves
Ground radiometric anomalism associated with the mineralisation (illustrated in Figure 1) has defined a number of primary targets for follow up sampling, trial pitting and drilling. Radiometric anomalism is a key indicator of rare earth mineralisation in the district and in this instance it is seen to be closely associated with a strong geological fault pattern (Figure 1). This geological control further highlights
the potential of the system.
Assays Pending
A program of over 250 soil and rock chip samples has been completed in the past month (illustrated in Figure 1) with assay results expected in the coming weeks. Hand held XRF analysis has helped to prioritise sampling, assay activities and follow up activities. Work continues.
Figure 1 Skyfall Prospect showing results from early 2013 rock chip sampling, mapped geological fault patterns and recent surface sampling with assays pending (background airborne photography in 3D/plan with ground radiometric grid overlay (scintillometer relative value)).
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Larger System Evident
Significant rock chip locations now exist over at least a 6km strike length and approximately 1.5km cross section (Figure 1). Airborne radiometrics and geological interpretation has highlighted the potential for the system to be much larger.
Important Rare Earth Oxide Mix
Rock chip assay results returned at Skyfall in 2013 showed a high proportion (37% of TREO) of the combined rare earths dysprosium, terbium, neodymium, praseodymium, gadolinium and samarium. These rare earths feed key end use growth markets in fixed permanent magnets. These magnets are used in energy saving devices such as hybrid cars. This magnetic market is reportedly the fastest growing of all rare earth major end use markets. Skyfall's distribution in these more valuable rare earths is unusually high when compared to other rare earth prospects around the world.
Unique Europium Signature - Mineral Processing Possibilities
The Europium content of reported rock chip results from Skyfall shows a rare and unusually high Europium distribution (+1%/TREO). Europium is a highly valuable Medium Rare Earth (MREE) used to make among other applications, the red colour in LED displays. The rare earth mineralogy behind this exciting signature is being investigated as it may provide information on possible efficient mineral processing regimes for the Skyfall Prospect.
About Spectrum's Rare Earth District
Spectrum's Heavy and Magnetic End Use Rare Earth District is located approximately five hours' drive South of Darwin (Figure 2). It is home to multiple Heavy and Magnetic End Use Rare Earth dominant prospects which are indicating mineralogy and geology that may be favourable for lower cost mineral processing regimes.
Figure 2: Spectrum's Northern Territory Rare Earth District
Summary
The Directors are delighted with the progress of exploration at Skyfall. Very positive ground geophysics results continue to outline a large drill target with an economically favourable Rare Earth mix and evidence of an increasingly promising mineralogical setting.
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For further information please contact: MR IAN BAMBOROUGH
Managing Director
Spectrum Rare Earths Limited
(08) 9325 7946 or ian.bamborough@spectrumrareearths.com.au
Heavy Rare Earth Elements HREE's and Heavy Rare Earth Oxides (HREO) = Dy, Er, Ho, Lu, Tb, Tm, Yb, Y; Magnetic End Use Rare Earths classified by Spectrum as Dy, TB, Nd, Pr, Sm and Gd;
Medium Rare Earth Elements MREE's = Gd, Eu, Sm;
Light Rare Earths LREE's Ce, La, Pr, Nd.
Spectrum Rare Earths Limited holds approximately 15,000km2 of prospective land package across 56 (36 under application) tenements making it one of the biggest ground holders in the Northern Territory of Australia. The business holds multiple consolidated project areas across several key geological and metallogenic terrains, affording it some opportunity to diversify exploration into many commodities. Spectrum's main focus is its Skyfall Heavy and Magnetic End Use Rare Earth District where it retains approximately 3,000km2 of tenements. The Rare Earth District is located approximately 5 hours' drive south of
Darwin.
The information in this report relates to exploration results compiled by Ian Bamborough, who is a Member of The Australian Institute of Geoscientists. Ian Bamborough is a fulltime employee of Spectrum Rare Earths Limited. Ian Bamborough has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Ian Bamborough consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.
Registered Office
Main Office
Company Management
15 Lovegrove Close
Mount Claremont WA 6010
Tel: 08 9384 3284
Fax: 08 9284 3801 info@spectrumrareearths.com.au
Level 10, 553 Hay Street
Perth WA 6000
Tel: 08 9325 7946
Fax: 08 9262 3683
ABN: 94 115 770 226 www.spectrumrareearths.com.au
Peter Harold: Non-Executive Chairman Ian Bamborough: Managing Director Huipeng Zhang: Non-Executive Director Anthony Barton: Non-Executive Director Leon Charuckyj: Non-Executive Director
Graeme Boden: Company Secretary
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JORC Code, 2012 Edition - Table 1
Section 1 Sampling Techniques and Data(Criteria in this section apply to all succeeding sections.)
Criteria JORC Code explanation Commentary
