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Highlights

  • Initial inferred resource of 19.2Mt @ 1.74% Nb₂O₅ announced for Aileron project.

  • Resource defined after just six months of drilling across Green, Emily, and Crean deposits.

  • Shares rise 5.26% on optimism over Aileron's global niobium potential.

Encounter Resources Ltd (ASX:ENR) has reported a significant milestone in the development of its Aileron niobium project in Western Australia, delivering a maiden inferred mineral resource estimate (MRE) of 19.2 million tonnes at 1.74% niobium pentoxide (Nb₂O₅), based on a 1.0% cut-off grade.

The JORC 2012-compliant estimate, prepared by Snowden Optiro, follows just six months of targeted drilling in the West Arunta region, a previously underexplored but geologically promising area. The maiden resource spans three deposits: Green, Emily, and Crean, the last of which was discovered only in June 2024 and quickly became a standout high-grade zone.

When applying a broader 0.25% Nb₂O₅ cut-off, the total resource expands to 67.6Mt at 0.88% Nb₂O₅, highlighting the project's scale and future development potential. Encounter is continuing reverse circulation (RC) drilling to extend the known mineralisation, which remains open along strike and at depth.

Executive chairman Will Robinson hailed the announcement as a landmark moment in the company’s exploration journey:

“This early success highlights the exceptional geological potential of the Aileron project and the broader West Arunta region,” Robinson said.

“The mineralisation outlined to date could become one of the world’s most significant undeveloped niobium resources. This is only the beginning.”

Niobium, a critical metal primarily used in high-strength steel and emerging technologies such as electric vehicles, is increasingly drawing investor attention as part of the global push towards critical mineral independence.

The news sparked a positive market response, with Encounter shares trading at 20 cents, up 5.26% by 10:26 AEST.