St George Mining Limited today revealed a major exploration breakthrough at its Araxá Project in Minas Gerais, Brazil. In the first batch of auger drilling, the company returned significant high-grade rare earth element (REE) intercepts, including one hole recording a 13.5‐meter interval at 12.34% total rare earth oxides (TREO) starting just 0.5 meters from surface. These encouraging results come from 22 shallow holes that all intersected high-grade mineralisation, with magnet rare earths showing ratios up to 35% and NdPr values reaching as high as 3.33%. The new discovery lies approximately one kilometre east of the existing, JORC-compliant resource, which currently comprises 40.64 million tonnes grading 4.13% TREO. The auger drilling program, designed as a reconnaissance survey, has effectively expanded the known high-grade mineral system and suggests the presence of a larger, underlying deposit. John Prineas, Executive Chairman of St George Mining Limited, highlighted the exceptional assay results and the exploration upside, noting that follow-up reverse circulation and diamond drilling will be prioritised to better define the vertical extent and continuity of the mineralisation. The company also underscored the strategic significance of the Araxá Project by comparing it to world-class, carbonatite-hosted REE deposits like Mountain Pass in California and Mt Weld in Australia. This deposit style is celebrated for its high grades and competitive production cost profiles. In addition to enhanced resource potential, St George Mining Limited’s strong partnership with the Brazilian government and its inclusion in the MAGBRAS Initiative suggest a supportive operating environment amid global moves to secure domestic REE supply chains. Investors might interpret the news with a bullish tone given the superior assay grades and the possibility of significant resource expansion. The discovery reinforces the company’s development strategy and hints at an elevated role within the international rare earths market, potentially attracting further investment. Conversely, some may view the update with a bearish sentiment because the results are preliminary, and the success of follow-up drilling remains to be proven amidst the typical risks and uncertainties associated with early-stage exploration projects.