Chilwa’s REE Anomalies Signal Potential High-Value Mineralisation Ahead of Drilling

Chilwa Minerals has reported compelling geochemical results from initial soil sampling at its Lake Chilwa project, revealing significant concentrations of niobium and rare earth elements. These findings bolster the company's dual exploration strategy and set the stage for accelerated drilling campaigns.

  • Initial soil sampling confirms presence of niobium and rare earth elements (REEs)
  • Anomalies show concentrations 10 to over 500 times background levels
  • Eleven priority targets tested out of 47 identified geophysical anomalies
  • Results align with signatures typical of alkaline intrusions and carbonatites
  • Ongoing exploration to focus on remaining 36 REE targets with drilling planned
An image related to Chilwa Minerals Ltd
Image source middle. ©

Initial Soil Sampling Validates REE Potential

Chilwa Minerals Limited (ASX: CHW) has released encouraging results from its initial geochemical soil sampling program at the Lake Chilwa Critical Minerals Project in southern Malawi. The company targeted 11 of 47 rare earth element (REE) anomalies identified through detailed aeromagnetic and radiometric surveys conducted in 2024. The soil samples, collected at approximately 200m spacing, were analyzed using a sensitive ionic leach method capable of detecting subtle elemental variations.

The results, received in January 2025, reveal the presence of niobium and a broad suite of light, medium, and heavy rare earth elements across all tested targets. Concentrations ranged from 10 to over 500 times the background levels, demonstrating strong geochemical signatures consistent with mineralisation associated with alkaline intrusions and carbonatite systems.

Geochemical Fingerprints and Regional Context

The element groupings detected, spanning lanthanides such as cerium, neodymium, dysprosium, and yttrium, mirror those found in known carbonatite deposits nearby, including the well-studied Chisi Island carbonatite. This geological analogue provides a valuable geochemical template, supported by prior academic research, to interpret Chilwa’s soil data and refine exploration models.

Chilwa’s Managing Director, Cadell Buss, highlighted the significance of these findings, noting the similarity of the sub-continental mantle source to that which generated the Kangankunde carbonatite deposit. He expressed optimism about the presence of a full spectrum of REEs and niobium, elements critical for emerging technologies and green energy applications.

Strategic Dual Exploration Approach

The company is advancing a twin-track exploration strategy, simultaneously targeting heavy mineral sands and rare earth elements. The recent capital raise has enabled the establishment of dedicated teams focused on these distinct mineral systems, allowing for accelerated and specialised exploration efforts.

Following the positive soil sampling results, Chilwa plans to intensify exploration activities on the remaining 36 priority REE targets. The deployment of three drilling rigs and the operation of an on-site preparation laboratory at Zalewa are expected to improve turnaround times for assay results and expedite the evaluation of mineralisation.

Next Steps and Market Implications

Further soil sampling, detailed geochemical modelling, and diamond drilling are planned to delineate and prioritise high-potential zones within the Chilwa tenements. The company’s approach to integrating geophysical and geochemical data aims to enhance targeting precision and reduce exploration risk.

These developments position Chilwa Minerals as a noteworthy player in the critical minerals sector, particularly as global demand for rare earths and niobium intensifies. Investors and industry observers will be watching closely as the company progresses from promising geochemical anomalies to potential resource definition.

Bottom Line?

Chilwa’s compelling geochemical results mark a pivotal step towards unlocking Malawi’s rare earth and niobium potential, with drilling campaigns poised to reveal the project's true scale.

Questions in the middle?

  • How will the upcoming drilling results refine the understanding of mineralisation extent and grade?
  • What are the potential economic implications of the niobium and REE concentrations for Chilwa’s project valuation?
  • How might Chilwa’s dual strategy impact its capital allocation and exploration timelines moving forward?