Australian Mines Targets Major Scandium Resource Expansion at Flemington
Australian Mines Limited is gearing up to expand its high-grade scandium resource at the Flemington Project with a new drilling program targeting both infill and lateral extensions.
- Current 2025 Scandium Mineral Resource Estimate at 6.3 million tonnes @ 446 ppm
- Planned 50 aircore drillholes for infill, expansion, and exploratory drilling
- Potential resource increase at lower cut-offs, with 28 million tonnes @ 217 ppm scandium at 100 ppm cut-off
- Drilling targets include extensions near Rio Tinto’s Burra Scandium project
- Assessable Prospecting Operation submission underway to commence drilling
Flemington Project Poised for Growth
Australian Mines Limited (ASX: AUZ) has announced preparations for a significant drilling campaign at its Flemington Project in New South Wales, aiming to expand its high-grade scandium Mineral Resource Estimate (MRE). The current 2025 MRE stands at 6.3 million tonnes grading 446 ppm scandium, but recent resource modelling suggests a much larger mineralised inventory of 28 million tonnes at 217 ppm scandium when considering a lower 100 ppm cut-off.
The company plans approximately 50 aircore drillholes, with two-thirds focused on the existing resource area. About one-third of these will be infill drilling to increase confidence in the resource, while another third will test potential lateral extensions. The remaining drillholes will explore the Owendale Intrusive Complex within the Flemington tenements, a geological unit that hosts Rio Tinto’s nearby Burra Scandium project, located just 4 kilometres east.
Strategic Location and Market Context
Flemington’s proximity to other scandium projects, including those of Rimfire Pacific Mining and Sunrise Energy Metals, places Australian Mines in a promising corridor of scandium exploration and development. This cluster effect could enhance the region’s profile as a future scandium supply hub.
Scandium’s strategic importance is underscored by its critical mineral status and growing demand, particularly in the hydrogen economy and advanced materials sectors. The US Geological Survey notes that global scandium supply and demand have doubled since 2021, with forecasts projecting a compound annual growth rate of 14.7% through 2030. Notably, 80% of current scandium production originates from China, while the US imports 100% of its supply, highlighting geopolitical supply chain vulnerabilities.
Applications Driving Demand
Scandium’s unique properties make it essential for several emerging technologies. It enhances solid oxide fuel cells (SOFCs), which are pivotal in clean energy generation and hydrogen storage solutions. Additionally, aluminium-scandium alloys offer lightweight, corrosion-resistant materials critical for aerospace, automotive, and space industries aiming to improve fuel efficiency and reduce emissions. Scandium also plays a role in advancing semiconductor and 5G communications technologies.
Next Steps and Regulatory Progress
Australian Mines is advancing its Assessable Prospecting Operation (APO) submission to the New South Wales Department of Resources, a necessary regulatory step to commence drilling. The company’s technical team, led by Director Mick Elias, confirms that all assumptions underpinning the current resource estimates remain valid.
The upcoming drilling results will be critical in validating the potential resource expansion and could significantly enhance Australian Mines’ position in the scandium market. Investors will be watching closely as the company moves from resource definition towards potential development.
Bottom Line?
The Flemington drilling program could redefine Australian Mines’ scandium potential amid surging global demand.
Questions in the middle?
- Will the drilling confirm significant lateral extensions to the current scandium resource?
- How might rising scandium demand and supply constraints impact Australian Mines’ valuation?
- What are the timelines and capital requirements for advancing Flemington towards production?
