Encounter Resources – High-Grade Niobium Extends East at Green, Aileron Project (WA) - Is it Time to seriously consider a Position in this Story.
- Noel Ong
- 19 hours ago
- 7 min read
Announcement
High Grade Niobium Mineralisation Extends East of Green MRE - 17 December 2025 (view the announcement)
Encounter Resources Limited (ASX: ENR) has reported continued success from aircore drilling at the Green Prospect, part of the Aileron Project in the West Arunta region of Western Australia (Figure 1). Recent drilling has confirmed the extension of shallow, high-grade niobium mineralisation east of the existing Green Mineral Resource Estimate (MRE), reinforcing the scale and continuity of this emerging carbonatite-hosted niobium system.
Figure 1: Location of Aileron Project in the West Arunta region of Western Australia (source: ENR)
The Business of Encounter Resources: Niobium and More Niobium
Encounter Resources is an Australian mineral exploration company focused on discovering major copper and niobium–rare earth element (REE) deposits. Its project portfolio is 100% owned and located in Tier-1 Australian jurisdictions, with the Aileron Project representing a key strategic asset within the underexplored West Arunta Province. The company’s exploration strategy is centred on high-impact discovery supported by systematic drilling, geophysics, and metallurgical work.
Highlights – High-Grade Niobium Continues to Grow at Green East
Shallow, high-grade niobium mineralisation continues along strike at Green and remains open to the east beyond the current MRE footprint (Figure 2).
Figure 2: Green Prospect – Niobium AEM Layered Earth Inversion (LEI) with MRE outline (source: ENR)
Step-out drilling has confirmed high-grade niobium over 400 metres east of the initial Green MRE, including:
8m @ 2.2% Nb₂O₅ from 46m, within 18m @ 1.3% Nb₂O₅ (EAL1399).
13m @ 1.1% Nb₂O₅ from 35m, within 18m @ 0.9% Nb₂O₅ (EAL1387).
Infill drilling continues to deliver thick, high-grade intersections (Figure 3), including:
53m @ 2.6% Nb₂O₅ from 43m, part of 125m @ 1.5% Nb₂O₅ to end of hole (EAL1375).
12m @ 2.5% Nb₂O₅ from 112m, part of 45m @ 1.1% Nb₂O₅ (EAL1377).
Figure 3: Green Prospect – Cross Section A–A’(source: ENR)
Near-surface niobium mineralisation at Crean has been extended further east, highlighting the broader system scale along the Elephant Island Fault (Figure 4).
Figure 4: Elephant Island Fault – RTP Magnetics with Crean MRE outline (source: ENR)
A strong news flow is anticipated, with further assay results expected from January 2026, an MRE upgrade planned for H1 2026, and a major field program scheduled for 2026.
Leadership Commentary
Executive Chairman, Will Robinson, comments:
"Green East continues to shape up as a priority area for potential resource growth with broad-spaced drilling demonstrating the continuation of high-grade mineralisation along strike outside the existing MRE.
At Green, the latest infill results highlight that increasing drill density in these systems has strong potential to lift both the grade and thickness of the resource.
In addition, broad-spaced aircore drilling along the Elephant Island Fault east of Crean is also intersecting shallow niobium-REE mineralisation linked to the large carbonatite complex that runs more than 8km from Crean to Hurley. We still haven’t found the edges of the system, and further drilling is likely to identify additional shallow mineralisation.”
About the Project
The Aileron Project hosts carbonatite-related niobium deposits at Green, Crean, and Emily, with an Inferred Mineral Resource of 19.2 Mt @ 1.74% Nb₂O₅ reported above a 1.0% Nb₂O₅ cut-off (Table 1). Green represents the largest component of this resource, containing 12.1 Mt @ 1.63% Nb₂O₅. Mineralisation is hosted within weathered carbonatite systems, where regolith processes have enriched near-surface niobium, supporting shallow drilling and potential development optionality.
Table 1: Aileron Project Inferred Mineral Resource Estimate
Near-term Milestones to Watch
Ongoing assay results from infill and extension drilling at Green, with results expected through January–February 2026.
Completion of an updated MRE in H1 2026, incorporating 2025 drilling.
Advancement of metallurgical testwork, including flotation and refining studies, with results anticipated in H1 2026.
Commencement of a major 2026 field program targeting increased drill density, regional target testing, and inputs to future development studies.
Samso Concluding Comments
Encounter Resources’ latest drilling results at Green continue to reinforce the strength of the Aileron Project as an emerging niobium system of scale. The consistency of shallow, high-grade intersections across both infill and step-out drilling suggests that the geological model is holding together as drill density increases. From a Samso perspective, this type of repeatability is critical, as it reduces geological uncertainty while steadily improving confidence in the underlying resource.
The extension of mineralisation east of the current Green MRE is particularly noteworthy. Step-out results confirming high-grade niobium over hundreds of metres beyond the existing resource boundary highlight that the current MRE footprint does not yet define the limits of the system. This matters because resource growth driven by systematic drilling is often what differentiates early exploration success from projects that progress toward development studies.
Infill drilling at Green is also playing an important role in refining the quality of the resource. Thick, high-grade intersections delivered through tighter drill spacing point to the potential for improvements in both grade and thickness in future MRE updates. While the market often focuses on headline grades, Samso places equal emphasis on continuity and volume, especially for critical minerals where scale and consistency underpin long-term strategic relevance.
Beyond Green, the continued success at Crean along the Elephant Island Fault reinforces the district-scale nature of the Aileron Project. The presence of shallow niobium–REE mineralisation linked to a large carbonatite complex extending over several kilometres suggests that Aileron is not a single-deposit story.
With further assays pending, metallurgical work underway, and an MRE upgrade planned, Encounter is entering a phase where exploration outcomes will increasingly feed into clearer development and strategic narratives—an evolution Samso will continue to monitor closely.
Market Implications
As of the 5th January 2025, the market capitalisation of ENR is AUD $211.9M, which feels high, but if you take into context that they are virtually going through their paces to build what could be the mecca of Niobium, and goodness, what else they will find with time.
Figure 5: The share price chart for Encounter Resources as of 5th January 2025. (source: CommSec)
As a geoscientist and being in the mineral exploration sector for over three decades and spending the last 15 years trying to make that discovery as the founder of an ASX company, I can only wish I had the opportunity that is in front of ENR. I remember when WA1 made the Luni discovery, there were talks that ENR had missed out on the prize, but with time and perseverance, I think ENR is going to come up with the ultimate prize of being the owner of a Niobium province.
As an investor, if you take the same view as I, the market cap of AUD $211.9M is going to be very cheap. If you take a look at Firefly Metals Limited and their discovery in Canada, they are now sitting on a market capitalisation of AUD $1.419B. If and when ENR continues to develop the province, I do not doubt that the valuations will be way north of what they are now. This is a long-term proposition, and one cannot take a short-term position as the mineral resource game is always long-term.
In conclusion, DYOR and make sure you don't miss the boat. I don't think it has left the harbour yet, and time is still available for those still pondering.
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