(Managed to copy the Paydirt article from the Indaba Preview...

(Managed to copy the Paydirt article from the Indaba Preview section. Obviously the interview was done before the Resource Stocks article which Von Trapp mentions.)

Peak Resources Ltd is outpacing its competitors in the rare earths field, according to executive chairman Alastair Hunter.
Since prioritising exploration in Tanzania over its Australian assets, such as the Three Rivers copper-gold project near Sandfire Resources NL’s DeGrussa deposit, Peak has established itself in the rare earths space quickly in the past two years.
When making the decision to hone its attention on exploration in East Africa two years ago, the Ngualla rare earth-niobium-tantalum-phosphate project and the Lupa gold project were slated to become the source of news flow for the company.
However, since then the company has also entered into an option agreement for the Bunda project, in the northern Lake Victoria goldfields and was also active at its Igunga gold project in the September 2011 quarter. A programme of soil sampling was completed over 7sq km at Igunga, 90km south-west of the Golden Pride mine.
Samples were being analysed with results expected back as Paydirt went to print.
As the gold results start to filter in, the company will be nearing the end of a resource drilling campaign at the Ngualla project, southern Tanzania.
“It was a brand new discovery and in just over two years we have taken it from that point to where we will have the first resource in the first quarter (2012). Compared to most of our competitors that is an amazing performance,” Hunter said.
Hunter credits the company’s slick progression to a pending resource from the Southern rare earth and South West alluvial zones to a “very systematic and bold” approach it has taken to exploration, leaving the company bullish about the prospects of announcing a large first up resource.
“Our expectations are that the resource will be very substantial and it will compare favourably with our competitors.”
Hunter likened Ngualla to Lynas Corporation Ltd’s Mt Weld rare earths project near Laverton in Western Australia.
The Mt Weld resource is 1.41mt @ 2.5% (cut-off) rare earth oxides.
“In every way you might expect it (Ngualla) to be similar to Mt Weld although not as high-grade. But the grade overall stacks up very well against our competitors, with the exception of Mt Weld. I wouldn’t be surprised if the resource was larger (eventually) but lower grade than Mt Weld,” Hunter said.
Resource drilling was expected to wind down before the end of November prior to the onset of the wet season.
A steady stream of drill results can be expected to be released throughout the New Year.
To date over 200 holes for 15,348m has been completed with seven diamond holes drilled in 2011 which have been sent back to Australia for analysis and detailed metallurgical test work.
“Further metallurgical test work is one of the priorities for 2012. I would then suggest there will be further infill drilling of the resource area. We will also be doing a lot more drilling up in the northern niobium-phosphate-tantalum zone.”
A budget of $5 million has been allocated for exploration work in 2012, and weather permitting, Peak hopes to be back in the field drilling in April.
“The first year we were there it rained from the end of November to the end of May, this year it stopped in April. We plan to be drilling in April but we will be back doing a lot of the proprietary work probably early in April,” Hunter said.
The company has good road access to and from site however parts of the route can be problematic.
Peak spent money upgrading the roads in 2011 and plans to dedicate more money to improving the infrastructure in 2012.
By investing in infrastructure it may well make life easier for Peak at Ngualla as it moves towards more definitive studies.
The virgin rare earths ground at Ngualla was first drilled in June 2010 but despite Peak’s ability to take its discovery to a resource in under two years, Hunter is prepared for the long haul to production.
“It’s been a challenge but a wonderful challenge and we look forward to the challenges ahead.”
Peak will have a better gauge on the project soon and is looking towards 2013/14 for the start of full feasibility studies.
– Mark Andrews
INDABA PREVIEW