Eclipse Metals Grønnedal Rare Earth Resource Surges to 208Mt

Eclipse Metals Doubles Down: Grønnedal REE Resource Surges to 208Mt in Major Upgrade

Eclipse Metals Ltd (ASX: EPM) has delivered one of the most significant milestones in its history with the Eclipse Metals Grønnedal rare earth resource upgrade in Greenland, announcing a transformational update to the Mineral Resource Estimate (MRE) for its Grønnedal Rare Earth Element (REE) Project in southwest Greenland. The total resource has more than doubled to 208 million tonnes (Mt) at 0.72% Total Rare Earth Oxides (TREO), representing a 234% increase in tonnage and a 12% uplift in grade compared to the previous 89Mt Inferred Resource announced in 2025.

The upgraded MRE contains approximately 1.5Mt of TREO, including approximately 456,000 tonnes of praseodymium and neodymium oxides (Pr₂O₃+Nd₂O₃) — the magnet metals underpinning electric vehicles, wind turbines, and advanced defence technologies. Critically, Eclipse has also established an initial 6Mt Indicated Resource, marking the project's transition from pure exploration into feasibility-stage evaluation.

Executive Chairman Carl Popal said: "This is a major step forward for Eclipse and for the Grønnedal Rare Earth Project. The updated resource confirms that Grønnedal has grown substantially beyond the 89Mt Inferred Resource announced in 2025, with the new estimate increasing to 208Mt, including an initial 6Mt classified as Indicated. Importantly, this growth is not only in scale. The average grade has also increased by 12% REO, reinforcing the quality, consistency, and continuity of the system."

The Numbers at a Glance: What the Updated MRE Delivers

The Eclipse Metals Grønnedal rare earth resource upgrade in Greenland is underpinned by new data from recent diamond and percussion drilling programmes. It was estimated by independent Competent Person Alfred Gillman (FAusIMM) of Odessa Resources Pty Ltd using Leapfrog Edge software and Ordinary Kriging interpolation — industry-standard methodologies under the JORC Code (2012).

A secondary resource table also highlights a meaningful strontium co-product:

The average strontium grade of 1.45% SrO across 3Mt of contained SrO adds another dimension to the project's potential value, though no modifying factors have been applied to the current resource declaration.

Previous vs. Updated Resource: The Scale of the Transformation

The upgrade is not simply a function of adding more tonnes. Furthermore, the simultaneous grade improvement confirms that new drilling has consistently intersected higher-confidence, better-quality mineralisation, validating the geological model rather than diluting it.

Understanding the Geology: Why Carbonatite-Hosted REE Systems Matter

What Is a Carbonatite?

Carbonatites are rare igneous rocks composed predominantly of carbonate minerals. They are geologically significant because they host some of the world's largest and highest-grade rare earth element deposits, including:

• Bayan Obo, China — the world's largest REE deposit by production
• Mountain Pass, USA — North America's only active REE mine

Carbonatite-hosted REE systems are prized for their large scale, continuity of mineralisation, and the potential for conventional beneficiation using established processing routes. The Grønnedal deposit is hosted within the Proterozoic Grønnedal-Ika Complex, a carbonatite body measuring approximately 5km east–west by 1.2km north–south in southwest Greenland.

Magnetic inversion modelling indicates the carbonatite extends to depths exceeding 900 metres, with a near-vertical, pipe-like geometry — a characteristic shared by other large, deep-rooted carbonatite systems globally. In addition, the current MRE covers only a fraction of this system, with mineralisation confirmed open along strike and at depth.

Key Geological Terms for Investors

Why the Indicated Resource Classification Is a Critical Step Forward

The establishment of an initial 6Mt Indicated Resource may appear modest relative to the total 208Mt; however, it carries significant weight for the project's development trajectory.

Under the JORC Code (2012), an Indicated classification requires geological and grade continuity to be reasonably well established, with resource blocks located within 25 metres of supported drillhole data. This is the confidence threshold needed to underpin:

1. Feasibility-level technical studies — mine planning and resource scheduling require Indicated (or higher) classifications
2. Metallurgical test work — sample selection for processing studies can be tied to high-confidence resource domains
3. Development financing conversations — lenders and strategic partners typically require Indicated Resources as a starting point
4. Future Ore Reserve declaration — the pathway from Mineral Resource to Ore Reserve runs through Indicated Resources

Carl Popal acknowledged this directly: "The establishment of an Indicated Resource is a key milestone as we move from resource growth into feasibility work and development evaluation."

The remaining 202Mt sits in the Inferred category, providing a substantial inventory for future conversion drilling — a programme already planned for the 2026 Greenland field season.

Drilling Data: The Foundation of Confidence

The updated MRE was built on a robust, multi-source dataset compiled under strict JORC protocols:

• 6 HQ-diameter diamond drillholes completed by Eclipse (2025 programme) — average recovery of 98.2%
• 33 percussion drillholes completed by Eclipse
• 6 historic NQ-diameter diamond drillholes used to support Inferred classification
• 705 diamond core intervals and 224 percussion drill sample intervals forming the primary dataset
• 515 bulk density measurements using the water immersion method — average density of 3.21 g/cm³
• All samples analysed at ALS Laboratories (Australia) using industry-standard methods with full QA/QC protocols

The Competent Person visited the site and confirmed outcropping carbonatite locations and drillhole positioning, adding an additional layer of confidence to the reported estimate.

Feasibility Work Underway: From Exploration Asset to Development Project

Eclipse has moved beyond resource growth into the next phase of value creation, with feasibility-related work now formally underway. The programme encompasses:

1. Resource modelling and mine planning
2. Metallurgical test work and processing flowsheet development
3. Environmental and social baseline studies
4. Infrastructure and logistics assessments (noting the project area encompasses an all-season deep-water port)
5. Permitting and stakeholder engagement
6. Development sequencing and strategic partner engagement

Preliminary metallurgical test work has confirmed that rare earth elements occur primarily within readily liberated mineral phases, with potential for conventional beneficiation and hydrometallurgical processing routes. The project's geometry — near-surface mineralisation extending from surface to approximately 200 metres depth — is consistent with a potential low strip-ratio open-pit mining scenario.

2026 Field Season: The Next Resource Growth Catalyst

The upcoming Greenland field season will see Eclipse return to site with a focused drilling programme. Key targets include:

• Expansion of the Indicated Resource component beyond the initial 6Mt
• Improved geological confidence within priority development areas
• Testing of mineralisation extensions — rock-chip geochemistry has confirmed high-grade REE mineralisation up to approximately 1.6km beyond the current resource limits
• Supporting feasibility-level mine planning with additional data

The mineralisation remains open along strike and at depth, with magnetic inversion data suggesting the carbonatite system extends well beyond current resource boundaries.

The Strategic Context: Where Grønnedal Sits in the Global REE Landscape

Rare earth elements — and particularly the magnet metals neodymium and praseodymium — are central to the global energy transition. Permanent magnets made from Nd-Fe-B alloys are essential components of:

• Electric vehicle drivetrains
• Wind turbine generators
• Defence and aerospace systems
• Advanced electronics and robotics

Grønnedal's ~456,000 tonnes of Pr₂O₃+Nd₂O₃, representing 31% of total TREO, positions it as a project with direct relevance to permanent magnet supply chains. Moreover, the project's location in Greenland — a stable North Atlantic jurisdiction with an all-season deep-water port on-site — is a meaningful differentiator.

As Carl Popal noted: "Rare earths are strategically vital to Western economies, particularly within magnet-metal supply chains. Grønnedal offers both scale and quality — near-surface mineralisation, strong REE continuity, and a stable location in Greenland — all of which support its growing relevance to Western critical-minerals strategies."

Investment Thesis: Why This MRE Update Changes the Conversation

The Eclipse Metals Grønnedal rare earth resource upgrade in Greenland materially advances Eclipse Metals' investment case across several dimensions.

Scale and Grade Quality

At 208Mt, Grønnedal has crossed the threshold from a promising exploration target into a large-scale REE system capable of supporting long-life development studies. Furthermore, the simultaneous increase in tonnage and grade — TREO rising 12% to 0.72% while tonnes more than doubled — signals that new drilling encountered mineralisation consistent with or better than the existing model.

Development Readiness and Expansion Potential

The establishment of an Indicated Resource component and the commencement of feasibility work mark a qualitative shift in the project's stage of development. Eclipse is no longer solely in the business of expanding a resource — it is now building the technical case for a potential mine.

The resource covers only a portion of a carbonatite body extending over 5km by 1.2km, with depth potential exceeding 900m. High-grade mineralisation has been confirmed up to 1.6km beyond current resource boundaries, giving Eclipse a clear and well-defined exploration runway.

Co-Product Optionality

The 2.97Mt of contained SrO at an average grade of 1.43% adds potential value beyond the primary REE inventory, subject to future metallurgical and economic assessment. In addition, the project's all-season deep-water port infrastructure provides a logistical advantage that few comparable projects can offer.

Key Takeaway: Eclipse Metals has transformed Grønnedal from an 89Mt inferred exploration resource into a 208Mt project with an Indicated Resource foundation and active feasibility studies — all while improving grade by 12%. With the 2026 drilling season poised to grow the Indicated inventory further and feasibility work now formally underway, the project is entering a phase where each new data point builds directly toward a development decision. For investors seeking exposure to Western-aligned rare earth projects at scale, Grønnedal has become one of the more significant names to monitor.

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