Viridis Mining and Minerals Limited has secured a potential world class Ionic Adsorption Clay (IAC) Rare Earth Element (REE) Project in the Poços De Caldas Alkaline Complex, Minas Gerais, Brazil. Viridis has entered into a binding agreement to acquire 100% of the rights to the REEs comprising the
Colossus Rare Earth Project (Colossus Project), consisting of 41 Licenses (including 2 Mining Licenses) covering 5,616 Hectares (56km2) within South America's larger known Alkaline Complex. A total of 34 shallow auger holes have been drilled by previous owners, to a maximum depth of 3 meters.
All 34 holes have returned remarkable grades of REE mineralisation, within heavily weathered clay and humic profiles, including: 3m @ 2,003 ppm TREO from surface (22% MREO) ending in mineralisation (TN-AG-222); 3m @ 1,997 ppm TREO from surface (22% MREO) ending in mineralisation (TN-AG-223); 3m @1,785 ppm TREO from surface (34% MREO) ending in mineralisation (F4); 3m @ 1,936 ppm TREO from surface (19% MREO) ending in mineralisation (TN-AG-145); 3m @ 1,780 ppm TREO from surface (31% MREO) ending in mineralisation (F2); 3m @ 1,950 ppm TREO from surface (19% MREO) ending in mineralisation (TN-AG-221); The REE (Pm) and (Sc) were not analysed. 2- For the MREOs, the oxides considered were Dy2O3, Nd2O3, Pr6O11, Tb4O7 + Sm2O3. Mineralisation remains open in all directions and at depth; no drilling has been conducted below 3 meters to date with negligible Uranium and Thorium levels present. 75% of samples returned > 800 ppm TREO grade. In IAC-type deposits, the highest concentrations of REEs are typically located in an intermediate weathered layer, hence the grades tend to be the lowest in the first 5 meters. Viridis believes the preliminary drill results to date represent the underpinning of a tier-one project, with grades expected to increase significantly when tested with deeper drilling. The Colossus Project directly adjoins the world-class Caldeira Ionic Adsorption Clay Project (409Mt @2,626ppm TREO) and shares the same weathering profile which has been proven to be a true "Ionic Adsorption Clay Deposit" by Meteoric Resources Ltd, whereby Rare Earths are recovered via single step leaching with Ammonia Sulphate at room temperatures. Highly attractive deal terms with total consideration of USD 2.0 million for the Project (with USD 1 million payable upfront), structured as an advanced royalty payment on a royalty from future production. The
Company will also issue performance rights to the Vendors as part consideration. Viridis will raise AUD 2.2 million at AUD 0.25 (a 3.3% premium to 10-day VWAP), to fund exploration and the initial upfront cash payment for the Colossus Project. Ionic Rare Earths Limited will be the cornerstone
for AUD 600,000 and will provide the Company additional expertise to fast-track the Colossus Project into development. Varginha Parties (Vendors) have a rich history and expertise in mining in Brazil and the region, with more than 300 mining titles registered for bauxite, manganese, limestone, granite, clay, rare earths, and peat. Currently, Varginha Mineração operates eight open-pit mines, three for bauxite, two for clay, and two for
manganese, collectively producing approximately 560,000 tons of ore and clay per year. Varginha also operates two beneficiation plants with calcination of its bauxite and clays, runs a magnesium sulphate plant, and has plans to implement a cement factory and a hydroelectric power plant. Viridis has established an innovative partnership with the Vendors to further explore opportunities to acquire additional exploration and mining licenses prospective for IAC Rare Earths in the Poços de Caldas Complex, as part of a long-term vision to scale the Colossus Project to a world-class asset. The Colossus Project is located within the Alkaline ring complex of Poços De Caldas and neighbouring the cities of Caldas, Aguas De Prata and Andradas. The Colossus Project areas are easily accessible through paved roads, with all necessary infrastructure (water, electricity, gas).