Defense Metals Corp. reported the most recent results of the extensive comminution and beneficiation test work that has been conducted by SGS Canada Inc. in Lakefield, Ontario ("SGS") on variability samples from the Wicheeda Rare Earth deposit. Beneficiation Results: A total of 90 open-circuit flotation tests, using 1 or 2 kg of feed, were conducted on seventeen individual variability samples, various composites and blends.

Considering all open-circuit flotation tests, at a feed grade of 3% TREO (Total Rare Earth Oxide), the best fit line indicated 80% recovery to a 45% TREO concentrate. Closed circuit operations, as practised in flotation plants, can be expected to deliver higher recovery and grade. In addition to the smaller-scale tests, 29 bulk flotation tests using 10 or 12 kg charges were completed to both further optimize parameters and generate 16 kg of 46% TREO content with a recovery of 78% for use as feed for hydrometallurgical tests.

Very favourable results were obtained in a locked cycle test on a deposit composite giving a recovery rate of 85% of the rare earths at a concentrate grade of 50.7% TREO. The beneficiation tests were aimed at confirming the reagent suite and operating parameters developed in earlier testwork and in the 2020 flotation pilot plant operated on a 26t bulk sample. The variability samples responded well to the flowsheet and the selected reagent suite and operating regimes (temperature, density).

Comminution Results: SMC and Bond comminution tests were complete on all variability samples. The recent work confirms, and significantly expands on, the data obtained during the 2020 pilot plant work. The data indicate that grinding energy will be relatively low, in particular in the upper portions of the deposit when the softer dolomitic carbonatite (DC) material, with a Bond ball mill work index of 9 kWh/t, is the majority of the potential mill feed.

Autogenous or semi-autogenous grinding system followed by a ball mill will be very satisfactory for the Wicheeda comminution plant. The three key rare earth-bearing lithologies in the Wicheeda deposit are, (1) the higher-grade dolomite carbonatite ("DC") which makes up 73% of the deposit, (2) the xenolithic carbonatite ("XE") that represents 24% of the deposit, and (3) the syenite ("SYN"). Based on its near surface location, the DC material is expected to comprise the majority of the mill feed and the XE and SYN lithologies deeper in the deposit mined later.

The primary rare earths minerals are monazite, bastnäsite and synchysite/parisite. The comminution and beneficiation tests were done at SGS by a team headed by Dr. Jing Liu, Senior Metallurgist. Test material comprised a 260 kg Master Composite and seventeen variability samples, each nominally 36 kg, prepared from drill core and representing the three main lithologies in the Wicheeda deposit.

The variability samples were selected to cover the three dominant lithologies, a range of grades (1.1% to 4.5% TREO), depths (7 m to 221 m down-hole), and locations in the deposit. Extensive mineralogy was completed on the samples and test products to better define the deposit and process results. A total of 90 open-circuit flotation tests, using 1 or 2 kg of feed, were conducted on a DC composite, xenolithic and syenite composites, the individual variability samples, the Master Composite and various other composites and blends.

At a feed grade of 3%, the best fit line indicates 80% recovery to a 45% TREO concentrate. Closed circuit operations, as in a flotation plant, would deliver higher recovery and grade. The lower-grade XE and SYN material that are expected to be encountered late in potential mine life delivered somewhat lower concentrate grades and recoveries.

Three locked-cycle tests were completed, with LCT-3 operated on 12 kg batches of a New Master Composite made up from all variability samples blended according to the lithology distribution. Comminution test work was completed by SGS using standard Bond comminution tests and the SMC test which measures the competence of primary grinding mill feed. The SMC results were provided to JKTech for interpretation.

The Bond ball mill work indices were 9, 11, and 13 kWh/t for the DC, XE, and SYN samples respectively. The SMC report categorized the DC samples as being very soft and the XE samples as medium.