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Pacific Wildcat: drilling shows potential reserves of niobium and rare earth

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Processing of iron ore in Taita Taveta. Canadian-based minerals and metals firm Pacific Wildcat Resources said significant niobium and rare earth oxide (REO) mineralisation were encountered in five diamond drilling holes at its site at Mrima Hill, Mombasa. File

Canadian-based minerals and metals firm Pacific Wildcat Resources said it had established potential reserves of niobium and rare earth at its Kenyan mining project near the port city of Mombasa.

Significant niobium and rare earth oxide (REO) mineralisation were encountered in five diamond drilling holes at its site at Mrima Hill, the company said.

"As can be seen from the cross sections, we now have proved the high grade niobium mineralisation extends at depths substantially deeper than the initial inferred niobium resource which is limited to a depth of 30 meters," Pacific Wildcat President Darren Townsend said in a statement late Wednesday.

Niobium is an important metal that is mixed with steel to create a strong alloy used in the construction of pipes for water and sewage systems and components used in various types of automobiles.

The alloys from nobium and steel are also used in the creation of welding rods and several stainless steel products used in homes. Niobium has also become popular in the production of optical lenses.

"The drilling also indicates the REO (rear earth oxide) mineralisation extends to significant depths, supporting the potential for a REO resource," Townsend said.

Rare earth is crucial in making high-tech electronics products such as highly specialised miniature nuclear batteries, lasers repeaters, superconductors and miniature magnets.

The mineral is also used to produce automotive catalysts and petroleum cracking catalysts, flints for lighters, pigments for glass and ceramics and compounds for polishing glass.

A chronic global shortage of rare earths has triggered a spike in mining projects for them in recent years.

China, which accounts for an estimated 97 percent of global rare earth supplies, has been tightening trade in the strategic metals, sparking an explosion in prices.

Japan, which accounts for a third of global demand, has been stung badly, and has been looking to diversify its supply sources, particularly of heavy rare earths such as dysprosium used in magnets.