Appia Confirms Monazite as the Source for High-Grade Gallium, Alces Lake Property
500-2 Toronto St.
Toronto ON
M5C 2B6
PH: 416 546-2707
FAX: 416 218-9772
Email: [email protected]
Website: www.appiaenergy.ca
NEWS RELEASE
APPIA CONFIRMS MONAZITE AS THE SOURCE FOR HIGH-GRADE GALLIUM,
ALCES LAKE PROPERTY
TORONTO, ONTARIO, February 17, 2021 - Appia Energy Corp. (the “Company” or “Appia”)
(CSE:API, OTCQB:APAAF, Germany: “A0I.F”, “A0I.MU”, “A0I.BE”) is pleased to announce the
confirmation that monazite is the mineral host for high-grade gallium consistently observed in
lithogeochemical assay results on the Company’s Alces Lake high-grade rare earth element (“ REE”), gallium
and uranium property (the “Property”), northern Saskatchewan.
An electron microprobe study (the “ Study”) was conducted by the Saskatchewan Research Council (“ SRC”)
on two samples previously submitted to SRC for lithogeochemical assay testing. The Study successfully
showed that monazite from two separate REE zones and trends, Ivan and WRCB, contain similar
concentrations of gallium oxide (Ga 2O3), 0.176wt% and 0.185wt%, within the monazite crystal structure (see
Table 1). The Study was a follow-up to lithogeochemical results that showed a positive linear correlation with
total rare earth oxides (see News Release dated January 23, 2020).
James Sykes, Appia’s Vice-President, Exploration and Development comments: “This is excellent news. Not
only does the Alces Lake property contain some of the world’s highest-grade REEs, but adding high-
concentrations of gallium to the current suite of valuable and much sought-after critical REEs further
demonstrates the potential economic importance that could exist on the Property. Gallium, especially in high
concentrations, very rarely occurs within monazite. Since gallium occurs within our monazite, this presents
an easier solution to extracting and processing gallium than the current method of by-product processing to
concentrate very low concentrations of gallium”.
Up to 90% of primary global gallium supply is a by-product of processing bauxite (alumina ore) with lesser
amounts derived from sphalerite (ZnS) production. Production of gallium is therefore limited by global
economic and social factors that influence the production of the principal mineral commodities (i.e.,
aluminum or zinc). It takes multiple cycles of bauxite processing before the gallium content reaches its
production starting concentration point of approximately 100 – 125 ppm Ga 2O3, whereas Ga 2O3 from Alces
Lake monazite would have approximately 10x to 20x higher starting concentrations.
The current price of high-grade gallium metal (99.99%) is US$306.72/kg. On October 31 st, 2020, the price of
high-grade gallium metal (99.99%) was US$189.43/kg (all prices were derived from Shanghai Metals
Market). This represents a greater than 60% price increase in 3.5 months. In 2011, the price for low-grade
gallium oxide (99%) peaked at US$1,150/kg.
Gallium is one of several elements deemed “critical” by the United States Government (i.e., restricted supply
by China, Kazakhstan and Ukraine, and in high-demand) that is used in numerous modern technological
applications, in wireless communications such as 5G, cell phones, laser diodes, semiconductors, solar energy
magnetic materials, and military defense. A significant potential exists for bottlenecks in the gallium supply
chain because of rapid growth in areas of green/clean energy technologies.
Much like rare earth elements (“ REE”), gallium is widely dispersed in nature but rarely found in
economically extractable quantities. For example, the Apex mine, southwestern Utah, USA, was the only
primary mined source of gallium (and germanium) until its closure in 2011 by Teck Resources Limited. The
mine operated intermittently over 100 years since 1884. A historic estimate for the average concentration of
gallium was 0.032 wt%, with locally occurring grades up to 0.148 wt% gallium.
All lithogeochemical assay and electron microprobe results were provided by Saskatchewan Research
Council’s (“ SRC”) Geoanalytical Laboratory, an ISO/IEC 17025:2005 (CAN-P-4E) certified laboratory in
Saskatoon, SK, for multi-element and REE analysis. The gallium results for sample 102712 were provided by
ACT Labs, an ISO 17025 accredited laboratory in Ancaster, ON, for multi-element and REE analysis.
All analytical results reported herein have passed internal QA/QC review and compilation. The technical
content in this news release was reviewed and approved by Dr. Irvine R. Annesley, P.Geo, Advisor to Appia’s
Board of Directors, and a Qualified Person as defined by National Instrument 43-101.
ALCES LAKE SUMMARY
Since detailed exploration began at Alces Lake in 2017, a total of seventy-four (74) REE, gallium and uranium
bearing surface zones and occurrences over 45 km of the System have been discovered on the Property. To
date, less than 1% of the Property has been explored with diamond drilling. The Property is also located in
Saskatchewan, the same provincial jurisdiction that has planned to develop a “first-of-its-kind” rare earth
processing facility in Canada, which is scheduled to become operational by 2022.
The Property encompasses some of the highest-grade total and critical rare earth elements (“ CREE”) and
gallium mineralization in the world. CREE is defined here as those rare earth elements that are in short-
supply and high-demand for use in permanent magnets and modern electronic applications such as electric
vehicles and wind turbines, (i.e: neodymium (Nd), praseodymium (Pr) dysprosium (Dy), and terbium (Tb)).
The Alces Lake project area is 17,577 hectares (43,434 acres) in size, and is 100% owned by Appia. The
project is located close to an old mining camp with existing support services, such as transportation (i.e., 15
km from the nearest trail), energy infrastructure (hydroelectric power), a 1,200 m airstrip that receives daily
scheduled services, and access to heavy equipment.
Appia is planning to aggressively explore the Property during the summer months of 2021. The Company is
fully-funded and committed to complete the largest exploration and diamond drilling program on the Property
to date.
About Appia
Appia is a Canadian publicly-traded company in the uranium and rare earth element sectors. The Company is
currently focusing on delineating high-grade critical rare earth elements (“REE”) and uranium on the Alces
Lake property, as well as prospecting for high-grade uranium in the prolific Athabasca Basin on its Loranger,
North Wollaston, and Eastside properties. The Company holds the surface rights to exploration for 65,601
hectares (162,104 acres) in Saskatchewan.
The Company also has a 100% interest (subject to a 1% Uranium Production Payment Royalty and a 1% Net
Smelter Return Royalty on any precious or base metals payable, provided that the price of uranium is greater
than US$130 per pound) in 12,545 hectares (31,000 acres), with rare earth element and uranium deposits over
five mineralized zones in the Elliot Lake Camp, Ontario. The Camp historically produced over 300 million
pounds of U 3O8 and is the only Canadian camp that has had significant rare earth element (yttrium)
production. The deposits are largely unconstrained along strike and down dip.
Appia has 92.3 million common shares outstanding, 108.4 million shares fully diluted.
For more information, visit Appia’s website at www.appiaenergy.ca
Cautionary Note Regarding Forward-Looking Statements : This News Release contains forward-looking statements
which are typically preceded by, followed by or including the words “believes”, “expects”, “anticipates”,
“estimates”, “intends”, “plans” or similar expressions. Forward-looking statements are not guarantees of
future performance as they involve risks, uncertainties and assumptions. We do not intend and do not assume
any obligation to update these forward- looking statements and shareholders are cautioned not to put undue
reliance on such statements.
Neither the Canadian Securities Exchange nor its Market Regulator (as that term is defined in the policies of
the CSE) accepts responsibility for the adequacy or accuracy of this release.
For further information, please contact:
Tom Drivas , President, CEO and Director: (tel) 416-546-2707, (fax) 416-218-9772 or (email)
James Sykes , VP Exploration & Development, (tel) 306-221-8717, (fax) 416-218-9772 or (email)
Frank van de Water , Chief Financial Officer and Director, (tel) 416-546-2707, (fax) 416-218-9772 or
(email) [email protected]
Table 1 – Lithogeochemical and microprobe results for REEs and Gallium
Whole Rock Lithogeochemical Results
Zone Sample #
From
(m) To (m)
Interval
(m)
La2O3
wt%
CeO2
wt%
Pr6O11
wt%
Nd2O3
wt%
Sm2O3
wt%
Eu2O3
wt%
Gd2O3
wt%
Tb4O7
wt%
Dy2O3
wt%
Ho2O3
wt%
Er2O3
wt%
Yb2O3
wt%
Lu2O3
wt%
Y2O3
wt%
Ga2O3
wt%
ThO2
wt%
U3O8
wt%
TREO
wt%
CREO
wt%
WRCB 1682 11.90 12.40 0.50 1.923 4.213 0.435 1.492 0.211 0.003 0.092 0.007 0.019 0.002 0.002 0.000 0.000 0.051 0.021 0.996 0.028 8.451 1.956
Ivan 102712 1.51 2.08 0.57 12.784 25.674 2.972 9.491 1.206 0.016 0.680 0.034 0.116 0.014 0.036 0.002 0.001 0.319 0.115 6.088 0.150 54.450 12.629
Monazite Mineral Microprobe results
Zone Sample #
From
(m) To (m)
Interval
(m)
La2O3
wt%
CeO2
wt%
Pr6O11
wt%
Nd2O3
wt%
Sm2O3
wt%
Eu2O3
wt%
Gd2O3
wt%
Tb4O7
wt%
Dy2O3
wt%
Ho2O3
wt%
Er2O3
wt%
Yb2O3
wt%
Lu2O3
wt%
Y2O3
wt%
Ga2O3
wt%
ThO2
wt%
U3O8
wt%
TREO
wt%
CREO
wt%
WRCB 1682 11.90 12.40 0.50 13.382 28.909 3.355 11.502 1.672 0.030 0.877 0.056 0.072 bdl bdl nr nr 0.344 0.176 7.447 nr 60.199 15.015
Ivan 102712 1.51 2.08 0.57 13.608 29.011 3.366 11.418 1.627 0.030 0.858 0.058 0.075 bdl bdl nr nr 0.357 0.185 7.450 nr 60.408 14.947
The REEs Thulium (Tm) and Promethium (Pm) are not reported because they are both extremely scarce in nature, and Pm forms as a product of spontaneous fission of U-238
TREO = Total Rare Earth Oxide = sum of La2O3+CeO2+Pr6O11+Nd2O3+Sm2O3+Eu2O3+Gd2O3+Tb4O7+Dy2O3+Ho2O3+Er2O3+Yb2O3+Lu2O3+Y2O3
CREO = Critical Rare Earth Oxide = sum of Pr 6O11+Nd2O3+Eu2O3+Tb4O7+Dy2O3
Indicates light rare earth elements
Indicates heavy rare earth elements
Indicates radioactive elements
bdl = below detection limit
nr = not reported
Richard sample 1682 is from drill hole RI-20-004 (2020). Ga 2O3 results reported for lithogeochemical results are from SRC (January 25, 2021 news release. NOTE: the individual sample was
incorporated as part of a reported composite result)
Ivan sample 102712 is from channel sample line 4 (2018). Ga 2O3 results reported for lithogeochemical results are from ACT Labs (January 23, 2020 news release. NOTE: the individual
sample was incorporated as part of a reported composite result)