Olserum’s potential to generate value
As we settle into 2025, we are proud to reflect on a year of significant progress for European Green Transition plc. Since our listing on London’s AIM market in April 2024, we have achieved several important milestones, particularly the execution of our 1,500m drill programme at the Olserum REE project in Sweden.
The objective of the programme was to show the district scale potential for REEs at Olserum while de-risking the project for a future acquiror in line with EGT’s strategy to monetise its mining assets and focus its resources on revenue generating businesses via M&A.
Olserum is an important REE project for European energy security, and has been designated as a project of National Interest in Sweden. This marks it as a high-potential project for REE exploitation with support from the Swedish Geological Survey. We believe Olserum could become a meaningful supplier of REE minerals in the EU, which is now taking action to secure supplies of critical raw materials such as REEs, which are crucial for the green energy transition, in light of geopolitical instabilities potentially impacting energy security in Europe. EGT plans to capitalise on this opportunity by monetising the Olserum REE project through sale or partnership with third parties, as EGT focuses its resources on revenue opportunities across the green economy.
Significant Milestones Reached at the Olserum Rare Earth Element (“REE”) Project
Our drill programme at Olserum in the summer targeted both the Djupedal prospect, 2.5km from the historic Olserum resource, and the Olserum West prospect, 300m from the historic resource. The programme was completed ahead of schedule and under budget, with the final results received in December 2024. All 13 drill holes intersected mineralisation, confirming the district-scale potential of the project for REEs while significantly de-risking the asset for potential sale or partnership.
Highlights of the drill programme results included:
- Djupedal Prospect: Hole OLS24-07 intersected 2.45m grading 2.71% TREO (33.4% HREO) from 40.0m to 42.45m within a broader mineralised zone of 22.5m grading 0.58% TREO.
- Olserum West: Hole OLS24-11 delivered 8.2m grading 0.94% TREO (22% HREO), including 3.2m grading 1.57% TREO.
- Highest-Grade Intersection: Hole OLS24-13 reported 0.5m grading 8.83% TREO (16.1% HREO), the highest-grade assay to date.
These results validate our exploration model and significantly de-risk the asset for sale or partnership to a third-party.
Looking Ahead
We believe that there are many positive attributes to Olserum which make it an attractive project for a potential acquirer. The project has district-scale REE potential, in addition to a strong pipeline of additional targets for further exploration, and the presence of the defined historic Olserum resource. Furthermore, the project’s location on commercial forestry lands with excellent local infrastructure and positive metallurgical characteristics offers strategic advantages for development.
REEs are becoming a critical geopolitical topic, highlighted by the U.S. President’s emphasis on the importance of Greenland’s resources, as well as Ukraine’s reserves of strategic minerals and Chinese restrictions on the exporting of certain REEs. As such, we believe that there is significant demand and requirement for a secure supply of EU sourced REEs to support critical European industries.
We are confident that the results from the 2024 drill programme de-risk the Olserum REE Project and increase the project’s attractiveness to potential acquirors. This will facilitate its monetisation to third parties, enabling us to concentrate our resources on acquiring revenue-generating opportunities supporting the green economy transition.
