Alurion begins PFS field programme at Amargosa bauxite-gallium project

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Alurion Resources has started infill drilling and bulk-sample trenching at its Amargosa Bauxite-Gallium Project in Bahia, Brazil, as the newly listed company advances the asset toward a targeted mid-2027 pre-feasibility study.

The field programme marks a shift from defining the project’s resource base to gathering the technical, metallurgical and logistics data needed to assess a potential direct-shipping bauxite operation. Alurion is also holding preliminary, non-binding discussions with alumina and aluminium groups in Brazil, China and the Middle East on possible offtake and partnership opportunities.

Drilling targets PFS resource upgrade

The programme includes 203 auger drill holes for 2,436 metres, 20 diamond twin holes for 800 metres and up to 16 bulk-sample trenches across the project’s Central and North districts.

Its main purpose is to improve the confidence of the Amargosa resource estimate and support mine planning for the proposed direct-shipping bauxite, or DSB, operation. The company aims to upgrade portions of the resource into Measured and Indicated categories suitable for inclusion in a pre-feasibility study.

Alurion has identified the Central District as the development anchor for Amargosa because it contains the largest share of the project’s DSB and beneficiable bauxite mineral resources. The district also provides access to two potential export routes: road haulage north to the Port of Enseada and, over the medium term, a southern route linked to the planned FIOL rail and Porto Sul export infrastructure.

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Bulk samples test co-product potential

The trenching programme will provide representative samples from across the bauxite profile for metallurgical and product-specification test work.

Beyond evaluating bauxite quality and processing yields, Alurion intends to test whether it can recover potential critical-mineral co-products, including ilmenite, zircon and monazite. The work will also assess product sizing and undertake Bayer-process trials, which are designed to establish the material’s potential value to alumina refineries.

The results could shape the project’s economics. A conventional DSB project would principally depend on bauxite sales, while successful recovery of mineral co-products could create additional revenue streams. That potential remains subject to favourable metallurgical results and further technical assessment.

Logistics study nears completion

An independent road-logistics study is nearing completion and will be incorporated into the PFS. It is assessing road-route capacity, fleet configuration, cycle times and staged haulage expansion to the Port of Enseada, as well as a future FIOL rail load-out option.

The study is intended to determine whether Amargosa can begin with a lower-capital road-haulage model while preserving a pathway to larger, rail-linked export volumes later.

This is a central issue for the project because bauxite is a bulk commodity and transport costs can materially affect project margins. Alurion said the analysis will help define scalable export configurations and strengthen the logistics assumptions used in the PFS.

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New company advances Amargosa

The PFS work follows Alurion’s establishment as an independent ASX-listed explorer after the Amargosa project was demerged from Brazilian Rare Earths.

Alurion began trading on the ASX on July 31, 2026, after raising A$50 million through an initial public offering. The funding is earmarked for land acquisition, exploration, technical studies, environmental licensing, community and safety programmes, and equipment purchases connected with Amargosa’s development.

The project is located in Bahia and is positioned around 160 kilometres by road from the Port of Enseada. Alurion is pursuing exposure to both bauxite—the principal ore used to produce alumina and aluminium—and gallium, a critical mineral used in semiconductors, renewable-energy technology, artificial intelligence-related electronics and defence applications.

Related: Alurion begins independent journey as A$50m IPO accelerates Amargosa bauxite-gallium project

Path to mid-2027 PFS

Alurion’s next milestones include completing the logistics study, reporting metallurgical and bulk-sample results, updating the Mineral Resource Estimate and finalising the Amargosa DSB pre-feasibility study.

The company has also begun early commercial engagement with prospective customers and partners. Those discussions are preliminary and non-binding, but they may help inform product specifications, export strategy and eventual marketing options.

For investors, the key question is whether the current technical programme can convert Amargosa’s established resource scale into a development-ready project with workable logistics, refinery-compatible bauxite characteristics and potential upside from critical-mineral co-products.

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