Alurion Resources has shifted into active development mode at its Amargosa Bauxite-Gallium Project in Brazil, commencing an infill drilling and bulk-sample program that marks the transition from exploration and resource definition toward a pre-feasibility study (PFS) expected mid-2027. The company listed on the ASX with a specific mandate to convert Amargosa’s 568 million-tonne JORC-compliant Mineral Resource Estimate into a development-ready export project, and this announcement signals that conversion work is now underway.
The scope of the current program reflects the objectives facing any bauxite developer moving toward commercial production. Alurion is drilling 203 auger holes totalling 2,436 metres and completing 20 diamond twin holes for 800 metres to enhance Measured and Indicated resources for the PFS. Parallel to this, up to 16 bulk-sample trenches will sample the full bauxite profile across the Central and North Districts, feeding into metallurgical and product-specification testing. The Central District anchors the development pathway, hosting the largest share of direct-ship-bauxite and Beneficiable Bauxite mineral resources, with convenient access to the Port of Enseada for export and future connection to the FIOL rail infrastructure.
For investors, the key value drivers in this work are threefold. First, the program targets bauxite processing yields and recovery of critical mineral co-products including ilmenite, zircon and monazite, with Bayer-process trials to quantify refinery value-in-use. Second, an independent road-logistics study nearing completion will define haulage capacity, route feasibility and staged expansion capabilities to both Enseada and the planned FIOL rail load-out, de-risking the export path. Third, preliminary discussions with alumina and aluminium groups in Brazil, China and the Middle East are exploring offtake and partnership opportunities, providing early market validation ahead of the PFS.
The timing is arguably as important as the technical milestones. China is importing bauxite at a pace materially ahead of earlier forecasts while sourcing roughly four of every five imported tonnes from Guinea. Amargosa presents a large-scale Atlantic-basin bauxite project offering geographic and geopolitical diversification for downstream consumers. For Alurion shareholders, this demand backdrop underscores the commercial relevance of the work underway and the potential value in securing long-term offtake partnerships.
The next twelve months will determine whether the PFS program delivers on its objectives. Investors should monitor the completion of the independent logistics study, metallurgical and product test results, and the updated Mineral Resource Estimate due ahead of the mid-2027 PFS release. Early success in offtake discussions and critical mineral co-product recovery rates could materially strengthen project economics and de-risk development financing. This announcement is price sensitive and flagged as material by the ASX.
View the full ASX announcement (PDF)
About Alurion Resources Limited (ASX: ALU)
Alurion Resources Limited is a mineral development company incorporated in 2025 and based in Sydney, Australia. The company engages in the exploration of rare earth elements and critical minerals in Brazil, with its primary asset being the Amargosa project comprising 46 mining rights covering 748 square kilometers in the Amargosa District of Bahia. The company listed on the Australian Securities Exchange under ticker ALU on 31 July 2026.
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