St George Mining Ltd (ASX: SGQ) has been one of the standout performers on the ASX in 2025.
Overall, shares in this ASX rare earths stock have rocketed by 350% since the start of the year to $0.09 per share at the time of writing.
This compares with a 5.03% rise for the S&P/ASX All Ordinaries Index (ASX: XAO) across the same period.
In essence, the company is focused on brining to production its Araxá rare earths and niobium project in Brazil.
Araxá already hosts a "world class" mineral resource containing 1.7 million tonnes of total rare earths oxide (TREO) and 280,000 tonnes of niobium.
It also features shallow free-digging mineralisation that could potentially support an open pit mining operation.
The company's ambition to build a mine received a boost in October through a major $72.5 million capital raise.
Notably, this cash injection was headlined by a strategic $22.5 million investment from mining billionaire Gina Rinehart via her Hancock Prospecting business.
The funds are now supporting a series of works designed to move Araxá closer to mining, including a mineral resource upgrade and economic evaluation.
And on Monday, the company released what it described as "exceptional" drill results that could underpin a significant increase to Araxá's resource base.
Image source: Getty Images
What happened?
St George has already reported a series of significant rare earths and niobium intercepts from ongoing resource expansion drilling at Araxá.
The ASX mining stock now appears to have added another string to its bow with the most recent results unveiled yesterday.
New assays included the thickest high-grade intercept drilled at the project so far, consisting of 115.65 metres at 3.34% TREO and 0.34% niobium.
The latest drilling also delivered 100.1m at 3.96% TREO and 0.40% niobium, as well as 79.7m at 3.69% TREO and 0.40% niobium.
Management believes the results showcase strong continuity of shallow and high-grade mineralisation over broad intervals.
In turn, these outcomes could potentially support a substantial increase in total tonnage and overall grade for Araxá's mineral resource.
St George Mining executive chairman, John Prineas, commented:
The Araxá Project is delivering exactly what we set out to achieve – consistent, high-grade results that expand the project's scale and strengthen our confidence in what already is an exceptional, world-class Mineral Resource Estimate (MRE).
He added:
Drilling continues to deliver an extension of high-grade mineralisation to the west of the MRE footprint to demonstrate that the mineral system is open and extends beyond previously defined limits. We are excited about the pending results from further drilling completed in this area to the west of the MRE.
What next for the ASX mining stock?
The high-grade mineralisation at Araxá remains open in all directions, including at depth.
Results from a further 32 completed drill holes are expected later this year.
In addition, drilling at Araxá continues around the clock with another 25 holes scheduled for this year.
St George also plans to expand the drilling into 2026.
