PERTH (miningweekly.com) – Junior explorer Archer Exploration was weighing the development options of its Leigh Creek magnesite project, after completing an internal project study.
The study examined possible openpit mining and processing options, and provided Archer with a strong case to undertake a bulk trial as a prerequisite for firming up mining and processing plans.
Instead of building a standalone processing facility to make magnesium metal, the study focused on the use of third-party kilns and furnaces to make caustic calcined magnesia or dead burn magnesia products.
Archer pointed out on Monday that there was underutilised infrastructure in the vicinity of the project and elsewhere in South Australia, which could be available for the company’s use.
The study also considered contract mining at the Mt Hutton deposit, and hauling magnesite off-site to pre-existing plants for processing.
The study focused only on the Mt Hutton deposit, which represented only a part of the total Leigh Creek magnesite project resource of 453-million tonnes, grading at 41.4% magnesium oxide, meaning that potential existed to greatly increase the mine life and scale of the project.
Archer told shareholders that the company would now work to finalise and execute agreements with mining contractors and toll processors, as well as gaining all the necessary approvals required to undertake a bulk trial later this year.
Edited by: Creamer Media Reporter
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