King Island Mining company Group 6 Metals has announced that it has reached the high grade ore zone in the Dolphin Tungsten Mine’s open pit and is working towards a possible renewable energy development.
The high-grade C-Lens is now exposed in the open pit, despite the King Island operation falling behind its planned mining sequence.
In recent weeks, the mine had an unscheduled shutdown due to parts delay. However, mining to the end of April exceeded forecast volumes.
The company expects to mine the high-grade ore blocks in C-Lens starting this month.
“Over the past six months, our geology and mining teams have excelled at maximising ore recovery,” G6M managing director and chief executive Officer Keith McKnight said in an ASX report last week.
“This means we’ve collected more valuable tungsten ore than forecast while working the outer areas of the Dolphin open pit.
“While this has caused a temporary delay in the mining sequence, the extra effort has resulted in a detailed understanding of the mine’s geology, giving us a lot of confidence in our mine forecast.”
Mr McKnight added that the process plant has operated steadily for the past two months with good utilisation, and planned upgrades are expected to enhance its performance as the head grade of material from the mine increases significantly.
G6M informed the ASX that it, along with a partnership with Climate Capital, has been evaluating the potential to link a 7.5-megawatt solar array and a 5.5-megawatt-hour battery storage system to the mine’s power plant.
The proposed project aligns with the company’s commitment to improving its environmental, social, and governance (ESG) credentials.
Hobart-based Capital Climate invests in renewable projects around Australia.
“We build, own and operate projects which are behind the meter or present the ability to contract electricity offtake with a corporate counterpart,” their website says.
“Climate Capital operates a co-investing model with its corporate shareholders who are a mix of social impact and family office investors.”
G6M said the solar power system would sit adjacent to the processing plant. Climate Capital has completed power modelling and site assessment, and both parties have expressed interest in negotiating a power purchase agreement under a build-own-operate model for project delivery.
“By reducing reliance on diesel fuel, the project has the potential to significantly lower greenhouse gas emissions and contribute to a cleaner and more sustainable operation,” Group 6 stated.
“Additionally, the project is expected to reduce diesel power generation by up to 49 per cent for the current site’s power demand.”
The mine draws water from the lower Grassy dam, and there has not been water passing over the spillway from the upper Grassy dam since November, 2023.
G6M Project Development and Operations General Manager Chas Murcott said that the company has been using water from the old underground mine and seawater and the lower dam to mitigate any environmental impacts on the dam.
The regular company and Grassy residents meeting was recently held and the minutes should be available this week.
Facebook will soon block the majority of local news in your feed but that’s no reason to miss out.
Get your news straight from the horse’s mouth: https://fontpublishing.com.au/kingislandcourier/
For digital subscriptions of the weekly paper, follow the website links.