South Australia’s mining sector is continuing its strong performance with the grant of a mining lease to Andromeda Metals Ltd and Minotaur Exploration Ltd for the Great White Kaolin (GWK) project.
The Great White mineralisation contains variable mixtures of halloysite-kaolin and is located on the Eyre Peninsula, 635 km west of Adelaide and 18 km south of Poochera.
This bright white industrial clay has applications in ceramics, where kaolin is used in the manufacture of high-quality porcelain, and in new emerging technologies including carbon capture, energy storage, hydrogen and water purification.
GWK’s mining operation is projected to employ around 72 full time equivalent jobs per annum over its 26-year economic life, with a production rate of 500,000 tonne per annum of raw material.
Total expenditure is expected to exceed $3 billion, and the mine is projected to generate $100 million in royalties for the South Australian Government.
Andromeda worked closely with landholders, native title groups and government departments to prepare its application for proposed mine operations, and the grant of the mining lease is a result of the rigorous assessment process by the Department for Energy and Mining as lead regulator, the Department for Environment and Water, and the Environment Protection Authority.
Andromeda is now preparing its program for environment protection and rehabilitation (PEPR) in alignment with definitive feasibility studies in readiness for on-ground operational requirements.
Andromeda Managing Director James Marsh said “This really is a fantastic success for all Andromeda stakeholders and a crucial milestone in the evolution of the Company, it will allow us to progress with full confidence into a very exciting 2022 and become a sustainable, world-class producer of kaolin minerals.”
“Once in production a whole range of new and significant halloysite-kaolin opportunities will open up for us, and I would like to thank the whole Andromeda Team for their dedication and professionalism.”
The total life of mine from the known resource is expected to be 26 years with a production rate of 500,000 tonne per annum of raw material.
The energy and mining sector employs over 49,000 South Australians, generates over $320 million of royalties per annum and contributed $8.7 billion of the State’s economic output in 2020.
The South Australian Government’s Energy and Mining Strategy aims to support the sector to realise its potential by building on our strengths, leadership and capacity for innovation to increase exports to $13 billion by 2030.
More about the Great White Kaolin Project
Tuesday 21 December 2021
