SA grants Great White mining lease

Andromeda

Kaolin.

Andromeda Metals and Minotaur Exploration have been granted a mining lease for the Great White Kaolin (GWK) project in South Australia.

The GWK project is located on the Eyre Peninsula, 635 km west of Adelaide and 18 km south of Poochera, and is expected to generate $100 million in royalties for the state.

“The South Australian Government is committed to ensuring South Australia reaps the full benefits of the jobs and royalties offered by our rich mineral deposits,” Deputy Premier and Minister for Energy and Mining Dan van Holst Pellekaan said.

“GWK’s mining operation is projected to employ around 72 full time equivalent jobs per annum over its 26-year economic life, which is good news for the local community with most jobs going to people living in the region.

“With total expenditure expected to exceed $3 billion, the mine is projected to generate $100 million in royalties for the South Australian Government, which is welcome news for our state.”

Andromeda worked closely with landholders, native title groups and government departments to prepare its application for proposed mine operations and is now preparing its program for environment protection and rehabilitation (PEPR) in alignment with definitive feasibility studies in readiness for on-ground operational requirements.

“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,” Andromeda managing director James Marsh said.

The Great White mineralisation contains variable mixtures of halloysite-kaolin, with the bright white industrial clay having applications in ceramics, whereas kaolin is used in the manufacture of high-quality porcelain, as well as new emerging technologies including carbon capture, energy storage, hydrogen and water purification.

The total life of mine from the known resource is expected to be 26 years with a production rate of 500,000 tonnes per annum of raw material.

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