The Port Gregory Garnet Project now has an updated Mineral Resource estimate of 166 Mt @ 4.0% (THM) at a 2.0% THM cut-off grade, which is great news for Heavy Minerals Limited (ASX: HVY).
The THM’s 89% garnet content, which yields 5.9 Mt of contained garnet, is consistent with earlier findings.
Heavy Minerals Limited’s tenure remains open to the south, suggesting that there is still room for a substantial increase in the company’s resource base. Since the previous estimate of the Mineral Resource was made, there has been a 23% rise in the amount of material above the cut-off grade and a 20% increase in the amount of included garnet.
Mr. Andrew Taplin, CEO, stated:
“The Company was confident that there would be a significant increase to the size and quality of the resource following the most recent infill and extension aircore drilling program with the Company meeting all expectations.”
“The updated Mineral Resource estimate now credibly positions HVY to be the next potential garnet producer in the Port Gregory region. The updated Mineral Resource estimate will inform the Port Gregory Project Prefeasibility Study that is scheduled to commence imminently and is expected to contribute further value to the already strong financial metrics. The Company remains of the view that its Port Gregory Garnet Project is a world-class asset.”
The Port Gregory deposit contains 6.6 Mt of THM with an assemblage of 89% garnet, 4% ilmenite, 2% rutile/anatase, and 1% zircon at a cut-off grade of 2.0% THM, with a total Mineral Resource of 166 Mt @ 4.0% THM, 10% SLIMES, and 9% OS (oversize).
Here are the categories defined by the JORC:
- a Measured Mineral Resource of 126 Mt@ 3.8% THM, 10% SLIMES and 9% OS containing 4.7 Mt of THM with an assemblage of 88% garnet, 4% ilmenite, 2% rutile/anatase and 0.6% zircon.
- an Indicated Mineral Resource of 20 Mt @ 6.5% THM, 8% SLIMES and 9% OS containing 1.3 Mt of THM with an assemblage of 92% garnet, 4% ilmenite, 1% rutile/anatase and 1% zircon; and
- an Inferred Mineral Resource of 20 Mt @ 2.9% THM, 11% SLIMES and 13% OS containing 0.6 Mt of THM with an assemblage of 89% garnet, 4% ilmenite, 2% rutile/anatase and 1% zircon.
Overview of the Company and Projects
There are 5.9 Mt of garnet in the 166 Mt @ 4.0% THM Mineral Resource estimate for the Port Gregory Project, which is enough to supply the world’s demand for garnet for about five years.
Heavy Minerals Limited is in an exceptional position to have a Mineral Resource comprising 5.9 MT garnet with ilmenite and rutile credits so soon after listing on the ASX in September 2021.
Heavy Minerals Limited currently possesses the necessary resource knowledge to inform the forthcoming pre-feasibility study (PFS), as 91% of the garnet resource falls within the categories of Measured and Indicated Mineral Resource.
The 95% VHM fraction, which is greater than the industry norm and provides HVY with a wide range of possibilities for developing the project, is the result of an accumulation of 89% garnet, 4% ilmenite, 2% rutile, and 1% zircon.
As the Scoping research was finished in late 2022, the Company is now able to capitalise on the positive research work by moving the project onto the PFS phase, where the Mineral Resource estimate has been determined.
