JOHANNESBURG (miningweekly.com) – ASX-listed Lincoln Minerals is hoping to emerge next year as a supplier of graphite to global markets, with its flagship Kookaburra Gully graphite project, on South Australia’s Eyre Peninsula steaming ahead.
The company recently received a mineral lease for the mine from the South Australian government and is “well advanced” in the preparation of the documents required for final government approval to start mining at Kookaburra Gully.
The programme for environment protection and rehabilitation (PEPR) is the final submission required for the mine and details management plans for construction, operations, rehabilitation and closure.
Lincoln reported on Friday that it aimed to complete the PEPR by the end of 2016 and stated that it had expedited expenditure towards various studies to complete the submission.
On the back of the mineral lease grant last month, the company has raised $3.2-million through the placement of 100-million ordinary shares, at 3.2c a share.
Proceeds will be used to fund the PEPR; undertake detailed process flow sheet design and product testing, both in Australia and China, on graphite; undertake market evaluation of graphite products; complete a detailed feasibility study, as well as fund ongoing exploration on Lincoln’s other exploration licences.
“This investment in our ongoing development of the flagship Kookaburra Gully project . . . emphasises the confidence that strategic investors have in Lincoln Minerals, the Kookaburra Gully project, the support of the South Australian government and Lincoln’s board and management team,” the company said in a statement.
The Kookaburra Gully graphite mine proposal is for a conventional openpit mining operation, with an associated processing plant, to upgrade graphite mineralisation into high-grade graphite concentrate at a target rate of 30 000 t/y to 40 000 t/y.
The company aims to start graphite sales in early 2017.
Kookaburra Gully holds total current indicated and inferred mineral resources of 2.20-million tonnes, grading 15.1% total graphitic carbon.