Dolphin Tungsten Mine to Restart in 2023

Group 6 Metals (ASX: G6M) says the rebuild of its Dolphin Tungsten Mine in Tasmania is proceeding "quickly and safely" and remains on track for first concentrate production early next year. G6M is evaluating renewable energy as a long-term power solution.

The Company is ramping up peak construction activities at the King Island mine site with a focus on upgrading haulage and access roads to allow crews to complete mechanical installation work through the processing plant area. Earthworks and walling of the mine pad are progressing steadily, as is the installation of crushing, screening, and material handling equipment and associated support structures.

The main processing building has been constructed and is being prepared for the laying of civil slabs and footings prior to equipment installation. Most of the major equipment for the processing plant has either arrived on site and some is being tested at Gekko Systems' Victoria facility before being delivered to the site.

G6M has indicated that construction of the project's tailings storage facility (TSF) has commenced, with vegetation clearing completed and earthworks underway in preparation for the construction of the facility's walls. To minimize disturbance to the original vegetation, the TSF is being constructed on the Dolphin project site, and Group 6 has chosen to use materials recovered from the proposed pit shell.

G6M is installing its own diesel power station to provide temporary power to Dolphin Tungsten Mine and processing plant and is integrating renewable energy in stages to mitigate the risk of power outages and improve operational flexibility. The company has decided that by connecting directly to the local grid, the mine will receive only a fraction of the renewable energy capacity available at Kings Island, with most of the power to be generated by diesel generators at the nearby Currie power station.

The group has begun to develop a long-term permanent power solution for the Dolphin mine, a significant portion of which will come from renewable energy generation, resulting in lower emissions and power costs.

Construction activities at Dolphin Tungsten Mine are progressing "quickly and safely", said Keith McKnight, Group 6 Metals CEO. We are very pleased with the progress of activities at the site and are confident in the timing of the restart of the Dolphin mine to produce concentrate in the first quarter of 2023 and to reach steady state production shortly thereafter. Market conditions remain very positive, ammonium paratungstate prices remain high and demand for tungsten is expected to increase significantly this year."

(Article source: smallcaps.com.au)

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