Mining

Group 6 Metals to drill regional targets at Dolphin as mine development remains on schedule

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By Lorna Nicholas - 
Group 6 Metals ASX G6M crushing equipment Dolphin tungsten mine development King Island

First tungsten concentrate is due from the Dolphin mine in the March quarter of next year.

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Group 6 Metals (ASX: G6M) is gearing up to drill regional prospects west of its flagship Dolphin mine in Tasmania, as development works for bringing the mine online remain on schedule for first tungsten concentrate early next year.

In its latest update, Group 6 reiterated project development was on track to achieve first tungsten concentrate in the March quarter.

Group 6 managing director and chief executive officer Keith McKnight said construction at Dolphin had “rapidly increased” over the past six-to-eight weeks.

“Major civil works have been completed, which has opened areas for Gekko Systems to accelerate mechanical and electrical installation works for the process plant in preparation for commissioning in early 2023,” he said.

Civil works are now 90% complete, and the contractor is demobilising. Only minor jobs are now required for mine infrastructure areas.

Process plant installation

Meanwhile, more than 95% of the OEM equipment for the process plant has been delivered to site or the contractor Gekko’s factory in Ballarat. The equipment is now being prepared for installation.

“Erection of the main process building has been completed, ready for installation of the gantry crane and electrical fit out,” Mr McKnight said.

He added construction had now begun on stage one of the tailings storage facility, including installation of the clean water diversion drains and foundation works for the walls.

“The tailings storage facility access roads and walls are being constructed from rock mined from inside the open cut pit shell, which is an efficient use of material, which would otherwise be mined as part of the mining sequence,” Mr McKnight pointed out.

Development was also progressing at other mine infrastructure areas including the water treatment facility, diesel power station, workshop, site office and tailings pumping.

Exploration

While advancing construction at Dolphin, Group 6 plans to mobilise a rig to the mine site on King Island early next month.

The diamond core rig will be used for three-to-four holes to test the western margin of the Grassy Granite, which is north of the 21 Investigator prospect.

In August, Group 6 was awarded a grant from the Tasmanian Government’s Exploration Drilling Grant Initiative.

The grant is for $75,000 to help fund exploration at targets around the mine.

“While the mine currently has confirmed reserves for 14 years of mine life, there is a significant area of 67sq km under an exploration licence surrounding the Dolphin mining lease, which is relatively underexplored,” Mr McKnight said.

Previous drilling at the Investigator prospects in 2018 unearthed tungsten in three of four holes with a best intercept of 3.3m at 1.7% tungsten.