Group 6 Metals kicks off construction at Dolphin tungsten mine redevelopment

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By Imelda Cotton - 
Group 6 Metals ASX G6M construction Dolphin tungsten mine redevelopment King Island Tasmania

Group 6 executive chairman Johann Jacobs says the start of construction at Dolphin is a momentous event for the company.


Construction activities have kicked off for the re-development of Group 6 Metals’ (ASX: G6M) wholly-owned Dolphin tungsten mine on King Island in Tasmania.

Stripping and stockpiling of vegetation and topsoil commenced this week and followed the arrival of the first dozer to site and the receipt of regulatory approvals.

The activity is considered a precursor to the start of bulk earthworks required for the civil works relating to construction of the processing plant.

Milestone event

Group 6 executive chairman Johann Jacobs said the start of construction was a milestone event for the company.

“Today is a momentous day for Group 6 and follows many years of hard work by the team to reach this point,” he said.

“Construction has commenced in earnest and we will be keeping shareholders and the wider market updated regularly .”

Mr Jacobs said the re-developed mine would focus on the production of a high grade of tungsten concentrate, with plans to value-add the product for supply into the upstream tungsten industry.

New appointment

Earlier this week, Group 6 announced the appointment of Keith McKnight to the role of chief executive officer to lead the company through the final stages of Dolphin’s re-development.

“Over the past three years, focused on financing offtake arrangements required to enable the restart of this wholly-owned asset,” Mr Jacobs said.

“As we enter the next phase of development, it is necessary to engage an executive with the appropriate skills to lead our company and we believe Keith fulfils these criteria.”

Dolphin offtake

In September, Group 6 secured an agreement with privately-owned global physical commodity trader Traxys Group for tungsten concentrate offtake.

The agreement is for the supply of 90,000 metric tonne units of tungsten trioxide per annum (equating to 10 kilograms), averaging 7,500mtu per month.

It complements a maiden offtake deal inked in 2019 with European tungsten powder supplier Wolfram Bergbau und Hutten AG, which will see Wolfram take almost 20% of proposed annual production from the mine over a four-year period.