Ground-based exploration activities are underway at Trigg Mining’s (ASX: TMG) Lake Yeo sulphate of potash (SOP) project in Western Australia following the grant of two new exploration tenements.
The newly secured tenements cover the eastern half of the Lake Yeo project area, located about 65 kilometres southeast of the explorer’s flagship Lake Throssell SOP project.
A maiden gravity survey has been launched to begin testing the hypothesis that Lake Yeo is a potential Lake Throssell repeat with the same interpreted palaeovalley. The survey aims to define the palaeovalley and identify drilling targets.
The explorer described the new project as an “exciting growth and expansion opportunity”.
“The grant of the tenements at Lake Yeo is a major step in evaluating the broader regional potential for SOP mineralisation close to Lake Throssell – potential which we believe is very significant,” Trigg managing director Keren Paterson said.
“If we are successful with our upcoming exploration activities, this could be a transformational development that results in a dramatic expansion of our growth pipeline in the district, around a central SOP processing hub based at Lake Throssell,” she added.
Lake Yeo believed to be a Lake Throssell repeat
Trigg is hopeful that Lake Yeo could be a repeat of Lake Throssell, which has been estimated to contain a total drainable mineral resource of 14.4 million tonnes at 4,665 milligrams per litre of potassium (or 10.4kg per cubic metre of potassium sulphate) with an additional exploration target.
The company recently delivered a positive scoping study that positions Lake Throssell as a potential low-cost, top 10 global SOP producer. Highlights of the study included a net present value of $364 million and an annual nameplate production target of 245,000t per annum of SOP over a 21-year life of mine.
Meanwhile, an infill gravity survey is underway at Lake Throssell to refine locations to test water bores, to be drilled as part of the next phase of work in the current pre-feasibility study. This work is expected to support the conversion of mineral resources to ore reserves.
“The current infill gravity program at Lake Throssell signifies the formal start of the pre-feasibility study and will assist with identifying potential resource extensions and help to refine the planning for the test-production bores expected to be drilled in the middle of 2022,” Ms Paterson said.