GARNET HILLS PROJECT 

Project Details and Development Potential, August 2019

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  • Garnet Hills represents a high grade industrial  garnet  deposit  located in northwestern Australia  close  to  established infrastructure and  importantly,  Asian and World markets.

 

  • Current geological  resource estimate of 390Kt to 575Kt (non-JORC 2012) based on RC drilling and surface geological mapping. Potential for 1.4M  tonnes grading 30% to 40% andradite garnet in the northern 1 km portion of the tenement. 

 

  • The garnet skarn has a strike length of 5 km with the potential for a global resource of at least 5Mt to a nominal open cut depth of 50 m (20 to 50 year production life) within the granted Mining Lease (M80/416).

 

  • The project will have an estimated cumulative net cash flow of A$160M over 9 years and has an NPV of A$100M based on a planned production increase from 25K to 50K tonnes of garnet ore annually.

 

  • Ore sorting using a simple RGB discriminant has achieved in excess of 90% garnet concentrate after crushing and sorting and can be directly shipped to Asia and the US for final processing.

 

  • Wholesale jet-cutting garnet prices of A$765 per tonne in the USA values Garnet Hills’ ore at A$255 per tonne (equivalent to 3.6 g/t Au). 

 

  • Garnet Hills Pty Ltd has been formed as the holding company for  the project with the intention to develop the project initially as an unlisted company with shareholders.   

 

  • Targeting established markets for jet cutting, abrasive blasting, water filtration, bonded abrasives  and concrete aggregates in Australia, USA and Asia.