Impact Minerals Unveils Maiden Measured Resource for Lake Hope High Purity Alumina Project
IPT (IPT) Share Update November 2024 Monday 18th
Impact Minerals Announces Maiden Measured Resource for Lake Hope HPA Project
Impact Minerals Limited (ASX: IPT) has announced a significant milestone with the maiden measured resource estimate for its Lake Hope High Purity Alumina (HPA) Project in Western Australia.
Instant Summary:
- Measured Resource: 730,000 tonnes at 25.8% alumina.
- Supports 15+ years of proposed HPA production.
- Pre-Feasibility Study completion expected in Q1 2025.
- Early receipt of $2.87 million grant for pilot plant construction.
Resource Details
Impact Minerals has defined a maiden measured resource of 730,000 tonnes at a grade of 25.8% alumina (Al2O3), resulting in a contained 189,000 tonnes of alumina. This resource is part of the Lake Hope High Purity Alumina Project located approximately 500 km east of Perth, Western Australia.
The resource is expected to support more than 15 years of HPA production, with plans to produce high-margin products for a growing global market. Current benchmark prices for 4N HPA are over US$20,000 per tonne, highlighting the project's potential profitability.
Project Advancements
The Pre-Feasibility Study (PFS) for Lake Hope is underway and scheduled for completion in the first quarter of 2025. The study will incorporate final reports from various contractors and consultants, expected by December and January.
Impact Minerals has also secured early access to a $2.87 million grant from the Federal Government's CRC-P program, aimed at accelerating the construction of a pilot plant. This funding, received ahead of schedule, will facilitate the production of consistent HPA samples for off-take and qualification trials.
Resource and Mining Potential
The Lake Hope project includes a larger resource with indicated and inferred resources, potentially extending the mine life to at least 25 years. The project boasts robust economics, with an after-tax Net Present Value (NPV8) of A$1.3 billion and low operating costs per tonne of HPA.
The mineral resource estimate, reported in accordance with the JORC Code 2012, was prepared by H and S Consultants Pty Ltd. The resource is hosted in fine-grained evaporite and clay minerals within dry salt lakes, offering opportunities for preferential mining of higher-grade material.
The announcement of a substantial measured resource is a positive development for Impact Minerals, likely enhancing investor confidence and potentially boosting the company's stock price. The project's long-term economic potential and strategic alignment with high-demand markets could attract further investment.
Investor Reaction:
Analysts may view the early grant receipt and resource definition as positive indicators of project viability. The anticipated completion of the PFS in early 2025 will be a critical milestone for investors to watch.
Conclusion:
Investors should keep an eye on the completion of the Pre-Feasibility Study and the pilot plant's progress, as these will be key factors in determining the project's future success and Impact Minerals' market position.