Australian Bauxite’s (ABx) newly consolidated exploration tenements in Tasmania have returned promising drill and surface sample results. The 11 tenements cover 1897sqkm in central northern Tasmania, and have been the focus of 334 drill holes and 1521 surface samples during the last 18 months. The aim of the exploration was to define areas that may be suitable for a project based on bauxite extraction and export.
ABx says these initial drill hole results confirm there are potentially economic thicknesses and grades of bauxite occurring within these discovery areas.
The testing has confirmed two outlying tenements will be relinquished while two new tenements will be secured in areas of quarrying and cleared lands that contain bauxite. Community consultation and expert advice has led to a greater level of confidence that bauxite extraction could be viable in several of these areas once sufficient resources are identified and required approvals obtained.
ABx’s chief executive officer Ian Levy told attendees at the Symposium Roadshow in Melbourne, “Investing in Tasmania is only done after careful consideration of the risk-rewards situation based on expert advice. It requires an understanding of Tasmania’s special circumstances. We believe that with goodwill and common sense, ABx can develop a viable project in Tasmania.”
The central northern region of Tasmania has established infrastructure, with an operating rail line, road links to mineral export ports at Burnie and Bell Bay, a well-developed electric power grid, natural gas supplies, and some of Australia’s best steel fabrication and heavy machinery workshops.
Meantime, the company’s 8700sqkm Binjour Plateau tenements in central Queensland are expected to become its flagship project during the next five years. The latest resource estimate at the site is 24.5 million tonnes.
A layer of bauxite up to 15 metres thick extends over the entire Plateau, and the district’s deposits contain thick zones of premium grade gibbsite-rich bauxite often referred to as Brown Sugar bauxite. ABx has recently applied for several exploration permits covering the extensions of Binjour Plateau geology.
$1.67 million in capital raised by a share placement in June will go towards the company’s exploration at the site. “Despite the recent difficult market conditions it has been particularly pleasing to see Australian Bauxite maintaining market support, especially from key supportive shareholders,” said Ian Levy after the completion of the placement of 4.3 million fully paid ordinary shares.