Western Mines Group (ASX:WMG) has entered a memorandum of understanding (MoU) with Magnium Australia for collaboration on the potential supply of magnesite from the Mulga Tank Project in Western Australia.
The two parties will collaborate to define and delineate the magnesite resource, along with other magnesium oxide feedstocks, from Western Mines’ Mulga Tank Project.
A bulk sample of magnesite from the project will be submitted for testwork to determine if the product is suitable for use in Magnium Australia’s Magsonic process.
The main body of the Mulga Tank ultramafic complex is described as ‘high’ magnesium oxide dunite intrusive, at over 45% magnesium oxide, with “coarse grained olivine generally showing adcumulate to extreme adcumulate texture”, Western Mines says.
X-ray diffraction studies indicate that parts of the oxidised zone contain up to 48% magnesite, which is currently being treated as overburden or waste in the company’s resource estimate.
The two parties will consider entering a formal supply agreement, subject to the outcome of this agreement.
The Magsonic technology intends to produce low-carbon magnesium metal. Magnium intends to commercialise the process from its established facilities in Collie, Western Australia.
Magnium is progressing towards a final investment decision on the first commercial production module which intends to scale over 100,000 tonnes of magnesium metal per annum.
Western Mines Managing Director Caedmon Marriott says Magnium has some “very exciting technology” that is focused on being commercialised for magnesium metal production.
“A key input into their process is magnesite and other high magnesium oxide feedstocks… At Mulga Tank we have ‘high magnesium oxide’ in abundance,” Marriott says.
“The main body of the Mulga Tank complex is a fairly unique piece of rock, being a huge +45% magnesium oxide adcumulate dunite measuring kilometres in both area and thickness.
“A combination of being under sand cover and the lack of interstitial material due to the adcumulate texture means a classic laterite-saprolite weathering profile hasn’t formed at the top of the ultramafic body and instead weathering and alteration has formed a ‘magnesite cap’.”
Magnium CEO Shilow Shaffier says the company is “excited” to explore Mulga Tank as a potential domestic source of magnesite feedstock with Western Mines.
“Australia currently has no primary magnesium production, and establishing an auditable, sovereign supply chain – from local feedstock through to finished metal – is central to our mission,” Shaffier says.
“The scale of the magnesite cap at Mulga Tank, combined with its proximity to our planned Collie commercial plant, makes this a compelling partnership as we move towards fullscale production Magnesium is an irreplaceable critical metal in defence and aerospace applications, as well as being essential to lightweighting and the energy transition, yet Australia and its allies remain entirely dependent on imports.
“In an environment where critical mineral security is increasingly important, this MoU with Western Mines Group is a meaningful step towards a fully integrated, domestic magnesium industry.”
Western Mines Group is a junior mineral explorer focused on a range of critical and battery minerals in Australia.
Write to Maddison Elliott at Mining.com.au
Images: Western Mine Group
