Year in Review: Group 6 Metals spent 2022 preparing for first tungsten concentrate production in 2023

ASX-listed company Group 6 Metals (ASX:G6M) spent the majority of 2022 constructing the Dolphin Tungsten Mine.

The Dolphin Tungsten Mine located on King Island in Tasmania, has been closed since 1992, but Group 6 has put in the hard yards throughout the year to bring it back into production in the first quarter of 2023.

H1 2022 defined by construction, collaboration and new faces 

Construction commenced in January at the Dolphin Tungsten Mine, with the company strengthening its ESG commitments following the receipt of several regulatory approvals and commitment to the Land Conservation Covenant by allotting 33.7 hectares of land to protect the Blue Gum Eucalyptus Forest.

Construction commenced in January at the Dolphin Tungsten Mine, with the company strengthening its ESG commitments

The company entered a collaboration with University of Tasmania, focusing on research and development in environmentally sustainable production of critical minerals including tungsten.

Group 6 also appointed Keith McKnight as chief executive officer, bringing 22 years’ experience in the mining and resources industry to the role, and Megan McPherson was appointed chief financial officer after being contracted to the company since August 2020.

Deliveries of OEM equipment and materials also ramped up ahead of process plant installation works during this half of the year.

Construction progresses well during H2 2022

Group 6 reported in the second half of the year over 95% of OEM equipment for the process plant had been delivered to site, or to Gekko’s factory at Ballarat, and was prepared for installation.

A permanent power solution for initial operations was also provided using a dedicated diesel power station with staged integration of renewable power, which mitigated risk of power outages and improved operating flexibility.

The company also received a State Government grant of $75,000 through the Exploration Development Grant Initiative (EDGI) to assist with an exploration program.

Group 6 also stated with major civil works more than 90% complete, the civil contractor started to demobilise with only minor further works required for mine infrastructure areas.

Finishing up the year, the company launched a Share Purchase Plan (SPP), which raised $20 million to fund ongoing construction and activities at the Dolphin Tungsten Mine.

In the new year, Group 6 Metals aims to start production at the mine in the first quarter of 2023.

The company is initially focusing on producing a ‘high-grade’ tungsten concentrate, and the current plan is to value-add the product for supply into the upstream tungsten industry.

Written By Harry Mulholland
Hailing from the Central Coast region of NSW, Harry is a passionate journalist with a background in print, radio and ESG news. When not bashing away on his keyboard, he can be found brewing a coffee or playing with his dog.