Kingsland Minerals believes additional exploration drilling will enable Leliyn’s new exploration target to be re-classified as resources. Pic via Getty Images
Mining
Special report: Already Australia’s largest graphite deposit, Kingsland Minerals’ updated exploration target at Leliyn confirms it has what it takes to become one of the world’s largest.
News that Kingsland Minerals (ASX:KNG) produced commercial grade concentrate of +94% total graphitic carbon at the Leliyn project last week lit a fire under the company’s share price, sending the stock some 23.5% higher.
Leliyn, 200km south of Darwin in the Northern Territory, was discovered in 2023 with the largest graphite resource – 194.6Mt at 7.3% TGC for 14.2Mt – released at the project in March 2024.
The metallurgical test work results put the asset on track to become a multi-generational mine and proved that Leliyn is ideally positioned to meet US and European demand for graphite from non-Chinese sources.
KNG – one of Discovery Capital’s top ASX picks – is now looking to conduct tests to assess the production of spherical graphite, the product that is consumed as an anode for electric vehicle batteries.
The company has released a new exploration target at Leliyn which encompasses the 12km strike length of graphitic schists to the north of the existing resource estimate.
At a whopping 700Mt to 1.1Bt with a grade range of 7-8% TGC, KNG managing director Richard Maddocks says the exploration target confirms the ‘exceptional scope’ of Leliyn to become of the world’s largest graphite deposits.
The new target also doesn’t include the existing 194.6Mt at 7.3% TGC for 14.2Mt resource.
“We will continue to undertake metallurgical test work to optimise graphite concentrate properties and have commenced discussions with strategic end users and potential customers,” he says.
This new exploration target supersedes the 200-250 Mt target released last year.
Additional exploration drilling, similar to what has been completed by Kingsland to date, is expected to enable the exploration target to be re-classified as resources.
This article was developed in collaboration with Kingsland Minerals, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
