Suvo drilling targets White Knight kaolin resource upgrade
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Special Report: Suvo is taking the next step in its goal of becoming Australia’s next kaolin miner with the start of aircore drilling at the White Knight project in Gabbin, WA.
The 2,000m step-out and infill drilling program is aimed at upgrading the current inferred resource of 31.5 million tonnes to the higher confidence indicated and/or measured categories.
Indicated resources provide sufficient information on geology and grade continuity to support mine planning while measured resource represents the highest level of geologic knowledge and confidence.
Suvo Strategic Minerals (ASX:SUV) non-executive director Dr Ian Wilson adds that detailed metallurgical test work will also be carried out to upgrade end use specifications for various markets.
“Samples of products will be distributed to various companies leading to potential off take agreements,” he added.
“As this is a newly discovered deposit, we are excited to conduct further work to fully understand the geology as our maiden inferred resource of 31.5Mt sits on only half a per cent of our tenement area.”
Updated end user analysis including detailed target markets and potential off-take pricing will follow.
Suvo plans to have a reserve in place by December 2020.
White Knight covers more than 40,000 hectares in the Yilgarn Craton on cleared farming land, which means that the pathway to mining is eased thanks to having fewer environmental considerations.
The location presents the company with multiple export options including the Fremantle container port, Kwinana bulk terminal, Geraldton bulk terminal and Bunbury Port, all of which are accessible via an underutilised rail and road network.
Suvo recently negotiated a mining access agreement with the private landowner and occupier of the tenement.
Kaolin is a feedstock for high purity alumina (HPA), a component of lithium-ion batteries and LED lights. It also has a wide range of other industrial uses, like paper and paperboard, fiberglass, ceramics and paint.
Market researchers estimate the global kaolin market is currently worth $US3.1bn ($4.4bn) and is expected to reach $US4.1bn by 2025.
This article was developed in collaboration with Suvo Strategic 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.