Latin Resources has completed trial mining at its Cloud Nine halloysite-kaolin deposit in Western Australia and will provide kaolin material to potential offtake partners.

The company recovered a 50t bulk sample from the test pit, which will also provide material for bulk scale metallurgical test work to optimise mining design.

Latin Resources (ASX:LRS) had previously estimated a maiden resource of 207Mt of kaolinised granite including a sub-domain of 50Mt grading 6% halloysite, making Cloud Nine  one of Australia’s largest undeveloped kaolin-halloysite deposits.

“The completion of the test-pit and collection of bulk samples is an important stepping-stone in the development of the Cloud Nine Project as a world class kaolin deposit,” managing director Chris Gale said.

“The bulk samples have now been sent to the potential customers for final analysis.

“We are also working on our scope of works, along with mine permitting for a DSO style product to sell to our potential customers. If the numbers stack up, Cloud Nine could develop into a great project for Latin Resources.”

latin resources asx lrs
Trial mining at the Cloud Nine kaolin deposit. Pic: Supplied

Trial mining test pit

The test pit was excavated in accordance with the Program of Works, which was approved by the Western Australia Department of Mines, Industry Regulation and Safety early in 2022, to collect a large kaolin sample.

This material will be used for bulk metallurgical testing and provide product samples for two separate groups of potential offtake partners for their qualification test work.

Discussions with both groups are ongoing and have included options to supply short term direct shipping ore products as well as supplying value-added processed kaolin and halloysite products in the longer term.

The test pit has also provided Latin Resources with valuable information to further refine preliminary assumptions, including mining and stockpile designs, mining method and equipment selection and preliminary geotechnical assumptions.

Material samples will also assist with further testing and analysis to continue improving the understanding of the deposit including the overlying material.

A preliminary desktop study has also been carried out on the Cloud Nine project site to inform the scope of work required to support the pathway to apply for the relevant environmental approvals.

Information from this study will be included in an updated forward work plan to support development of the project.

Separately, a selection of kaolinite samples have been submitted for rare earth element analysis as REEs are commonly found in association with kaolinitic clays.




This article was developed in collaboration with Latin Resources, 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.