Proactiveinvestors Australia King Island Scheelite Ltd https://www.proactiveinvestors.com.au Proactiveinvestors Australia King Island Scheelite Ltd RSS feed en Tue, 16 Jul 2019 12:18:24 +1000 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[News - King Island Scheelite appoints general manager of project development for Dolphin Project ]]> https://www.proactiveinvestors.com.au/companies/news/222815/king-island-scheelite-appoints-general-manager-of-project-development-for-dolphin-project-222815.html King Island Scheelite Ltd (ASX:KIS) has appointed Charles Murcott as general manager of project development and operations as part of the proposed redevelopment of its Dolphin Tungsten Project in King Island, Tasmania.

Charles “Chas” Murcott is a mining engineer with over 25 years’ experience working within Australia and abroad, with a significant portion of his career in Tasmania. 

Prior to joining KIS, Murcott was the mining manager at Kingrose Mining Ltd’s (ASX:KRM) Way Linggo Project in Indonesia.

His previous experience in Tasmania includes operations manager of Venture Minerals Ltd’s (ASX:VMS) Riley DSO Project and mining manager/alternate general manager at BCD Resources’ Tasmania Mine at Beaconsfield.

READ: King Island Scheelite’s feasibility study indicates positive economics for Dolphin Tungsten Project

KIS CEO Johann Jacobs said: “The appointment of Chas Murcott as General Manager of Project Development and Operations at our 100% owned Dolphin Tungsten Project marks a fantastic addition to the team on the ground in Tasmania. 

“Following the recent release of the Feasibility Study and Revised Mineral Reserve Estimate, the company is striving ahead with its strategy to redevelop Dolphin and securing someone of Chas’ calibre to be a part of that process is a real bonus for KIS.”

 

KIS recently revealed positive results from its updated feasibility study and reserve estimate for the Dolphin Tungsten Project on the southeast coast of King Island in Bass Strait.

The study outlines that the Dolphin open‐cut project is planned to mine and process about 400,000 tonnes per annum of ore for eight years to produce about 3,500 tonnes of tungsten trioxide concentrate per year.

This concentrate will be selling into a market with strong growing demand and constrained supply.

]]>
Wed, 26 Jun 2019 12:58:00 +1000 https://www.proactiveinvestors.com.au/companies/news/222815/king-island-scheelite-appoints-general-manager-of-project-development-for-dolphin-project-222815.html
<![CDATA[Media files - King Island Scheelite revises Dolphin's tungsten reserve estimate in feasibility update ]]> https://www.proactiveinvestors.com.au/companies/stocktube/13590/king-island-scheelite-revises-dolphin-s-tungsten-reserve-estimate-in-feasibility-update-13590.html Tue, 04 Jun 2019 19:55:00 +1000 https://www.proactiveinvestors.com.au/companies/stocktube/13590/king-island-scheelite-revises-dolphin-s-tungsten-reserve-estimate-in-feasibility-update-13590.html <![CDATA[News - King Island Scheelite’s feasibility study indicates positive economics for Dolphin Tungsten Project ]]> https://www.proactiveinvestors.com.au/companies/news/221345/king-island-scheelites-feasibility-study-indicates-positive-economics-for-dolphin-tungsten-project-221345.html King Island Scheelite Ltd (ASX:KIS) has revealed positive results from its updated feasibility study and reserve estimate for the Dolphin Tungsten Project on the southeast coast of King Island in Bass Strait.

The study outlines that the Dolphin open‐cut project is planned to mine and process about 400,000 tonnes per annum of ore for eight years to produce about 3,500 tonnes of tungsten trioxide concentrate per year.

This concentrate will be selling into a market with strong growing demand and constrained supply.

2019 feasibility study summary of key outcomes

King Island Scheelite chairman Johann Jacobs said: “Having recently secured the first of a number of multi‐year offtake agreements, together with the flexibility in the operating site and supportive local community, we now look forward to achieving frequent operational milestones as we proceed to tungsten production, anticipated in 2021.

“The King Island Scheelite team has actively progressed and de‐risked the 100% owned Dolphin tungsten project, both technically and commercially.

“As part of this process, we commissioned independent consultants to provide inputs into a financial model to prepare scenario analysis to assist in interpreting the net present value ranges, potential returns and expected payback period, associated with the Dolphin Open‐cut Project.

“The impressive indicative economics reiterate that we have chosen to develop the right project with the right commodity in the right place and time.”

 

The Dolphin processing plant has been substantially modified since the 2015 reserve estimation.

King Island Scheelite has carried out further site infrastructure engineering works, resulting in significant capital and operating cost savings from the previous estimation.

Processing will now be conducted through, primarily, a gravity circuit followed by a small flotation circuit to which some of the gravity tails will report.

READ: King Island Scheelite secures 4-year tungsten offtake, shares up 30%

The company recently signed an offtake agreement with a world leading European tungsten powder provider Wolfram Bergbau und Hutten AG for 140,000 tonnes of tungsten oxide over four years.

King Island Scheelite is also in negotiations with various additional offtake partners.

Development timeline

The company is currently exploring possible joint venture partnerships as well as being in discussions with suppliers and financial institutions for project funding.

On the basis of the relatively advanced engineering studies and the proposed methodology based on a modular design, the engineering consultants have determined that detailed design, procurement, construction and commissioning could be achieved within a fifteen‐month period after financial close.

Given the above, the company is confident that once financial close has been reached, commissioning of the mine and processing plant can be achieved within fifteen months.

Thus, if financial close can be achieved in the second half of 2019 then first shipment of product can be achieved in the first quarter of 2021.

]]>
Mon, 03 Jun 2019 12:52:00 +1000 https://www.proactiveinvestors.com.au/companies/news/221345/king-island-scheelites-feasibility-study-indicates-positive-economics-for-dolphin-tungsten-project-221345.html
<![CDATA[News - King Island Scheelite to outline tungsten strategy at Proactive CEO Sessions ]]> https://www.proactiveinvestors.com.au/companies/news/221193/king-island-scheelite-to-outline-tungsten-strategy-at-proactive-ceo-sessions-221193.html King Island Scheelite Limited (ASX:KIS) is focused on taking advantage of an improved outlook for tungsten by redeveloping the Dolphin Tungsten Project on the southeast coast of King Island in Bass Strait.

The company’s executive chairman Johann Jacobs will outline the company’s strategy to investors at the Proactive CEO Session in Sydney next Monday.

READ: King Island Scheelite secures 4-year tungsten offtake, shares up 30%

KIS recently entered into an offtake agreement for tungsten concentrate from the high-grade Dolphin project.

This deal encompasses the delivery of 1,400 tonnes of tungsten oxide (WO3) or 2,200 tonnes of concentrate over a four-year period to Austrian company Wolfram Bergbau und Hutten AG.

The price to be received for the concentrate is referenced to the ammonium paratungstate (APT, contains 88.5% WO3) price as quoted by Fastmarkets MB.

At full production, the redeveloped mine is expected to annually produce about 2,000 tonnes of WO3, contained in 3,100 tonnes of concentrate.

This means the offtake with Wolfram Bergbau, which is owned by Sandvik AB (STO:SAND) (FRA:SVKB) (OTCMKTS:SDVKY) (OTCMKTS:SDVKF), represents about 20% of proposed annual production.

The Austrian company produces high-quality powders based on tungsten which are used in componentry for high-tech manufacturing in the tooling, automotive, aerospace, energy, infrastructure, electronics and mining industries.

Dolphin’s resource is about 9 million tonnes at 0.73% tungsten and continues to increase to about 1.1% as the ore body dips underground.

READ: King Island Scheelite lands first customer as it focuses on 'critical mineral' tungsten

KIS has been developing a proposal for Dolphin mine’s redevelopment for about five years and has determined the first eight years of operation should be open cut before mining moves underground for a further eight years.

Also featuring at the Sydney session on Monday, June 3, will be West Wits Mining Limited (ASX:WWI), Global Energy Ventures Ltd (ASX:GEV), Emmerson Resources Ltd (ASX:ERM) and XTEK Ltd (ASX:XTE).

The Melbourne session on Tuesday, June 4, will feature West Wits Mining Limited, Global Energy Ventures Ltd, XTEK Ltd, ShareRoot Ltd (ASX:SRO) and Tempus Resources Ltd (ASX:TMR).

Register for the CEO Sessions today:

Sydney details, Monday, June 3, 2019

Melbourne details, Tuesday, June 4, 2019

]]>
Thu, 30 May 2019 16:50:00 +1000 https://www.proactiveinvestors.com.au/companies/news/221193/king-island-scheelite-to-outline-tungsten-strategy-at-proactive-ceo-sessions-221193.html
<![CDATA[News - King Island Scheelite executive director purchases shares on market ]]> https://www.proactiveinvestors.com.au/companies/news/218382/king-island-scheelite-executive-director-purchases-shares-on-market-218382.html King Island Scheelite Ltd’s (ASX:KIS) executive director Christopher Ellis has purchased 200,000 shares in the company through on-market trades.

The $18,690 purchase increases his total holding in the company to 58.61 million shares.

READ: King Island Scheelite chairman snaps up shares on market

Earlier today King Island chairman Johann Jacobs purchased 100,000 shares in the company valued at $9,419, increasing his total holding to 3.98 million shares.

The company revealed its first offtake agreement customer this month – Wolfram Bergbau und Hutten AG for a 20% stake of annual production from the Dolphin Tungsten Project on King Island in Bass Strait.

The offtake milestone is known as the Wolfram Agreement and is for the delivery of 140,000 metric tonne units (mtus) or 1,400 tonnes of WO3 over a four-year period.

READ: King Island Scheelite lands first customer as it focuses on ‘critical mineral’ tungsten

At full production, the redeveloped Dolphin mine is expected to produce about 2,000 tonnes of WO3 per annum contained in 3,100 tonnes of concentrate.

Chairman Johann Jacobs said: “It is extremely pleasing to have attracted the internationally renowned Wolfram Group as our first customer, in what is a highly competitive market.”

]]>
Thu, 11 Apr 2019 15:50:00 +1000 https://www.proactiveinvestors.com.au/companies/news/218382/king-island-scheelite-executive-director-purchases-shares-on-market-218382.html
<![CDATA[News - King Island Scheelite chairman snaps up shares on market ]]> https://www.proactiveinvestors.com.au/companies/news/218358/king-island-scheelite-chairman-snaps-up-shares-on-market-218358.html King Island Scheelite Ltd’s (ASX:KIS) executive chairman Johann Jacobs has purchased 100,000 shares in the company through on-market trades.

The $9,419 purchase increases his total holding in the company to 3.98 million shares.

READ: King Island Scheelite secures 4-year tungsten offtake, shares up 30%

Earlier this week, King Island entered into an offtake agreement for tungsten concentrate from its high-grade Dolphin Tungsten Project on King Island in the Bass Strait north of Tasmania.

Under the deal, 1,400 tonnes of tungsten oxide (WO3) or 2,200 tonnes of concentrate will be delivered over a four year period to Austrian company Wolfram Bergbau und Hutten AG.

]]>
Thu, 11 Apr 2019 08:31:00 +1000 https://www.proactiveinvestors.com.au/companies/news/218358/king-island-scheelite-chairman-snaps-up-shares-on-market-218358.html
<![CDATA[News - King Island Scheelite secures 4-year tungsten offtake, shares up 30% ]]> https://www.proactiveinvestors.com.au/companies/news/218099/king-island-scheelite-secures-4-year-tungsten-offtake-shares-up-30-218099.html King Island Scheelite Limited (ASX:KIS) has entered into an offtake agreement for tungsten concentrate from its high-grade Dolphin Tungsten Project on King Island in the Bass Strait north of Tasmania.

Under the deal, 1,400 tonnes of tungsten oxide (WO3) or 2,200 tonnes of concentrate will be delivered over a four year period to Austrian company Wolfram Bergbau und Hutten AG.

The price to be received for the concentrate is referenced to the ammonium paratungstate (APT, contains 88.5% WO3) price as quoted by Fastmarkets MB.

At full production, the redeveloped Dolphin Mine is expected to produce about 2,000 tonnes of WO3 per annum, contained in 3,100 tonnes of concentrate.

This means the offtake with Wolfram represents about 20% of its annual production.

Crunching the numbers

The 1,400 tonnes of WO3 is equal to 140,000 metric tonne units (mtu), and the APT price is currently in the range of US$265-285 per mtu.

Traditionally, concentrate producers receive between 75% and 80% of the quoted APT price per mtu.

Taking the midpoints of US$275 and 77.5%, the offtake has a gross value of about US$30 million or A$42 million.

Tungsten price expected to rebound

This offtake agreement value will move with the price off tungsten which is predicted to rebound in coming years.

Renowned global resources consultant Roskill has said: “Global tungsten markets are returning to growth following several years of oversupply and low prices.

“Tungsten market fundamentals have changed as demand from defence, industrial, and oil and gas applications has picked up, just as environmental policies in China have curbed supply and added cost pressures for producers.”

READ: King Island Scheelite ready to restart high-grade tungsten production at Dolphin Project

King Island’s chairman Johann Jacobs said: “It is extremely pleasing to have attracted the internationally renowned Wolfram Group as our first customer, in what is a highly competitive market.”

Regarding pricing, he added: “The price of APT has stabilised over the last few months and is starting to firm following the implementation of environmental policies in China and the continued growth of world economies.”

]]>
Mon, 08 Apr 2019 11:51:00 +1000 https://www.proactiveinvestors.com.au/companies/news/218099/king-island-scheelite-secures-4-year-tungsten-offtake-shares-up-30-218099.html
<![CDATA[News - King Island Scheelite lands first customer as it focuses on 'critical mineral' tungsten ]]> https://www.proactiveinvestors.com.au/companies/news/218094/king-island-scheelite-lands-first-customer-as-it-focuses-on--critical-mineral--tungsten-218094.html King Island Scheelite Limited (ASX:KIS) specialises in tungsten project development in Tasmania. It is run by Johann Jacobs, an executive chairman who has more than 35 years of experience in the resources industry in Australia, South Africa and Indonesia.

Jacobs is the founder and CEO of FinMin Pty Ltd and is an experienced board member who also serves as a non-executive director of Magnis Energy Technologies Ltd (ASX:MNS) (FRA:U1P).

He was previously the chairman of Indiana Resources Ltd (ASX:IDA) (FRA:GDM) and managing director of a coal producer, the Yancoal Australia Limited (ASX:YAL) buy-up Gloucester Coal Ltd (ASX:GCL).

What does King Island Scheelite own?

The key asset is the Dolphin Tungsten Project at the old Dolphin mine on King Island that King Island group is seeking to reopen given a stabilisation in the world tungsten price.

Dolphin project is on the southeast coast of King Island, the most western large island in the Bass Strait and one of the three islands known as the New Year Group.

Dolphin’s resource is about 9 million tonnes at 0.73% tungsten, with the grading increasing to about 1.1 % as the ore body dips underground.

The company has been developing a proposal for Dolphin mine’s redevelopment for about five years and has determined the first eight years of operation should be open cut before mining moves underground for a further eight years.

Today the company announced an agreement with wholly-owned Sandvik AB (STO:SAND) (FRA:SVKB) (OTCMKTS:SDVKY) (OTCMKTS:SDVKF) tungsten supplier Wolfram Bergbau und Hutten AG that would see the engineering group’s subsidiary take up to 20% of annual production from the site.

The offtake milestone is known as the Wolfram Agreement and is for the delivery of 140,000 metric tonne units (mtus), or 1,400 tonnes of WO3, over a four-year period.

The production offtake equates to about 2,200 tonnes of concentrate produced by a redeveloped Dolphin mine over the four years.

Wolfram produces high-quality powders based on tungsten which are used in componentry for high-tech manufacturing in the tooling, automotive, aerospace, energy, infrastructure, electronics and mining industries.

Tungsten is a critical raw material in Britain, the US and the European Union.

The current ammonium paratungstate (APT) price range for intermediate tungsten concentrate containing 88.5% WO3 is US$265 to $285 an mtu.

Wolfram’s take of Dolphin mine output would be referenced to the Fastmarkets MB APT price. Fastmarkets is the old London Metal Bulletin.

King Island has noted concentrate producers generally receive between 75% and 80% of the quoted APT price per mtu of WO3 delivered.

The company had A$1.6 million cash at the end of 2018 and expected A$513,000 of expenses in the March quarter of 2019.

Its budget for exploration and evaluation was A$292,000, with the company expected to file its next quarterly reports by the end of April 2019.

Inflection points

Further production offtake agreements for the Dolphin mine restart project

Financing and feasibility study milestones

Redevelopment commencement, opening and ramp-up

Production milestones including break even

Tungsten market sentiment and stability

Chairman Johann Jacobs pleased to attract quality partner for tungsten output

“It is extremely pleasing to have attracted the internationally-renowned Wolfram group as our first customer, in what is a highly competitive market,” executive chairman Johann Jacobs told the market this morning.

“The price of ammonium paratungstate has stabilised over the last few months and is starting to firm following the implementation of environmental policies in China and the continued growth of world economies.”

Jacobs told Proactive Investors in an interview published this week, “We’ve been spending the last five years trying to establish the optimal way of restarting the mine.

“We’ve got to a point now where the first eight years of operation will be open cut and that will be followed by eight years of underground.”

 

]]>
Sun, 07 Apr 2019 20:30:00 +1000 https://www.proactiveinvestors.com.au/companies/news/218094/king-island-scheelite-lands-first-customer-as-it-focuses-on--critical-mineral--tungsten-218094.html
<![CDATA[News - King Island Scheelite in trading halt with offtake news imminent ]]> https://www.proactiveinvestors.com.au/companies/news/217937/king-island-scheelite-in-trading-halt-with-offtake-news-imminent-217937.html King Island Scheelite Limited (ASX:KIS) has been granted a trading halt by the ASX with an announcement pending on the execution of an offtake contract.

This halt will remain in place until the start of normal trading on Monday, April 8, 2019, or when the announcement is released to the market, whichever occurs earliest.

Shares in the company, which is focused on the Dolphin Tungsten Project on King Island in Bass Strait, last traded at 6.5 cents.

Dolphin is one of the highest-grade tungsten deposits in the world and hosts a resource of about 9 million tonnes at 0.73% tungsten, which increases to about 1.1 % as the ore body dips underground.

In an interview with Proactive Investors, the company’s executive chairman Johann Jacobs said: “We’ve been spending the last five years trying to establish the optimal way of restarting the mine.

“We’ve got to a point now where the first eight years of operation will be open cut and that will be followed by eight years of underground.”

Dolphin is on the southeast coast of King Island, the most western large island in Bass Strait, north of Tasmania.

]]>
Thu, 04 Apr 2019 17:36:00 +1100 https://www.proactiveinvestors.com.au/companies/news/217937/king-island-scheelite-in-trading-halt-with-offtake-news-imminent-217937.html
<![CDATA[Media files - King Island Scheelite ready to restart high-grade tungsten production at Dolphin Project ]]> https://www.proactiveinvestors.com.au/companies/stocktube/12504/king-island-scheelite-ready-to-restart-high-grade-tungsten-production-at-dolphin-project-12504.html Wed, 06 Mar 2019 21:32:00 +1100 https://www.proactiveinvestors.com.au/companies/stocktube/12504/king-island-scheelite-ready-to-restart-high-grade-tungsten-production-at-dolphin-project-12504.html <![CDATA[News - King Island Scheelite improves tungsten profile ]]> https://www.proactiveinvestors.com.au/companies/news/157452/king-island-scheelite-improves-tungsten-profile-64653.html King Island Scheelite (ASX:KIS) has firmed up confidence in its Dolphin tungsten project in Tasmania by converting a portion of the resource to reserve status as the sector’s supply-demand balance heats up.

Dolphin open-cut reserves now stand at 3.1 million tonnes grading 0.7% tungsten for a total of 22,900 tonnes of tungsten.

This reflects a substantial improvement over the previous reserve statement of 1.9 million tonnes at 0.55% tungsten for 10,450 tonnes of tungsten.

While initial assessments of the reserve only supported an open-cut operation, new optimisation studies at the site have allowed for a more ambitious development plan, including an eight-year open-cut mine and a subsequent eight-year underground operation.

The processing plant will include both gravity and flotation circuits as well as a possible ore sorter to upgrade the plant head feed grade.

China is the major player in the tungsten sector and is expected to be a major driver of growing consumption with India.

However, the geostrategic aspect of tungsten’s unique high-strength characteristics has also contributed to a sense of urgency among Western customers to seek supply sources outside of China. 

King Island held cash and cash equivalents of A$1.6 million as of the end of June.

Dolphin is known as one of the highest grade tungsten deposits in the world.

Consensus is growing that the global tungsten sector is heading towards a pinched supply-demand scenario as appetite in diversified end-use markets outstrips the projected contribution of a number of new projects nearing operability.

Any supply-side strain in tungsten would be additionally pressured by the fact that there is little room for improved performance in the sector’s critical recycling industry, which pushes almost 25% of world supply.


Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX emerging companies with distribution in Australia, UK, North America and Hong Kong.

]]>
Mon, 21 Sep 2015 17:02:00 +1000 https://www.proactiveinvestors.com.au/companies/news/157452/king-island-scheelite-improves-tungsten-profile-64653.html
<![CDATA[News - King Island Scheelite to raise $2 million for tungsten project, Tasmania ]]> https://www.proactiveinvestors.com.au/companies/news/157451/king-island-scheelite-to-raise-2-million-for-tungsten-project-tasmania-56253.html King Island Scheelite (ASX:KIS) has initiated a 1 for 8 rights issue priced at $0.12 in order to raise 2.027 million to advance its Dolphin and Bold Head tungsten projects on King Island just off Tasmania.

The issue is partially underwritten up to $922,000 by two major shareholders, and certain major shareholders have already committed to $1,105,000.

The company was last month granted a mining lease over the Dolphin Tungsten Mine on King Island, Tasmania, that was previously operated from 1917 and closed in 1990 due to extremely low tungsten prices.

In April, it announced that it had largely completed a New Development Plan as an enhancement to the Dolphin and Bold Head Project Low Cost Option development plan.

This raising is expected to fund working capital for at least the next 12 months, during which KIS will further de-risk project development by de-watering the open cut void, undertaking a drilling program and further metallurgical test work, as well as progressing funding arrangements.

KIS is focused on redeveloping the original scheelite mine on King Island, with the resource comprising remnant ore bodies at Dolphin, Bold Head and tailings of 9,109,000 tonnes, containing 81,720 tonnes tungsten.

The company is presently valued at around $16 million.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

]]>
Mon, 14 Jul 2014 17:30:00 +1000 https://www.proactiveinvestors.com.au/companies/news/157451/king-island-scheelite-to-raise-2-million-for-tungsten-project-tasmania-56253.html
<![CDATA[News - King Island Scheelite to raise capital ]]> https://www.proactiveinvestors.com.au/companies/news/157450/king-island-scheelite-to-raise-capital-56216.html King Island Scheelite (ASX:KIS) has been granted an ASX trading halt ahead of a fund raising announcement.

The halt will last until the earlier of the announcement being made or the start of trade on Tuesday, 15 July 2014.

The company was last month granted a mining lease over the Dolphin Tungsten Mine on King Island, Tasmania, that was previously operated from 1917 and closed in 1990 due to extremely low tungsten prices.

Tasmania has some of the world’s richest tungsten deposits with enough resources to meet a significant proportion of the world’s tungsten requirements over a minimum 13 years.

It is currently finalising contract negotiations will allow dewatering the void left after operations ceased there in 1992.

Dolphin is currently expected to support open cut mining for 4 years and subsequent underground mining for 9 years.

Selective mining of tailings from previous operations will also be carried out.

The Dolphin, Bold Head and Tailings deposits have combined Resources of 9,109,000 tonnes containing 81,720 tonnes of WO3.



Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

]]>
Fri, 11 Jul 2014 13:30:00 +1000 https://www.proactiveinvestors.com.au/companies/news/157450/king-island-scheelite-to-raise-capital-56216.html
<![CDATA[News - King Island Scheelite’s drilling highlights open cut potential at two tungsten deposits in Tasmania ]]> https://www.proactiveinvestors.com.au/companies/news/157449/king-island-scheelites-drilling-highlights-open-cut-potential-at-two-tungsten-deposits-in-tasmania-51881.html King Island Scheelite (ASX: KIS) has completed two minor resource delineation drilling programs around the previously closed Dolphin and Bold Head tungsten mines on King Island, Tasmania.

This has confirmed the prospectivity of both these resource areas for open cut mining.

Notable intersections from Bold Head include 1.4 metres at 7.3% WO3 from 40.1 metres and 9 metres at 1.5% WO3 from 28 metres while drilling at Dolphin West returned 14 metres at 0.4% WO3 from surface and 16.9 metres at 0.7% WO3 from 10.2 metres.
 
The shallow intersections of extremely high grade scheelite mineralisation at Bold Head also provides further evidence of the lateral extent and tenor of the scheelite mineralisation associated with the Grassy Pluton and bodes well for further exploration potential.

JORC Resource and Reserve updates based on the recent drilling will be announced when geological modelling and mine planning work has been completed.

King Island is focused on redeveloping the original scheelite mine on King Island, with the resource comprising remnant ore bodies at Dolphin, Bold Head and tailings of 9,109,000 tonnes containing 81,720 tonnes tungsten.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

]]>
Wed, 15 Jan 2014 10:40:00 +1100 https://www.proactiveinvestors.com.au/companies/news/157449/king-island-scheelites-drilling-highlights-open-cut-potential-at-two-tungsten-deposits-in-tasmania-51881.html
<![CDATA[News - King Island Scheelite kicks off tungsten drilling on King Island, Tasmania ]]> https://www.proactiveinvestors.com.au/companies/news/157448/king-island-scheelite-kicks-off-tungsten-drilling-on-king-island-tasmania-49587.html King Island Scheelite (ASX: KIS) has commenced two resource extension drilling programs at its West Dolphin and Bold Head tungsten prospects on King Island, Tasmania.

A minimum of eight diamond drill-holes at Dolphin West and seven at Bold Head will be completed for a total of 825 metres.

The recently completed Value Engineering Study recognised the presence of shallow tungsten ore, potentially amenable to open-cut mining, around the previously-closed Dolphin and Bold Head mines.

Drilling is expected to complete in late November, with results announced as they become available.

Data will be used to supplement revisions to King Island's Definitive Feasibility Study, scheduled for completion early in 2014.

King Island is focused on redeveloping the original scheelite mine on King Island, with the resource comprising remnant ore bodies at Dolphin, Bold Head and tailings of 9,109,000 tonnes containing 81,720 tonnes tungsten.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

]]>
Tue, 29 Oct 2013 12:00:00 +1100 https://www.proactiveinvestors.com.au/companies/news/157448/king-island-scheelite-kicks-off-tungsten-drilling-on-king-island-tasmania-49587.html
<![CDATA[News - King Island Scheelite looks to raise $1.969M toward re-opening of tunsten mine ]]> https://www.proactiveinvestors.com.au/companies/news/157447/king-island-scheelite-looks-to-raise-1969m-toward-re-opening-of-tunsten-mine-43887.html King Island Scheelite (ASX:KIS) will look to a capital raising toward the re-opening of a tungsten mine on King Island in Tasmania.

A engineering study found that there is potential to improve on the Definitive Feasibility Study (DFS) completed in 2012 for the Dolphin Project on King Island.

The original plan involved reprocessing tailings for the first year while re-establishing underground operations.

The revised plan involves mining ore identified in the existing pit floor and walls for around three years.

This also involved shelving an earlier plan to re-treat tailings, deferring the reopening of underground operations and thereby reduce the up-front capital requirements. 

Higher production and reduced capital requirements in the early stages substantially improve the project economics while extending the mine life.

The fully underwritten rights issue of 2 shares for every 5 shares held seeks to raise $1.969 million to ensure operations and work required to update the DFS are adequately funded.

The shares will be offered at $0.051 to fund ongoing operations, exploration drilling, the DFS update and is expected to closer on 4th July 2013.

The Dolphin Project on King Island could meet a significant proportion of the world’s tungsten requirements, roducing some 3,500 tonnes of tungsten trioxide (WO3) per annum in an industry standard 65% tungsten concentrate.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.

]]>
Thu, 30 May 2013 08:50:00 +1000 https://www.proactiveinvestors.com.au/companies/news/157447/king-island-scheelite-looks-to-raise-1969m-toward-re-opening-of-tunsten-mine-43887.html
<![CDATA[News - King Island Scheelite completes DFS on Dolphin tungsten project, prepares for construction ]]> https://www.proactiveinvestors.com.au/companies/news/157446/king-island-scheelite-completes-dfs-on-dolphin-tungsten-project-prepares-for-construction-25893.html King Island Scheelite (ASX: KIS) has the potential to generate strong cash flows from the high grade Dolphin Tungsten Project, based on results from the recently completed Definitive Feasibility Study (DFS).

Subject to funding, King Island is ready to begin construction at the Dolphin project, with all amendments to permits and approvals agreed and necessary freehold land acquired.

King Island plans to progress discussions to secure project funding and off-take agreements.

Based on current tungsten prices and with a capital outlay of $133 million, the Dolphin Project has the ability to deliver surplus cash of more than $300 million.

This is accompanied by an ungeared net present value in the range of $69 million to $116 million and an internal rate of return of 21% to 29%.

Production has been placed at 3,500 tonnes per annum of contained tungsten in an industry standard 65% tungsten concentrate.

King Island has defined probable Reserves at the Dolphin Project of 2.68 million tonnes at 1.04% tungsten for 2.8 million metric ton units.

Significantly, there is potential for additional high grade ore immediately down plunge of the existing Reserves.

Dolphin re-development

King Island’s 100%-owned Dolphin Project, located on Tasmania’s King Island, has an initial 10 year mine life based on the remnant underground mining and retreated tailings.

Dolphin was operated as an open pit mine between 1917 and 1975, and as an underground operation until 1990.

In that time, Dolphin produced high grade tungsten concentrates using gravity and flotation processes.

The mine was closed in 1990 due to low tungsten prices.

Once re-developed, the historical mine has the potential to produce about one quarter of the world’s current non-Chinese supply of tungsten.

]]>
Thu, 01 Mar 2012 13:30:00 +1100 https://www.proactiveinvestors.com.au/companies/news/157446/king-island-scheelite-completes-dfs-on-dolphin-tungsten-project-prepares-for-construction-25893.html
<![CDATA[News - King Island Scheelite completes purchase of land for tungsten mine ]]> https://www.proactiveinvestors.com.au/companies/news/157445/king-island-scheelite-completes-purchase-of-land-for-tungsten-mine-25234.html King Island Scheelite Limited (ASX:KIS) has finalised the purchase from King Island Council of 240.9 hectares of land required for the tungsten mine site, tailings dam and processing facilities.

The company said it was now in place to conclude off take arrangements and secure the funding required for the Dolphin project, which is focused on bringing the tungsten mine into production in 2014.

King Island is also waiting on the Environmental Protection Authority to approve its environmental effects report, which it said reflected to reduced environmental impact from current plans to reopen the underground operation rather than expanding the former open pit.

This will enable King Island Council and Mineral Resources Tasmania to update the Development and Mining Lease approvals respectively.

Any amendments to permit commitments and conditions, along with the outcome of potential
further beneficiation review, will then be incorporated into the final feasibility study.

Drilling carried out in the December 2011 quarter had included 2 metres at 6.4% of tungsten oxide between 341 metres and 343 metres from the second drill hole that provided encouragement that scheelite mineralisation continues down plunge from the current resource.

However, ongoing technical difficulties led the company to halt further drilling until underground access is re-established.

The King Island Scheelite project near the town of Grassy, comprises the Dolphin and Bold Head deposits with a total resource of 11.4 million tonnes containing 101,300 tonnes of tungsten oxide.

The proposed development involves reopening the former underground mine at Dolphin and constructing a processing facility to produce about 3300 tonnes of tungsten oxide concentrate per annum.

The former mine at Dolphin was run as an open pit up until 1975, and as an underground mine until closure in 1990,

King Island held A$2.9 million in cash as at 31 December 2011.

]]>
Mon, 13 Feb 2012 15:09:00 +1100 https://www.proactiveinvestors.com.au/companies/news/157445/king-island-scheelite-completes-purchase-of-land-for-tungsten-mine-25234.html
<![CDATA[News - King Island Scheelite eyes expanded tungsten resource at Dolphin with encouraging intercepts ]]> https://www.proactiveinvestors.com.au/companies/news/157444/king-island-scheelite-eyes-expanded-tungsten-resource-at-dolphin-with-encouraging-intercepts--21929.html King Island Scheelite (ASX: KIS) has intersected 2 metres at 6.4% tungsten tri-oxide from between 341 and 343 metres in the second hole of its recently completed exploration core drilling program at Dolphin South.

A boost for the company is the fact this intersection shows the potential for the continuation of tungsten mineralisation, including high grades, down plunge from the current Dolphin resource and former Dolphin mine workings on King Island, Tasmania's northern most island. 

King Island Scheelite is targeting tungsten mineralisation in two locations outside the current JORC Resource.

Both the Swan Extended, located down-plunge from the Dolphin resource, and the Decline Zone, located to the east of the Dolphin Fault, intersected tungsten mineralisation.

The Dolphin underground resource estimate is 8.94 million tonnes @ 0.92% tungsten tri-oxide at a 0.25% cut-off.

The current total project mine life, feeding a processing plant at 350,000 tonnes per annum, is 12 years. The results of the core drilling program bode well for the potential extension of the mine life.

A third exploration drill hole was designed to test for a new ore position in the Decline Zone, however ongoing technical difficulties penetrating the Decline Fault and associated structures has caused King Island Scheelite to discontinue drilling from surface.

The company now plans to recommence this exploration from underground platforms once the mine is reopened.

]]>
Fri, 11 Nov 2011 13:28:00 +1100 https://www.proactiveinvestors.com.au/companies/news/157444/king-island-scheelite-eyes-expanded-tungsten-resource-at-dolphin-with-encouraging-intercepts--21929.html
<![CDATA[News - King Island Scheelite boosts reserve estimate by 33% at Dolphin tungsten mine ]]> https://www.proactiveinvestors.com.au/companies/news/157443/king-island-scheelite-boosts-reserve-estimate-by-33-at-dolphin-tungsten-mine--18479.html King Island Scheelite (ASX: KIS) has increased the reserve estimate for the Dolphin mine by 33%, increasing the mine's life beyond 13 years while maintaining average tungsten grades above 1% WO3 (tungsten trioxide).

The mine is part of the King Island Scheelite project on the south east coast of King Island, the most western large island in Bass Strait.

The revised estimate was based on a review of current operating and market conditions and an improved mining method. WO3 is currently trading at record highs around US$450.00 per ton, up 51.9% for the year.

The revised ore reserve estimate contains a total of 2,687,000 tonnes at 1.04% WO3 resulting in 2,806,000 metric tonne units (mtu = 10 kilograms)  and reflects a 33% increase in the volume of metal to be mined from the Dolphin underground mine and extends its life by more than three years.

The current drilling program at Dolphin South is designed to further extend this mine life with additional high grade ore.

The feasibility study is currently being updated to incorporate this increased reserve estimate along with re-treatment of tailings in a staged development plan.

The Dolphin project resource comprises the Dolphin and Bold Head deposits of 11,413,000 tonnes contains 101,300 tonnes of WO3. 

The proposed redevelopment involves reopening the former underground mine at Dolphin and constructing a processing facility to produce approximately 3,300 tonnes of W03 concentrate per annum.

The former mine at Dolphin was run as an open pit up until 1975, and as an underground mine until closure in 1990, due to WO3 concentrate trading as low as US$50mtu. 

The underground operation at nearby Bold Head also closed at this time. All equipment was removed after closure, the pit allowed to flood, and the site fully rehabilitated. The improved concentrate prices and remaining resource support a redevelopment.

The company believes the potential here is to develop a commercial project accessing the Dolphin resource via former underground workings and feeding a new processing facility with appropriate infrastructure. 

Reopening the Bold Head mine as well as the potential to access further tonnes below Dolphin workings are opportunities to add further value to this project.

Tungsten's unique properties make the metal invaluable to many industries. The metal has the highest melting point of all elements besides carbon, and its density is higher than lead.

These properties make it invaluable for tungsten-carbide drills and cutting tools for oil and mining applications, which makes up about 60% percent of its demand.

]]>
Tue, 09 Aug 2011 12:13:00 +1000 https://www.proactiveinvestors.com.au/companies/news/157443/king-island-scheelite-boosts-reserve-estimate-by-33-at-dolphin-tungsten-mine--18479.html