Name of the Project
Kalgoorlie nickel project (KNP) – Goongarrie Hub.

Location
City of Kalgoorlie-Boulder, Australia.

Project Owner/s
Metals exploration and development company Ardea Resources.

Project Description
KNP has an ore reserve of 194.1-million tonnes at 0.70% nickel and 0.05% cobalt for 1.36-million tonnes of contained nickel and 99 000 t of contained cobalt.

The July 2023 prefeasibility study envisages the use of conventional low-cost openpit mining methods, with mine optimisation studies projecting the production of about 30 000 t/y of nickel and 2 000 t/y of cobalt for more than 40 years.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project generates a pretax net present value, at a 7% discount rate, of A$7.63-billion and an internal rate of return of 30%, with a payback of 3.1 years.

Capital Expenditure
A$3.12-billion.

Planned Start/End Date
The project execution phase is tentatively targeted for the third quarter of 2025, allowing for production by early 2028.

Latest Developments
Ardea has secured a A$4.6-million strategic investment from Japan’s Sumitomo Metal Mining, further strengthening the partnership between the two companies as they advance the project.

Sumitomo will subscribe for 10.73-million Ardea shares at A$0.43 apiece. Upon completion of the placement, Sumitomo will hold about 5.1% of Ardea.

The funds will be used primarily for working capital, with Ardea continuing its contribution to the ongoing definitive feasibility study.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Ardea Resources, tel +61 8 6244 5136 or email ardea@ardearesources.com.au.