Though it is only the conclusion of quarter two for Impact Minerals in December 2024, the company’s entire calendar year 2024 performance data have poured in with its December quarterly report publication. Throughout the year, Impact Minerals has taken quite a few steps ahead across various exploration and development projects, notably its flagship Lake Hope High Purity Alumina (HPA) Project in Western Australia. The consolidated report focuses on the numbers throughout the year, along with the company’s activities and milestones across the four quarters.
Third Quarter FY24 (Ending March 2024)
Impact Minerals has focused heavily on advancing its Lake Hope Project as planned earlier since the beginning of the year with other exploration activities.
The project achieved production of greater than 99.99 per cent (4N+) High Purity Alumina (HPA) using the proprietary Playa One Sulphate Process and a newly developed Low-Temperature Leach (LTL) process.
Meanwhile, preliminary customer discussions indicated a strong demand for 4N HPA. Pre-Feasibility Study (PFS) has also remained on track for completion by the end of 2024.
As for this project, 2024 started with the identification of rare earth element (REE) anomalies with up to 5,880 ppm Total Rare Earth Oxide (TREO+Y) at the Hyperion prospect. A significant porphyry copper target at Caligula with soil geochemistry and MMT data has simultaneously been defined.
- Corporate and financial developments:
Continued synthesis of data at the Broken Hill site and evaluation of other prospects, including relinquishing underperforming projects. The Quarterly Cashflow Report (Appendix 5B) for the current period provides an overview of the company’s financial activities.
Cash exploration expenditure for the period was $862,000. Corporate and administrative expenses amounted to $449,000. The total amount paid to directors of the entity and their associates during the period (item 6 of Appendix 5B) was $106,000, including salary, directors’ fees, and superannuation. Cash as of March 31 was $0.9 million.
Fourth Quarter FY 24 (Ending June 2024)
During the second quarter, Impact Minerals achieved major milestones in its exploration and corporate activities:
As the year advanced, the Pre-Feasibility Study (PFS) progressed with key appointments, including Indigenous Services Australia (ISA) and David English as Feasibility Study Manager, alongside the baseline flora and fauna surveys indicating no threatened species near Lake Hope was conducted. The project also initiated a carbon strategy with the aim of producing competitive zero-carbon HPA and commenced discussions with the Ngadju Aboriginal group on a mining lease application.
Secured up to $180,000 in co-funding from the Western Australian Government’s scheme for drilling at the Caligula copper target.
Impact Minerals has likewise completed drilling at the Hyperion REE prospect.
- Corporate and Financial Developments:
Raised $3 million through strategic placement and received $395,000 in research and development rebates. The company successfully completed a strategic placement aimed at sophisticated investors, raising AU$ 3,000,000 (before costs) through the issuance of 150,000,000 fully paid ordinary shares (referred to as Placement Shares) at an issue price of AU$ 0.02 per share. For every three Placement Shares purchased, investors will receive one free-attaching option with an exercise price of AU$0.027 and an expiration date 15 months from the date of issuance (referred to as Placement Options). This placement received strong support from major shareholders, demonstrating their endorsement of the company’s future strategic plans.
First Quarter FY25 (Ending September 2024)
Impact Minerals continued its progress toward the development of Lake Hope while advancing other projects:
Impact Minerals lodged a Mining Lease and associated Miscellaneous Licence applications and completed infill drilling to define a maiden Measured Resource and Proven Reserve, with resource calculations underway. The company selected Kwinana as the location for the HPA processing plant, offering strategic advantages in reagent supply and by-product sales. It chose the Low-Temperature Leach process as the preferred processing method. CPC Engineering was appointed to conduct the design and engineering study for the full-scale plant.
Limited activities due to the cropping season, but preparation for drilling in early 2025 continued. Land access agreements and statutory approvals progressed.
Received a $2.87 million grant in collaboration with CPC Engineering for HPA process commercialisation. Initiated early discussions with ceramic and alumina producers in Europe and the USA.
Second Quarter FY 25 (Ending December 2024)
Impact Minerals achieved further milestones during the concluding quarter of the calendar year, particularly regarding the Lake Hope project.
- Lake Hope High Purity Alumina (HPA) Project
Impact’s Lake Hope HPA Project, situated 500 km east of Perth, Western Australia, continued to make significant advancements during the fourth quarter as it was declared a new resource of 730,000 tonnes at 25.8 per cent alumina, translating into 189,000 tonnes of contained alumina. This resource underpins a 15-year mine life, with the potential for extension based on broader exploration results. The project’s Scoping Study revealed an after-tax Net Present Value (NPV8) of AUD 1.3 billion, with operating costs placing it among the lowest globally.
Influential headway in logistical planning and land access negotiations, with ongoing discussions with the Ngadju Aboriginal people and environmental and heritage assessments underway.
- Developing the HPA Processing Plant
It was selected as the processing site for producing high-purity HPA used in industries such as lithium-ion batteries, LEDs, and semiconductors.
CPC Engineering led plant design, focusing on refining the acid regeneration system to reduce chemical consumption.
The site secured a $2.87 million CRC-P Grant from the Federal Government to support the construction of a pilot plant for HPA sample production and customer qualification. Integration of Membrane Selective Technology (MST) to achieve zero-liquid discharge and improve environmental sustainability in this HPA processing plant took place between October and December 2024.
- Arkun-Beau Nickel-Copper-PGM-REE Project
The collection of 311 new soil samples focuses on the Caligula copper target and mobile MT anomalies, with results pending.
Secured US$180,000 in EIS funding for drill testing at the Caligula copper target, supporting deeper exploration and potential new discoveries.
- Financials and corporate report
During the quarter, Impact Minerals announced that it had received a rebate of $512,000 before costs from the Research and Development Tax Incentive scheme for the financial year ending June 2024 (ASX Release, November 20, 2024). These funds will be utilised to continue the Pre-Feasibility Study on Impact’s flagship Lake Hope High Purity Alumina (HPA) Project, which is scheduled for completion in the first quarter of 2025. Additionally, the funds will help accelerate the start of a recently announced research and development project in collaboration with CPC Engineering and Edith Cowan University, aimed at constructing a pilot plant for the Lake Hope Project. This project will also receive support from a recently announced grant of $2.87 million under the Federal Government’s CRC-P program (ASX Releases, October 22, 2024, and November 18, 2024).
Impact Minerals demonstrated steady progress in 2024, particularly with its Lake Hope HPA project, which remained on schedule for a comprehensive Pre-Feasibility Study by the year. The company made strategic advancements in environmental assessments, process optimisation, and marketing initiatives while maintaining robust engagement with indigenous communities and government agencies. With drilling at Arkun-Beau planned for 2025 and a growing focus on HPA production, Impact Minerals is well-positioned for continued growth and development.
All images sourced from https://impactminerals.com.au/
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