Wingellina

Engineering work on a feasibility study for Western Australian based mining company, MetalsX, on the development of the new Wingellina nickel mine in the remote Central Musgrave Ranges of Western Australia was suspended in June, 2013. Work on the project was stopped because of low commodity prices and weak global market conditions.

MetalsX puts Established Tasmanian tin Operations Before the Development of its Wingellina Project
MetalsX is the owner of a prosperous tin mining operation in Tasmania and under the present circumstances have decided to focus more on this portion of its business operations in Australia rather that proceed with the outback nickel project.

Wingellina Nickel-Cobalt Project is a World Class Asset
The Wingellina nickel project remains a valid long term project that once up and running is expected to produce around 3,000 tonnes of cobalt and 40,000 tonnes of nickel metal a year for at least 40 years. This level of production would make it a world class asset.

Remote Wingellina Project Straddles the WA, NT and SA Borders
The Wingellina nickel project, that is fully owned by MetalsX and located near the Western Australia, South Australia and Northern Territory borders, will not be suspended completely, as MetalsX intend to progress other elements of the project such as government approvals and internal long lead up feasibility studies. The project area of 1,957square kilometres actually straddles the borders of the two states and one territory. It also includes the Mt Davies exploration area and the Claud Hills nickel deposit. The tenement area is known as the Central Musgrave Project (CMP), one of the largest undeveloped nickeliferous pure oxide limonite orebodies in the world.

Wingellina ore Suited to HPAL Processing
Unlike most other Australian nickel laterite projects, the minerology of the Wingellina ore body is its major strength, as it has characteristics suited to high pressure acid leaching (HPAL), with very low levels of magnesium and high iron grades. The project holds 187 million tonnes of ore grading at one percent nickel and 0.08 percent cobalt. Over 90 percent of the resource, or 167 million tonnes, has been classified as Probable Mining Reserve.

Traditional Owners Agree to Wingellina Project Proceeding
On the 15th of July 2010, MetalsX signed an agreement with the Yarnangu Ngaanyatjarra people, traditional owners of the land on which the Wingellina project is situated. The agreement cleared the way for the company to a obtain a formal mining lease from the Western Australian government as well as giving it the right to mine the area and to proceed with the development of the necessary infrastructure.

Samsung C and T to Assist With Progressing the Wingellina Project Into the Production Stage
MetalsX also signed a memorandum of understanding, in 2012, with Samsung C and T Corporation. This formal document allows the two parties to put together the Detailed Feasibility Study (DFS) to have the Wingellina project move to the production stage. Under the memorandum of understanding Samsung C and T will provide the necessary technical engineering expertise to have the feasibility study completed.

The ongoing potential for mining in the Central Musgrave Project region is significant, as the Wingellina and Claude Hills projects represents less than 25 percent of the total exploration area that promisises considerable potential for further discoveries.
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