Highlights
- Scoping Study confirms economic feasibility of the Leliyn Graphite Project in Northern Territory.
- Purified spherical graphite grading 99.97% graphitic carbon produced, exceeding battery-grade requirements.
- Gallium identified as potential by-product; ongoing test work on mica concentrate recovery.
Kingsland Minerals Ltd (ASX:KNG) released its quarterly report for the period ended 30 September 2025, outlining significant developments at the Leliyn Graphite Project. The company completed a Scoping Study confirming the project’s potential as a low-cost producer of graphite concentrate. Additionally, test work demonstrated that Leliyn graphite concentrate can produce high-grade purified spherical graphite (PSG) suitable for battery applications.
Managing Director Richard Maddocks stated,"This quarter has seen significant advances in the development of the Leliyn Graphite Project. The positive results from the scoping study really show the potential for Leliyn to be a significant low cost producer of graphite concentrate. When this is combined with the very good results of test work that produced 99.97% purified, spherical graphite, the future development prospects of Leliyn are becoming apparent. We are planning and implementing future work programs to advance the project and are looking forward to communicating these to shareholders in coming months.”
Leliyn Graphite Project Scoping Study
The Scoping Study evaluated Leliyn as a bulk open-pit mining operation using a third-party mining contractor and a 1.5 Mtpa processing plant. The project’s estimated life is 8.9 years, with 6.9 years of processing.
Key assumptions include:
- Average graphite recovery of 88% and grade of 7.28% total graphitic carbon (TGC).
- Average operating cost of AUD 651/t and All-in Sustaining Cost (AISC) of AUD 796/t graphite concentrate.
- Estimated Life of Mine (LoM) revenue of AUD 1.05 billion and pre-tax cash margin of AUD 563 million.
- Initial capital cost of approximately AUD 343 million.
Annual production is expected to average 94,500 tonnes of graphite concentrate, with a payback period of four years from start of production.
Purified Spherical Graphite Production
Test work conducted by ProGraphite GmbH in Germany produced purified spherical graphite grading 99.97% graphitic carbon. The results exceeded the minimum purity threshold of 99.95% typically required for high-quality battery anode materials. The high-purity PSG was achieved using low-temperature alkaline bake methods, demonstrating favorable refining potential for Leliyn graphite.
Gallium By-product Potential
Additional metallurgical studies identified gallium as a potential by-product. Analysis by CSIRO indicated that muscovite mica is the primary host for gallium mineralisation, with concentrations up to 140 ppm. Independent Metallurgical Operations (IMO) commenced test work to extract mica concentrates containing elevated gallium levels, with further assessments planned to determine extraction viability.
Corporate and Financial Position
As of 30 September 2025, Kingsland Minerals held approximately AUD 0.53 million in cash. Post-quarter, the company completed a placement raising AUD 897,172 through the issue of 7.48 million shares at AUD 0.12 each. Quinbrook Asset Management also committed AUD 726,900, subject to shareholder approval. A Share Purchase Plan (SPP) to raise an additional AUD 500,000 was also announced.
Share performance
KNG’s shares traded at AUD 0.120 per share on 29 October 2025, down 4.00% from its previous close of AUD 0.125.
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