Exploration licence for possible processing of tailings from Woodsreef mine

International Minerals Corporation Pty Ltd has won the tender for the exploration licence of the former Woodsreef Asbestos mine, located 14 kilometres east of Barraba.

The exploration licence is the first step in formally assessing the feasibility of removing and processing tailings from the old asbestos mine, which ceased operation in 1983.

If work proceeds after the exploration phase, the old tailings could be reprocessed into magnesium metals, which are used in machinery and engine parts.

During the 5-year exploration period, the company will carry out studies over an 18-square kilometre area to determine the feasibility of extracting and processing old minerals tailings.

However, the five-year exploration licence does not guarantee that International Minerals Corporation Pty Ltd will automatically win the right to extract and process old tailings.

Any future mineral recovery proposal would require development approval under New South Wales planning legislation.

Should reprocessing occur at a later stage, the capital expenditure is estimated to be in the order of $400m and could lead to more than 100 new jobs.

The extraction and processing work would also progressively rehabilitate the old site, making it a win for the local environment.

The former Woodsreef Asbestos mine extends over an area of about 270 hectares.