Australian Government Grants Chalice Mining’s Gonneville Major Project Status

Commonwealth Minister for Industry and Science Ed Husic has awarded major project status to the Gonneville platinum-group elements discovery, owner Chalice Mining (ASX:CHN,OTC Pink:CGMLF) said.

The designation comes shortly after the project received strategic project status from Western Australian Premier Roger Cook on September 17, highlighting its importance in Australia’s future critical minerals ambition.

“Chalice would like to thank Minister Husic and the Australian Federal Government for recognising the national significance of the Gonneville Project as the first major Platinum Group Element discovery in Australia,” commented Alex Dorsch, CEO and managing director of the company, on Monday (October 14).

Having major project status will pave the way for additional support and coordinated approvals for Gonneville.

The asset is wholly owned by Chalice and is located 70 kilometres northeast of Perth, Western Australia. It sits on Chalice-owned farmland with access to nearby established road, rail, port and high-voltage power infrastructure, along with a significant "drive-in, drive-out" mining workforce, according to the company.

The project is centred on the Gonneville deposit, which was discovered by Chalice geologists in 2020. The resource is a Tier 1 scale greenfield find hosting a mix of critical and strategic minerals: palladium, platinum, nickel, copper and cobalt.

A scoping study was completed for the project in August 2023, outlining “a new long-life, low-cost, low-carbon critical minerals mine in Western Australia with the potential to deliver strong financial returns and regional benefits.”

Chalice has said that a prefeasibility study (PFS) will follow. In July, the company signed a strategic memorandum of understanding (MOU) with Japanese conglomerate Mitsubishi (TSE:8058) to collaborate on the study.

The MOU established a framework for collaboration on technical, financing, marketing and offtake aspects of the project, with the intention of forming a potential binding partnership within 90 days of the PFS' completion.

Chalice added that it recognises the need to develop the project “sustainably and responsibly,” approaching environmental, social and cultural heritage management using a best practice approach.

“We look forward to continuing to work with the Commonwealth and Western Australian Governments, local communities, Traditional Owners, and Mitsubishi Corporation under our strategic MOU as we progress approvals and project studies to advance this important project towards development," the company said.

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Securities Disclosure: I, Gabrielle de la Cruz, hold no direct investment interest in any company mentioned in this article.