MinRes will use the Lake Johnston mill (above) to establish a lithium processing hub for the region.
(Photo: Poseidon Nickel)

Lake Johnston is a nickel concentrator plant with a flotation circuit that has front-end feed capacity of 1.5 million metric tons per year and is capable of being converted to treat lithium ores, including dense media separation fines. MinRes said it intends to develop Lake Johnston as a lithium processing hub in the southern Goldfields region. The acquisition aligns with the company’s strategy to process fines from its Bald Hill and Mt Marion lithium operations, new discoveries made by MinRes in the region, and third-party ore in exchange for project equity.

“This is an exciting opportunity to develop MinRes’ third lithium processing hub in the Goldfields and the first to include flotation capacity to treat fines,” MinRes Managing Director Chris Ellison said. “We intend to bring our expertise in spodumene production to Lake Johnston, which has the potential to service projects throughout the world’s most prospective region for lithium.”

The plant is licensed to operate to 2041 and has an active groundwater-extraction license. On-site infrastructure includes an airstrip, 200-person camp, electrical infrastructure, workshops and laboratories. Internal studies by MinRes indicated repurposing a brownfields site would reduce the approvals timelines by nearly two years compared to a greenfields development, in addition to significant capital savings.

Located approximately 185 km southwest of Kalgoorlie, the tenure covers 86 km2 with one exploration license and 10 mining leases. MinRes will own the tenure outright, including all mineral rights.