Environmental and Cultural Challenges Shape Diatreme’s Silica Sands Future
Diatreme Resources has advanced its Northern Silica Project’s environmental studies to the final stages, completing critical groundwater and ecological assessments ahead of a mid-2025 draft EIS submission.
- Completion of 12 months of continuous surface and groundwater data collection
- Groundwater pumping test finalised, informing aquifer impact and mitigation strategies
- Draft Environmental Impact Statement targeted for submission by late Q2 2025
- Community and cultural heritage engagement ongoing with local Indigenous groups
- Project footprint updated to include new infrastructure corridor with federal approval
Environmental Studies Reach Critical Phase
Diatreme Resources Limited (ASX: DRX) has reported significant progress in the environmental approval process for its Northern Silica Project (NSP) in Far North Queensland. The company has completed the most substantial long-term environmental data collection, including 12 months of continuous surface and groundwater monitoring, marking a pivotal step towards lodging its draft Environmental Impact Statement (EIS) by mid-2025.
The final Terms of Reference (FTOR) for the EIS, issued by the Queensland Office of the Coordinator-General in September 2024, have provided a comprehensive framework for impact assessment and mitigation. Diatreme has leveraged this framework to advance multiple ecological and hydrogeological studies in parallel, accelerating the project’s environmental assessment timeline.
Groundwater Pumping Test: A Milestone for Impact Assessment
A major highlight was the completion of a rigorous groundwater pumping test in August 2024. This test, involving step rate and continuous 72-hour constant rate pumping, has yielded critical data on aquifer transmissivity and storage capacity. Such insights are essential for understanding how groundwater extraction might affect local water resources, including sensitive groundwater-dependent ecosystems (GDEs) like springs and wetlands near the mining site and the adjacent Great Barrier Reef.
The data collected will feed into a detailed numerical groundwater model, underpinning both environmental safeguards and operational water management strategies. This dual benefit enhances the project’s sustainability credentials and reduces risks associated with water resource depletion.
Broad Ecological and Cultural Engagement
Diatreme’s environmental studies extend beyond hydrology, encompassing comprehensive terrestrial and aquatic ecology surveys. These include habitat mapping of littoral rainforest communities, targeted assessments of local skink species, migratory birds, and stygofauna sampling. Seasonal electrofishing and underwater noise assessments further enrich the ecological baseline data.
Importantly, the company has initiated cultural heritage surveys and ongoing engagement with the Dingaal Clan, ensuring Indigenous perspectives and values are integrated into project planning. Community consultation efforts have been robust, with information sessions held in Hope Vale and Cooktown to foster transparency and local input.
Project Footprint and Infrastructure Updates
In a strategic development, Diatreme has secured federal approval to include the Casuarina Mining Lease Application (MLA100309) within the NSP project footprint. This adjustment facilitates an alternative slurry pipeline and stockpile alignment near the Port of Cape Flattery, potentially reducing environmental impacts by avoiding sensitive coastal vegetation.
Engineering and feasibility studies continue to refine mining methodologies, reject sand management, and landform design. These efforts aim to align environmental findings with operational planning, minimizing rework and supporting a robust feasibility study phase.
Looking Ahead
CEO Neil Mcintyre emphasised the company’s commitment to sustainable development and stakeholder engagement, noting that the draft EIS will be lodged for adequacy checks with both state and Commonwealth regulators by mid-2025. This milestone will set the stage for subsequent approvals and project advancement, positioning Diatreme to meet growing global demand for high-purity silica sand, particularly in the solar energy sector.
Bottom Line?
As Diatreme approaches its EIS submission, the balance between environmental stewardship and project development will be closely watched by investors and regulators alike.
Questions in the middle?
- How will ongoing community and Indigenous consultations influence the final EIS and project footprint?
- What specific mitigation measures will be proposed to protect groundwater-dependent ecosystems?
- How might the updated infrastructure corridor impact project costs and timelines?
