Pure Resources Advances Reedy Creek Garnet Project with High-Grade Test Results

Project Acquisition and Strategic Location

Pure Resources Limited has exercised its option to acquire the Reedy Creek Garnet Project, a high-grade, hard-rock industrial garnet deposit located in northeast Western Australia. The project benefits from a granted mining lease (M80/416) valid until 2038, situated near established infrastructure and within reach of key Asian and global markets. This strategic positioning enhances the project's appeal for future development and export potential.

Resource Expansion Through Exploration

During the December 2024 quarter, Pure Resources identified an additional 2.2 kilometres of untested garnetiferous outcrop, extending the known strike length from 1.1 kilometres to 3.3 kilometres. This southwest extension significantly broadens the resource potential and suggests a larger-scale deposit than previously mapped. The garnet mineralisation occurs within a marble horizon and remains open at depth, indicating further upside with additional drilling and exploration.

Encouraging Metallurgical Test Results

Preliminary metallurgical test work conducted on a 200-kilogram composite sample from representative zones across the lease has yielded highly encouraging results. The garnet purity reached up to 93.2%, particularly in the 150-250 micron fraction, which is suitable for high-value applications such as water jet cutting. The test work included ore sorting and magnetic characterisation, both of which demonstrated the potential to produce a direct shipping ore (DSO) concentrate at low cost by efficiently rejecting gangue minerals like epidote and quartz early in the processing chain.

Optimising Processing and Cost Efficiency

Ore sorting trials at the Steinert Test Facility in Perth utilized advanced sensor technology, including colour and laser cameras alongside X-ray transmission sensors. These tests showed a significant reduction in impurities, which could streamline downstream processing and reduce operational costs related to grinding media, power, and water consumption. Magnetic characterisation further refined the understanding of grind size and liberation requirements, confirming that garnet grades exceeding 90% are achievable below 600 microns.

Advancing to Second Phase Testing and Market Engagement

Following the positive initial results, Pure Resources fast-tracked a second phase of metallurgical testing on approximately three tonnes of stockpiled garnetiferous material. This phase aims to refine processing methodologies and produce a range of commercially viable garnet products. Samples from this testing will be delivered to buyers in established markets across Australia, the USA, and Asia, signaling the company’s intent to move towards commercialisation.

Financial Position and Future Plans

Pure Resources successfully completed a shortfall placement associated with its recent entitlement issue, raising $209,586 before costs. The company ended the quarter with $1.187 million in cash and no debt, providing a solid financial base for ongoing exploration and development activities. Looking ahead, Pure plans to prepare and implement exploration programs across its asset portfolio, including geophysical surveys and drill testing to further delineate resources and advance project economics.

Outlook

With a granted mining lease, expanding resource potential, and promising metallurgical results, the Reedy Creek Garnet Project positions Pure Resources as a notable player in the industrial minerals sector. The company’s focus on low-cost processing and market-ready product development could unlock significant value as it progresses towards commercial production.