Larvotto Advances Hillgrove with Dry Tailings Shift, Streamlining Approval

Larvotto Resources has modified its Hillgrove Antimony-Gold Project to adopt dry stacking for tailings, a move that promises environmental benefits and faster regulatory approval without impacting project economics.

  • Hillgrove Project switches from wet slurry to dry stacking tailings
  • NSW government accepts modification as permit change, not new application
  • Dry stacking offers enhanced environmental outcomes and structural stability
  • Definitive Feasibility Study integrating dry stack method on schedule
  • Project positioned to address global antimony supply shortages
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Strategic Shift in Tailings Management

Larvotto Resources Limited (ASX: LRV) has announced a significant change to its Hillgrove Antimony-Gold Project plan, opting to implement dry stacking of process tailings rather than constructing a conventional wet slurry tailings facility. This decision follows a comprehensive review and consultation process, culminating in the NSW Department of Planning, Housing and Infrastructure accepting Larvotto's pre-lodgement application as a modification to the existing project consent.

The dry stacking method involves drying tailings to less than 9% moisture content using filter presses, then compacting them within a lined containment area. This approach contrasts with the previously planned wet tailings dam located five kilometres from the processing plant, which would have required a new environmental permit and posed additional engineering and environmental challenges.

Environmental and Operational Advantages

Dry stacking offers multiple environmental benefits, including increased water recovery, reduced land clearing per tonne of tailings, and enhanced structural stability. Unlike conventional tailings dams, the dry tailings landform is not classified as a dam, which simplifies regulatory oversight and reduces risk. Additionally, the method enables progressive rehabilitation alongside ongoing operations, rather than deferring rehabilitation until project closure.

Managing Director Ron Heeks highlighted that dry stacking not only streamlines the approval process but also aligns with best practice environmental management. He emphasized that the change does not materially affect project economics, while positioning Hillgrove to become a globally significant antimony producer amid a critical supply deficit.

Permitting and Project Timeline

The NSW government’s acceptance of the dry stacking modification as a permit change rather than a new application is a pivotal development, potentially accelerating the project’s path to production. This approach leverages the existing tailings footprint, avoiding the lengthy environmental studies and approvals that a new wet tailings facility would require.

Larvotto is integrating the dry stack tailings method into its Definitive Feasibility Study, which remains on track for completion in the first quarter of 2025. The company’s confidence in this approach reflects broader industry trends, with dry stacking increasingly adopted internationally for its environmental and operational advantages.

Broader Implications for Hillgrove and Larvotto

The Hillgrove Project, located in New South Wales, is a high-grade gold and antimony deposit with strong market fundamentals given the global antimony supply shortage. Larvotto’s portfolio also includes other promising projects in Queensland, Western Australia, and New Zealand, but Hillgrove remains a flagship asset with the potential to deliver significant shareholder value.

By embracing dry stacking, Larvotto not only mitigates environmental and engineering risks but also demonstrates a commitment to sustainable mining practices. This strategic pivot could enhance investor confidence and position the company favorably in a market increasingly attentive to ESG factors.

Bottom Line?

Larvotto’s dry stacking pivot at Hillgrove could accelerate production and set a new environmental benchmark in antimony mining.

Questions in the middle?

  • How will the integration of dry stacking affect operational costs and timelines once implemented?
  • What are the potential challenges in scaling dry stacking technology at Hillgrove’s throughput?
  • Could this environmental approach influence permitting outcomes for Larvotto’s other projects?