Western Yilgarn’s Cardea 3 Resource Boost Raises Questions on Next Growth Phase

A Significant Addition to Western Yilgarn's Bauxite Portfolio

Western Yilgarn Limited (ASX:WYX) has announced a maiden JORC (2012) Inferred Mineral Resource Estimate of 16.57 million tonnes grading 34.2% Total alumina (Al2O3) at its Cardea 3 Bauxite Project in the Central Bindoon region of Western Australia. This new resource includes a high-grade subset of 3.78 million tonnes at 35.8% Available alumina with a low reactive silica content of 3.7%, a key quality metric for bauxite used in alumina refining.

This addition lifts Western Yilgarn's total bauxite resource base to 205 million tonnes, spread across its Julimar West, Cardea 2, and Cardea 3 projects, consolidating its position as a significant player in the Darling Range Bauxite Mineral Field.

Geological and Operational Context

The Cardea 3 resource lies within a flat-lying, shallow lateritic profile extending approximately 3 km in length and 1 km in width, with mineralisation from surface to about 7 metres depth. The deposit's proximity; just 17.5 km east; to the flagship Julimar West project and its location near major infrastructure such as the Perth-Kalgoorlie railway line and highways provide logistical advantages for potential mining operations.

The bauxite mineralisation is typical of the Darling Range deposits, formed by weathering of Archaean granite and gneiss, resulting in high-grade gibbsite-rich ore. The resource's quality is underscored by metallurgical test work indicating the bauxite is suitable for direct shipping ore (DSO) export, targeting alumina refineries in China and the Middle East.

Technical Rigor and Resource Estimation

The resource estimate is based on 139 drill holes out of a total 422 completed to date, using vacuum drilling techniques and analysed by X-Ray Fluorescence and bomb digest methods to determine total and available alumina and reactive silica. The estimation employed Inverse Distance Squared interpolation with validation against kriging models, confirming reliability. The resource is classified as Inferred, reflecting moderate confidence pending further drilling and testing.

Importantly, the high-grade subset with low reactive silica is critical for economic processing, as reactive silica increases refining costs. Preliminary beneficiation tests, including wet screening and gravity separation, have demonstrated potential to upgrade the ore further, enhancing its marketability.

Strategic Implications and Next Steps

Western Yilgarn's Non-Executive Director Pedro Kastellorizos highlighted the project's scalability and the strategic advantage of its location near multi-user rail infrastructure amid record-high alumina and bauxite prices. The company plans to pursue further drilling to test unassessed zones within the exploration licence and continue metallurgical test work to refine processing parameters.

This development positions Western Yilgarn to become a new, independent supplier of premium-grade bauxite, with potential to support regional employment and generate long-term shareholder value.