Kingsland Minerals has withdrawn its previously implied production target for the Leliyn Graphite Project’s processing plant, citing non-compliance with ASX disclosure rules and advising investors to disregard prior estimates.
- Retraction of 1Mtpa processing plant production target
- Non-compliance with ASX Listing Rule 5.16 cited
- Investors warned not to rely on previous production information
- Inclusion of omitted Competent Person statement for exploration target
- Clarification follows ASX discussions on disclosure interpretation
Kingsland Minerals Clarifies Production Target Disclosure
On 22 July 2025, Kingsland Minerals (ASX, KNG) issued a formal retraction of the production target previously implied in its announcement regarding the Leliyn Graphite Project. The company acknowledged that references to a 1 million tonnes per annum (Mtpa) processing plant were not intended as a production target under ASX Listing Rule 5.16 but could be misinterpreted as such.
This clarification follows discussions with the Australian Securities Exchange, which highlighted that the earlier disclosure lacked a reasonable basis and did not comply with the stringent requirements for production target statements. As a result, Kingsland Minerals has advised investors explicitly not to rely on the prior information when making investment decisions.
Regulatory Compliance and Investor Implications
The retraction underscores the importance of precise and compliant communication in the mining sector, where production targets can significantly influence market sentiment and investor expectations. By withdrawing the target, Kingsland Minerals aims to maintain transparency and uphold regulatory standards, though the move inevitably introduces uncertainty about the project's near-term scale and output.
Alongside the retraction, the company also included the previously omitted Competent Person statement for the Leliyn Graphite Exploration Target. This statement confirms that Richard Maddocks, a qualified geologist and full-time employee of Kingsland Minerals, has reviewed the exploration data in accordance with the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves.
What Lies Ahead for Leliyn?
While the retraction may temper immediate enthusiasm, it also signals Kingsland Minerals’ commitment to regulatory rigor and accurate reporting. Investors and analysts will be watching closely for forthcoming updates that provide a compliant and substantiated production outlook. The company’s next disclosures will be critical in shaping market confidence and clarifying the project’s development trajectory.
Bottom Line?
Kingsland’s retraction resets expectations, making forthcoming compliant updates essential for investor confidence.
Questions in the middle?
- When will Kingsland provide a compliant and substantiated production target for Leliyn?
- How will this retraction affect Kingsland’s market valuation and investor sentiment?
- What are the implications for project timelines and financing following this disclosure correction?