Legacy Iron Ore has ceased mining operations at Mt Celia, marking the end of Phase I, while advancing heap leach studies and exploring a Carbon-in-Leach plant to drive future growth.
- Phase I mining at Mt Celia completed with cessation of RTM activities
- Ore haulage from existing stockpiles to continue, generating fixed monthly payments
- Heap leach pre-feasibility studies on track for March 2026 completion
- Scoping studies underway for a future Carbon-in-Leach processing plant
- Active exploration to expand resources and support long-term development
Mining Operations Conclude, Transition Begins
Legacy Iron Ore Limited (ASX, LCY) has officially wrapped up Phase I mining activities at its Mt Celia Gold Project, following the cessation of mining and development under the Right to Mine (RTM) Agreement with Bain Global Resources. Originally planned as a 14-month campaign, the mining phase extended to 24 months thanks to ongoing drilling and resource updates, underscoring the project's evolving potential.
While active mining has stopped, Legacy will continue hauling ore from existing RTM stockpiles to Paddington Gold Pty Ltd until these reserves are exhausted. This arrangement ensures a steady fixed monthly payment of $0.3 million to Legacy until haulage completion or breakeven, providing a financial buffer during the transition.
Advancing Heap Leach Development
Looking ahead, Legacy is focused on owner-led development of on-site processing infrastructure, with heap leach pre-feasibility studies progressing on schedule for completion by March 2026. These studies encompass metallurgical testing, process design, environmental assessments, and geotechnical evaluations, laying the groundwork for regulatory approvals and permitting.
Simultaneously, the company is engaged in advanced discussions with engineering firms, suppliers, and lenders to secure project financing and detailed design expertise. The presence of substantial low-grade stockpiles is expected to support initial heap leach operations, facilitating early cash flow generation and operational momentum.
Exploring Longer-Term Processing Options
In parallel with heap leach development, Legacy has initiated scoping studies for a potential Carbon-in-Leach (CIL) processing plant. This longer-term strategy aims to evaluate multiple development scenarios, capital and operating costs, and financial viability to inform future investment decisions. The CIL plant could represent a significant step in scaling up Mt Celia’s processing capabilities and extending the mine’s productive life.
Continued Exploration and Growth Potential
Legacy remains committed to exploration across the Mt Celia tenements to expand the mineral resource base and enhance geological confidence. This ongoing work supports both near-term heap leach operations and the potential for larger-scale CIL development, positioning the project for sustained growth.
CEO Dr Ranajit Das highlighted the milestone, stating that the completion of Phase I mining marks a pivotal moment, transitioning the project from contract mining to owner-operated processing. With studies advancing and financing discussions underway, Legacy is poised to unlock the next phase of value for shareholders.
Bottom Line?
Legacy’s shift from contract mining to owner-operated processing sets the stage for Mt Celia’s next growth chapter.
Questions in the middle?
- When will heap leach regulatory approvals be secured to commence construction?
- What financing terms and partners will Legacy secure for the heap leach project?
- How will exploration results influence the timing and scale of the proposed CIL plant?