In 1999-2000 Metallica recognised an opportunity for the future supply of crushed limestone to the burnt lime, cement, agricultural and construction industries in Queensland. Metallica then secured and evaluated significant available limestone deposits that were close to the industrial centres of Gladstone and Townsville.
Metallica currently holds three Queensland limestone projects, Boyne and Fairview near Gladstone, Oootann and Star near Townsville. No field work was completed on the limestone project during the year.
The Boyne Limestone deposit near Gladstone is a large deposit of good quality to chemical grade limestone within a combined strike of 6km. Gladstone is a high growth area with many lime consuming industries already in operation and others planned for the future. The deposit is seen to have excellent strategic value in the city's current and future industrial expansion plans. The Boyne deposit is a quality project that could significantly increase in value and strategic importance in the medium term.
The Company also holds the Fairview Limestone project, which covers a medium sized, strategic limestone resource, similar in quality to Boyne and which is closer to Gladstone.
Metallica is progressing the Boyne and Fairview Limestone projects by applying for mining leases and seeking new partners including the major end-users of limestone products, who may plan to have their own limestone/lime production.
The Star Limestone Project has been granted a mining lease with a completed access road and is ready for development, however Star in on hold until a suitable limestone/lime market exists in the Townsville region.
