Ardea Resources, in collaboration with Sumitomo Metal Mining and Mitsubishi Corporation, has launched an ambitious drilling program at the Goongarrie Hub nickel project in Kalgoorlie, Western Australia. The joint venture aims to upgrade the project’s large nickel-cobalt resource to the measured mineral category to support its open pit mining plans.
The DFS drilling, which spans over 51,745m in 888 holes, is a critical step towards solidifying the project’s economic viability and securing debt financing. The Japanese consortium’s commitment to fund the $98.5 million DFS underscores their confidence in the project’s potential.
The project, part of Ardea’s wider Kalgoorlie Nickel Project, holds significant promise in the evolving nickel market. Despite recent pricing fluctuations, nickel remains a key material in electric vehicle batteries and energy storage systems, driving demand for high-quality nickel sources.
As the nickel price continues to show resilience and new battery technologies increase nickel’s importance, Ardea’s efforts to expand their resource base could position them as a major player in the energy transition. With the backing of two industry giants, the project is poised to become a reliable supplier of nickel for years to come.
The success of the Goongarrie Hub project not only supports Australia’s critical minerals sector but also strengthens ties with Japan in achieving sustainable and secure resource supply chains. As the drilling program progresses, the stage is set for a new era in nickel production that aligns with evolving market dynamics and environmental standards.
