Terrain Minerals Advances Larin's Lane Gallium Project with Critical Metallurgical Studies
Terrain Minerals (ASX: TMX) has announced significant progress at its 100% owned Terrain Minerals Larin's Lane project in Western Australia, with metallurgical studies now underway as part of a government-backed research initiative.
Collaborative Research Driving Critical Minerals Development
The metallurgical studies form part of the industry and WA government-funded Minerals Research Institute of WA (MRIWA) research project M10528 and the Curtin University Resources Technology and Critical Minerals Trailblazer program. This collaborative approach aims to develop environmentally sustainable REE extraction techniques and assess long-term production potential to secure reliable REE supply in Western Australia.
RSC has confirmed receipt of Terrain's sample pulps from ALS Laboratory, which have been submitted to Curtin University for comprehensive metallurgical testing. The studies will focus on recovery characteristics of gallium and REEs, as well as assess potential recovery of other associated critical minerals.
"We are extremely excited to be at the forefront of gallium/REE exploration here in WA, especially following continued media coverage around China's gallium export bans to the USA," said Justin Virgin, Executive Director of Terrain Minerals.
Strategic Approach to Resource Development
Terrain's strategic objective is to engage a specialist consulting group to produce a concentrate suitable for customer trials and broader industry evaluation, subject to successful outcomes from the ongoing metallurgical test work. This approach is considered prudent and value-accretive ahead of any significant resource expansion or infill drilling programs.
The company is targeting an extensive 27km² sand/clay regolith zone at Larin's Lane, which remains largely underexplored. Only about 5% of this target area is currently covered by Terrain's Stage 1 JORC-compliant Exploration Target, providing significant growth potential.
Understanding Gallium: A Critical Metal for Modern Technology
Gallium is a soft, silvery metal that becomes liquid at temperatures above 29.76°C. It's considered a critical metal used in:
- Semiconductor fabrication for computer chips and electronic devices
- Defence industry applications
- Gallium arsenide (GaAs) creation for photovoltaics and electronics
- Gallium nitride (GaN) for LEDs, laser diodes, power amplifiers, and solar cells
- Component speed and miniaturisation critical in generative AI
Until China's August 2023 export ban, the country produced approximately 98% of the world's raw gallium supply. This has created urgent demand from Western nations seeking alternative supplies to safeguard critical manufacturing.
Exploration Target Shows Significant Potential
In November 2024, Terrain released a JORC-compliant Exploration Target for Larin's Lane:
| Zone | Tonnage range (million tonnes) | Grade range: TREO (ppm) | Grade range: Gallium (g/t) |
|---|---|---|---|
| South | 5 to 7 | 870 to 760 | 19 to 21 |
| Central | 17 to 20 | 995 to 945 | 19 to 21 |
| North | 4 to 6 | 1,050 to 820 | 19 to 21 |
| Total | 25 to 33 | 980 to 880 | 19 to 21 |
Importantly, many of the gallium intersections are at or near surface within a sand/clay regolith geological setting, potentially allowing for cost-effective extraction and processing.
Selected higher-grade holes include:
- 16m @ 53.74 g/t Ga₂O₃ from 64m (23SBAC035)
- 20m @ 48.33 g/t Ga₂O₃ from 4m (23SBAC045)
- 30m @ 40.32 g/t Ga₂O₃ from 24m (23SBAC071)
- 24m @ 46.34 g/t Ga₂O₃ from 32m (23SBAC077)
- 8m @ 52.62 g/t Ga₂O₃ from 20m (23SBAC080)
Additional Corporate Updates
Terrain has also announced its rights issue is now open, with a pro-rata non-renounceable entitlement issue of one share for every 3.7 shares held at an issue price of $0.003 each to raise approximately $1,800,000. The offer includes one free-attaching option for every new share subscribed, exercisable at $0.005 and expiring June 17, 2027.
Board members intend to take up their rights issue allocations totalling approximately $116,000, with two directors electing to priority underwrite the rights issue shortfall up to $115,000, providing assurance over approximately $231,000 or 12.8% of funds sought.
Separately, the company has commenced drilling at its Smokebush Gold Project, with approximately 17 holes for 3,350 metres of RC drilling planned to expand on recent high-grade results, including 11 metres @ 6.03 g/t gold and 43.5 g/t silver from 75 metres at the Lightning prospect.
Why Investors Should Take Notice
Terrain Minerals represents a unique opportunity in the critical minerals space with multiple catalysts on the horizon:
- Strategic position in gallium supply at a time of significant geopolitical tension around critical minerals
- Government and industry backing through the MRIWA research project
- Exploration target covering just 5% of prospective geology at Larin's Lane, suggesting substantial growth potential
- Dual focus on both critical minerals (gallium/REE) and precious metals (gold)
- Metallurgical studies expected to be completed by end-2025, with interim results to be reported as they become available
With gallium emerging as a crucial component in modern technology and semiconductor manufacturing, Terrain's advancement of the Larin's Lane project could position the company as a significant player in the critical minerals supply chain outside of China.
Metallurgical Study Framework
The metallurgical study is structured as part of the broader MRIWA Project M10528, with samples to be tested using eight separate solvents (acids with pH <7). Terrain has strategically shifted the focus of its study goals to target gallium extraction specifically, recognising its status as a critical metal with growing global demand.
RSC has confirmed that flux fusion geochemistry of feed samples is completed, with powder X-ray diffraction (XRD) and scanning electron microscopy (SEM) work currently underway. Curtin University will test the pulverised samples with hydrochloric acid as a control, followed by tests with ammonium sulfate and several organic acids.
"With 95% of the prospective area still to be properly drill tested, this represents an enormous opportunity for the Company and its shareholders alike," noted Executive Director Justin Virgin.
The metallurgical studies represent a critical step in understanding the extraction potential of the Larin's Lane deposit, with results expected to significantly influence future development decisions and potential partnership discussions already underway with international partners interested in the gallium mineralisation.
Ready to Capitalise on the Critical Minerals Opportunity?
Discover how Terrain Minerals is advancing its strategic Larin's Lane Gallium Project amidst growing global demand for critical minerals outside China. With metallurgical studies underway and government backing through the MRIWA research initiative, TMX is positioning itself at the forefront of Australia's critical minerals sector. To learn more about this compelling investment opportunity and stay updated on the company's progress, visit www.terrainminerals.com.au today.
