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News release: Geoff Brock MP, Minister for Regional Development, Minister for Local Government, Thursday 20 October 2016

A $200,000 Upper Spencer Gulf and Outback Futures Program grant will assist in establishing a magnesite mining operation just outside of Leigh Creek.

The open cut mining operation will be developed and operated by Leigh Creek Magnesite Pty Ltd.

After on-site crushing, the magnesite ore will be sent off-site for processing and exported from Adelaide to the USA and Europe.

The Leigh Creek magnesite project is located approximately 20 kilometres from the Leigh Creek township and contains the world’s largest fine-grained magnesite deposit.

The processing of magnesite ore has not previously been undertaken in South Australia.

15 ongoing full-time jobs will be created as a result of the project.

Leigh Creek Magnesite Pty Ltd is a wholly owned subsidiary of ASX-listed Archer Exploration Limited, an active mineral explorer in South Australia.

The $2 million Upper Spencer Gulf and Outback Futures Program is a once-off grants program, which opened in November last year in recognition of the challenges brought about by the downturn of the resources sector and the closure of the Port Augusta power station and Leigh Creek coal mine.

The program supports the delivery of small projects contributing to the economic diversification, resilience and capacity building of Upper Spencer Gulf and Outback communities, creating sustainable economic benefits to the region and the State.

This project aligns with the State Government’s economic priority of ‘Unlocking the full potential of South Australia’s resources, energy and renewable assets’.

Quotes attributable to Regional Development Minister Geoff Brock
This project will create jobs and business opportunities for people living in the Leigh Creek township and surrounds.

Contractors will undertake the mining, transport and associated works which will create significant opportunities for local businesses.

Projects awarded funding through the Upper Spencer Gulf and Outback Futures Program will stimulate new business activity, support stronger communities, and create job opportunities in the region.

Quotes attributable to Greg English, Executive Chairman, Archer Exploration Limited
We are grateful for the support of the State Government to assist us in undertaking this mining project.

In addition to the benefits to the Leigh Creek community, this project also creates an opportunity to develop a truly world class resource and to use under-utilised infrastructure in South Australia to create a new market for the state.

This project will start a new manufacturing process never seen before in South Australia.