High-purity silica sand has become an increasingly strategic resource due to its usage in photovoltaic panels and other applications.
Similarly, increasing demand from Asia’s infrastructure and automotive sectors for mineral sands has added to the positive outlook for Diatreme's Galalar project (part of the Cape Bedford EPM), which is favourably positioned to access these growing markets.
Significantly, Diatreme is working in genuine partnership with the traditional owners, Hopevale Congress, to ensure the community receives the full benefits from the project's potential.
Bulk testing results have confirmed the project's ability to produce a world-class silica sand product at 99.9% SiO2, meeting the requirements for high-end glass and solar panel manufacturing, capable of attracting premium prices.
In December 2018, Diatreme announced the launch of the Galalar Silica Project, renaming the former Nob Point silica resource, with the support of the traditional owners, Hopevale Congress.
In May 2019, Diatreme announced a maiden Indicated Resource for the Galalar project, comprising 21.5Mt > 99% SiO2, with total resources (Indicated and Inferred) rising to 30.2Mt > 99% SiO2, with a new satellite deposit identified at West Nob Point. The results have further increased confidence in the project's ability to become a source of premium quality silica product to growing Asian markets, including the fast-growing solar panel market.
In July 2019, Diatreme signed a MOU with Fengsha Group, China's largest processor and supplier of photovoltaic (solar) and specialty high end silica sand, for the potential supply of up to 750,000 tonnes per annum of premium silica product. The MOU's terms include Fengsha providing product development technical support, market access and logistics and to examine the potential for direct project investment.
- One of the largest high purity silica exploration land packages in Australia, covering an area of 542 sq km in Queensland’s Eastern Cape York region, around 200km north of Cairns
- Cape Bedford EPM17795 covers a large Quaternary sand dune field, part of which is currently being mined by Mitsubishi Corporation subsidiary, Cape Flattery Silica Mines Pty Ltd and is the world’s largest silica sand mining operation
- Closest proximity high-grade undeveloped project to the world’s largest silica markets in China, Japan, South Korea and Taiwan
- High-grade silica used in glass manufacture, foundry casting, electronics, ceramics and construction – industries in demand and growing in developing Asia, with the market expected to expand at a compound annual growth rate of 7.2% through to 2022, reaching revenues of US$9.6 billion (source: IMARC Group)
- The global solar PV glass market is seen growing to US$48.2 billion by 2025, up from US$3.3 billion in 2016, amid strong demand from the Asia-Pacific region (source: Bizwit Research & Consulting)