Bioleaching Success at Byro Raises Questions on Commercial Viability and Next Steps

Early Success in Bioleaching Testwork

Octava Minerals Ltd (ASX, OCT) has taken a significant step forward in its quest to unlock the value of critical new energy metals at its Byro REE and lithium project in Western Australia. The company announced encouraging results from Stage 1 of a bioleaching test program conducted by CSIRO, Australia’s national science agency. This initial phase focused on adapting iron- and sulfur-oxidising microorganisms to the unique mineralogy of the Byro ore samples, a crucial step toward developing a cost-effective and environmentally sustainable extraction method.

According to Octava’s Managing Director, Bevan Wakelam, the positive microbial adaptation and acid generation observed in Stage 1 bode well for the potential of biomining technologies to extract rare earth elements (REE), lithium, and other critical metals from the project’s black shale deposits. Biomining, which harnesses natural microbial processes to leach metals from ore, offers a promising alternative to traditional, often energy-intensive metallurgical methods.

The Byro Project’s Strategic Position

Located on the Byro Plains in the Gascoyne region, approximately 220 kilometres southeast of Carnarvon, the Byro project covers a substantial 555 square kilometres. The area is known for its Permian black shales, which have historically been recognized worldwide as hosts for polymetallic deposits rich in REE, lithium, zinc, vanadium, and other valuable elements. The project benefits from proximity to key infrastructure, including the Geraldton commercial port and power supplied by the Northwest gas pipeline, with potential future access to government-backed green energy initiatives.

Octava’s approach leverages this strategic location and infrastructure to advance the project efficiently while addressing the growing global demand for critical minerals essential to clean energy technologies and advanced electronics.

Next Steps, Stage 2 Bioleaching Tests

With Stage 1 successfully completed, the CSIRO test program has now progressed to Stage 2, which will evaluate the actual bioleaching performance of the adapted microbial cultures. This phase aims to quantify the extraction potential for a suite of metals including rare earth elements, lithium, zinc, vanadium, rubidium, scandium, and potassium. The results from this stage will be pivotal in determining the commercial viability of biomining at Byro and guiding further development decisions.

While biomining has been successfully applied in other polymetallic black shale operations globally; such as the Terrafame Mine in Finland; Octava’s work represents a critical step in adapting these techniques to the specific mineralogy of the Byro deposit. The company’s staged approach reflects a prudent strategy to de-risk the project and optimize metallurgical pathways early in the exploration process.

Environmental and Economic Implications

Biomining’s potential to reduce environmental impact while lowering extraction costs aligns with broader industry trends toward sustainable mining practices. Octava’s focus on this technology could position the company favorably as demand intensifies for ethically sourced critical minerals. However, the ultimate success of this approach depends on the forthcoming Stage 2 results and subsequent pilot testing phases.

Investors and stakeholders will be watching closely as Octava advances its metallurgical program, with the potential to unlock significant value from the Byro project while contributing to the global supply of essential new energy metals.