Resource Boost Raises Stakes for Metals Australia’s Lac Carheil Project Development
Metals Australia has dramatically expanded its Lac Carheil Graphite Project resource in Quebec, tripling contained graphite to 5.1 million tonnes and advancing a pre-feasibility study that positions the project as a key player in North America's critical minerals landscape.
- Total Mineral Resource Estimate increased to 50 Mt at 10.2% TGC
- Contained graphite rises to 5.1 Mt, 3.3 times maiden resource
- Indicated resource more than doubles to 2.8 Mt contained graphite
- Metallurgical tests show improved graphite recovery of 96.7%
- Pre-feasibility study underway with DRA Americas, including mine planning
A Major Leap in Graphite Resource
Metals Australia Ltd has announced a substantial upgrade to its Lac Carheil Graphite Project in Quebec, Canada, confirming it as a world-class mineral resource. The new Mineral Resource Estimate (MRE) now stands at 50 million tonnes grading 10.2% total graphitic carbon (TGC), containing 5.1 million tonnes of graphite. This represents a 3.3-fold increase over the maiden resource, which was 13.3 million tonnes at 11.5% TGC with 1.5 million tonnes of contained graphite.
The expansion is based on an extensive 2025 drilling program covering a 2.3-kilometre strike length on just one of ten identified graphite trends within the project area, which spans 36 kilometres. Notably, nine of these trends remain undrilled, underscoring significant upside potential for further resource growth.
Resource Quality and Metallurgical Advances
The Indicated portion of the resource has more than doubled, increasing from 1.26 million tonnes to 2.8 million tonnes of contained graphite, while the Inferred resource surged by 740% to 2.3 million tonnes. The resource is reported above a 4% TGC cut-off grade, with minimal tonnage below this threshold, indicating a robust grade profile.
Complementing the resource upgrade, metallurgical test work conducted by SGS Lakefield has demonstrated a significant improvement in graphite recovery, rising from 86.3% in the previous scoping study to 96.7% at a concentrate grade of 95.4% carbon. This enhancement means more graphite can be extracted per tonne of ore, reducing mining waste and improving project economics.
Advancing Towards Development
Metals Australia is progressing a comprehensive pre-feasibility study (PFS) with DRA Americas, focusing on detailed mine optimisation, planning, equipment selection, production scheduling, and infrastructure design. The PFS will also establish a maiden Ore Reserve, a critical milestone towards project development.
The project benefits from its location in Quebec, a Tier 1 mining jurisdiction with low sovereign risk and strong government support for critical minerals development. The Lac Carheil project aligns with Canada’s strategic objective to become a leader in critical minerals production, particularly for electric vehicle (EV) battery supply chains.
Strategic Significance and Future Outlook
CEO Paul Ferguson highlighted the project’s enormous potential, emphasizing the vast unexplored graphite trends and the likelihood of extending the project life well beyond the initial 14 years envisioned in the original scoping study. The company is also advancing downstream processing studies for battery anode material production, aiming to capture more value within the battery supply chain.
Environmental and social impact assessments are underway, with stakeholder engagement planned for the coming months. These efforts will support the project’s sustainable development and community integration.
Bottom Line?
With a tripled resource and enhanced recovery, Metals Australia’s Lac Carheil project is poised to become a cornerstone of North America’s graphite supply, but upcoming feasibility results and environmental approvals will be critical next steps.
Questions in the middle?
- How will the ongoing pre-feasibility study refine project economics and timelines?
- What are the prospects and timelines for drilling the remaining nine graphite trends?
- How will environmental and social impact assessments influence project permitting and community relations?
