Heavy Minerals Secures Kanmantoo Tailings Deal to Launch Industrial Garnet Project

Hillgrove Resources Limited ( (AU:HGO) ) has issued an announcement.

Heavy Minerals Limited has signed a binding Tailings Processing Agreement with Hillgrove Copper to develop a hardrock almandine garnet project using tailings from Hillgrove’s Kanmantoo copper mine in South Australia. The deal provides Heavy with access to tailings feedstock, sets production limits prior to obtaining mining tenure, and outlines a series of revenue-based payments and royalties to Hillgrove, alongside Heavy’s assumption of environmental and rehabilitation responsibilities over its operations and ultimately the wider site once Hillgrove ceases copper and gold production. Heavy plans to commence garnet production in late 2026, targeting high-quality, low-cost waterjet cutting products, and is pursuing $25–$30 million in financing through a mix of debt, pre-sales and royalties while advancing distribution discussions in the US, European and Australian markets, positioning the Kanmantoo project as a potential new supply source in the industrial garnet sector.

The most recent analyst rating on (AU:HGO) stock is a Hold with a A$0.05 price target. To see the full list of analyst forecasts on Hillgrove Resources Limited stock, see the AU:HGO Stock Forecast page.

More about Hillgrove Resources Limited

Heavy Minerals Limited is an Australian resources company focused on developing industrial mineral projects, with a particular emphasis on hardrock almandine garnet for waterjet cutting and related industrial applications. The company sources and processes garnet from mineral deposits and mine tailings, targeting domestic and international markets including the USA, Europe and Australia.

Average Trading Volume: 18,203,947

Technical Sentiment Signal: Buy

Current Market Cap: A$177.5M

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