Could you give our audience a background into Lindian Resources?
Lindian Resources is an ASX-listed exploration and project development company with a portfolio of high-grade bauxite assets on both the West and East coasts of Africa. The current focus is developing its projects in the Republic of Guinea. The company also holds bauxite assets in Tanzania (the Lushoto and Pare prospects).
Could you give us an overview of your portfolio in Guinea?
In Guinea, Lindian currently has a portfolio of three world-class bauxite assets with near-term development potential. The Woula project is close to the coast and to existing infrastructure, presenting a near-term, low capital cost production opportunity. The Lelouma project hosts high-grade ore with an excess of 1 billion tons of bauxite and a mine life exceeding 50 years. The Gaoual project is a conglomerate bauxite asset housing some of the highest-grade ore in Guinea with a quality end-product that can be produced through a simple process of dry screening. Recent results indicate Gaoual offers the highest-grade bauxite produced in Africa.
What is your development strategy?
After establishing a quality asset portfolio, Lindian is focussed on the most economic way to export the bauxite. While mining bauxite is quite easy, bauxite project development is heavily dependent on infrastructure. Detailed due diligence by international construction companies and industry investors for the development of infrastructure is underway, while negotiations with offtake partners and end users (alumina refineries and aluminium smelters) are also being pursued. The short-term strategy of the Company to utilize existing infrastructure for low capital solutions to generate near-term cashflow. The longer-term strategy is to develop our own infrastructure with a port and rail solution to augment mining operations.
What is the mineral potential of Guinea’s Northern Corridor?
Our assets are located on the Northern Corridor, the last remaining high-quality bauxite province in Guinea where the bauxite assets are yet to be developed. The Northern Corridor is also a link to a potential high-quality export terminal and port which offers the opportunity for low-cost transhipment and potentially exports on cape size vessels.
How has the recent coup impacted operations on the ground?
From an operational perspective, Lindian has witnessed limited change following recent political developments with the new leadership being supportive of mining companies. The new leadership has stated that they are opposed to corruption and economic mismanagement; if this mandate can be implemented, then this can only be positive for Guinea.
What is your view of bauxite fundamentals?
Bauxite fundamentals are underpinned by the importance of aluminium in the development of carbon neutral economies. Aluminium is lightweight and key to renewable technologies such as carbon capture, electric vehicles and solar power. Additionally, the rapid depletion of global resources created demand for new, massive, high quality resources. Lindian is extremely well-placed to fill this gap. With increasing attention on the environmental impact of commodities, there is a growing focus on product quality as the industry seeks to reduce the amount of bauxite they have to transport, and to drastically reduce red mud disposal. Gaoual is well-positioned to take advantage of these needs thanks to its extremely high alumina content which reduces the number of tonnes required to be moved and also the waste generated during processing.
What are the core ESG aspects Lindian considers?
Lindian is committed to providing a lasting, positive legacy in all of our countries of operation. We are very cognisant of the need to care for the environment when we explore, build and operate. We have robust processes in place to ensure that we act in line not just with the law and local regulations, but they are aligned with our own values to play a positive role in host communities.
Do you have a final message for our audience?
Lindian has secured a portfolio of high-quality bauxite assets with a combined resource exceeding 1 billion tonnes in a country that hosts the world’s best bauxite deposits. The aluminium industry is critical as the world transitions to being carbon neutral and with near-term export options, exceptional quality material and a multi-generational resource base, Lindian is exceptionally well placed to become the best bauxite development company in the world. The next few years will be very exciting for Lindian as we deliver on this massive potential to provide significant returns for all stakeholders.