The Nyngan scandium resource is located within a limonitic and saprolitic tertiary age laterite profile, covered by 12 to approximately 25m of Cainozoic alluvium. A fairly typical laterite profile is developed at the prospect:
-Hematitic clay.
-Limonitic clay.
-Saprolitic clay.
-Weathered bedrock.
-Fresh bedrock.

A geological interpretation plan has been previously prepared, based on bedrock intersections in both recent and previous drilling. Because of the weathered nature of the drill cuttings, the geological plan must be considered interpretive. The igneous rock types which have been encountered are:
Pyroxenite.
-Olivine Pyroxenite.
-Hornblende Pyroxenite.
-Hornblendite.
-Magnetite Pyroxenite.
-Dunite.
-Monzonite.

There is a suggestion of a layered trend of the complex in a NW-SE direction (this is supported by the magnetic pattern). These trends reflect a broadly concentric zonation of lithologies (mafic lithologies in the centre becoming intermediate in moving out from the “core”) in the complex. There also appears to be a zone of stronger alteration in the (south) centre of the zone where abundant magnetite and mica (phlogopite) occur.

The Nyngan scandium deposit is considered a surface-mineable deposit, with an overall strip ratio approximating 3.4:1, depending on specific areas mined, and which portions of the resource material is being mined for production. The mine design has been prepared by Mining One Consultants (Melbourne) and has been developed using industry recognised analysis techniques including pit optimisation using Whittle-4X and Surpac mine planning software. All earthworks will be carried out using a mining contractor on a campaign basis, and mining will be carried out using selective truck and excavator mining methods. Campaigns will typically be conducted three times each year for the 20 year mine life.

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