Lake Wells Project

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Mine TypeIn-Situ
StatusInactive / Suspended
  • Potash
Mining Method
  • Brine mining
Mine Life... Lock
SnapshotWithout a funding proposition to consider, the directors of Australian Potash (APC) have made the difficult decision to surrender the LSOP mining leases, which have a high holding cost. The relevant documents have been lodged with the Department of Mining, Industry Regulation and Safety. The Company retains its interest in the exploration license tenure it holds at Lake Wells.


Australian Potash Ltd. 100 % Indirect
Australian Potash Limited holds a 100% interest in the Lake Wells Sulphate of Potash project.



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Deposit type

  • Brine
  • Sedimentary


A deep palaeovalley (ranging between 150 and 170m in depth) extends along the length of the LSOP area, infilled with predominantly lacustrine clays and sand interbeds of Tertiary age. Seven hydrostratigraphic units have been identified comprising:

• An extensive surficial unit of mixed alluvial/lacustrine sediments comprising:

- Approximately 15m of sandy loam, including local laterite and evaporite deposits, overlying the entire lake area.

- An upper, low permeability, clay-rich unit with minor sand horizons extending across the entire lake area.

- Local areas of permeable calcrete and / or silcrete.

• An upper sand aquifer unit at the base of the surficial unit, occurring at depths ranging between 35 and 70m, with thicknesses varying between 1 and 12m and anticipated to be continuous both along the length and across the width of the palaeochannel.

• A lower clay aquitard comprising puggy lacustrine clay with minor sandy interbeds. Adopted permeability ranging between 0.07 and 0.8 m/d

• A mixed aquifer unit comprising interbedded sand and clay.

• A basal sand aquifer located along the length of the paleochannel and encountered in 25 drill holes. Although predominantly of Tertiary age, in places, there are thin remnants of Permian glacial deposits (conglomerates and diamictites) overlying the Archean basement, which have also been included in this hydrogeological unit.

The brine contained in this aquifer sequence is enriched in potassium; the aquifer sequence has a
weighted mean average potassium concentration of 3,345 mg/L and a maximum recorded concentration of 7,380 mg/L. Groundwater levels are essentially at ground surface.



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Mining Methods


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Crushers and Mills

Milling equipment has not been reported.



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The LSOP will produce a premium suite of products at >50%K2O.
CommodityUnitsAvg. AnnualLOM
Potash Mt 0.154.5
All production numbers are expressed as sulphate.

Operational metrics

Annual brine extraction 17 M cu.m *
* According to 2019 study.

Production Costs

Cash costs Sulfate of potash (SOP) USD 262 / t *  
Assumed price Sulfate of potash (SOP) USD 614 / t *  
* According to 2019 study / presentation.

Project Costs

MetricsUnitsLOM Total
Total CapEx $M AUD  ......  Subscribe
Pre-tax Cash Flow (LOM) $M AUD  ......  Subscribe
Pre-tax NPV @ 8% $M AUD  ......  Subscribe
After-tax NPV @ 8% $M AUD  ......  Subscribe
Pre-tax IRR, %  ......  Subscribe
After-tax IRR, %  ......  Subscribe
Pre-tax payback period, years  ......  Subscribe
After-tax payback period, years  ......  Subscribe

Heavy Mobile Equipment

Fleet data has not been reported.


Mine Management

Job TitleNamePhoneProfileRef. Date
....................... Subscription required ....................... Subscription required ........... Subscription required Subscription required Sep 16, 2021

Aerial view:


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