ASX-listed Arrow Minerals has confirmed a substantial bauxite discovery with high-grade mineralisation already outlined over 5 km² at its Niagara bauxite project, in Guinea.

This discovery is within trucking distance of the Trans-Guinean multi-user railway, which is under construction.

Results from an additional 111 holes in the drilling programme are pending.

The latest assays from 30 drill holes have highlighted significant intercepts, including 4 m at 50.3% aluminium oxide (Al₂O₃) and 3.1% silicon dioxide (SiO₂) from surface (hole BS000096), 6 m at 47.1% Al₂O₃ and 2.3% SiO₂ from surface (hole BS000076), and 15 m at 43.1% Al₂O₃ and 3.7% SiO₂ from surface (hole BS000075).

Other notable results include 2 m at 54.6% Al₂O₃ and 2.2% SiO₂ from surface (hole BS000097) and 7 m at 43.8% Al₂O₃ and 4.1% SiO₂ from surface (hole BS000090). These results confirm continuous high-grade bauxite mineralisation over a 5 km² area, with further results expected in the coming weeks.

“These latest outstanding results confirm that Niagara is a substantial bauxite discovery with high-grade mineralisation already outlined over 5 km^₂, with results from another 111 holes offering potential to grow the discovery further. This is all within trucking distance of a multi-user railway at a time of record alumina and bauxite prices,” Arrow Minerals’ MD David Flanagan said.

Guinea is the world’s largest producer of bauxite, contributing about 30% of global supply.

Flanagan explained that Guinea’s bauxite is in high demand, with a premium product specification at 45% Al₂O₃ and 3% SiO₂ attracting prices that are currently at all-time record highs of about $100/t cost insurance freight China.

“Coupled with the broad expanse of bauxite prospective lithologies intersected in drilling and our proximity to the multi-user Trans-Guinean railway, the Niagara bauxite project presents an excellent opportunity to create value for shareholders, generate jobs in local communities, and position Arrow to achieve its goal of establishing itself as a new independent, highly profitable supplier of high-quality bauxite,” Flanagan said.

Arrow’s exploration programme builds on historical work by other mining companies, including drilling conducted by Vale in 2007, which identified nine priority bauxite exploration targets. The current programme includes 184 holes targeting high-grade mineralisation intercepted in historical drilling, with SRK Consulting overseeing the campaign.

The programme’s design aims to deliver sufficient indicated and inferred resources to underpin a planned scoping study. Drilling includes twinning Vale’s historical holes, shallow pitting and comprehensive quality control sampling to meet modern resource reporting standards.

Arrow has completed initial baseline environmental studies, engaged with local communities and initiated recruitment of local workers to support operations. The company has identified no impediments to exploration or mining and has established productive relationships with community and government stakeholders. Preliminary baseline social- and environmental-impact studies have also been completed.

The company plans to leverage existing rural and national roads to connect the project to the Trans-Guinean railway, which is being developed by a consortium including Baosteel, Rio Tinto and the Guinean government.

The railway is expected to be operational by late 2025 and will provide ore haulage services to various mining projects. Arrow intends to use this infrastructure to support the development of the Niagara bauxite project.

With bauxite prices at record highs, the project’s strategic location near the Trans-Guinean railway and its high-grade mineralisation offer significant opportunities.

“With SRK’s site visit due for January 2025, we aim to estimate a maiden mineral resource to form the basis for our planned scoping study to follow in the first half of 2025,” Flanagan said.