en.Wedoany.com Reported - Alliance Nickel (ASX:AXN) has commenced tank leach testing at an overseas facility as part of its capital cost reduction plan for the NiWest nickel-cobalt project in Western Australia. Approximately two tonnes of representative NiWest bulk ore samples have been delivered to the testing facility.

The company is evaluating tank leaching as a low-cost atmospheric leaching alternative to the heap leach process adopted in its 2024 Definitive Feasibility Study (DFS). Alliance Nickel stated that approximately US$310 million (a significant portion of the total cost) of the DFS capital expenditure is related to water infrastructure required for the heap leach configuration.

Preliminary analysis indicates that the tank leach process may be able to source sufficient local water from the Mt Kilkenny tenement area, thereby significantly reducing water infrastructure capital expenditure. This process may also offer potential metallurgical advantages, including improved solution distribution, enhanced leaching kinetics, and shortened leach cycles.

The testing program is scheduled for completion by the end of the third quarter of 2026. If results are positive, they will be used to update and refine previous feasibility study work. Alliance Nickel holds a 100% interest in the NiWest nickel-cobalt project in Western Australia, which is one of Australia's highest-grade undeveloped lateritic nickel resources, adjacent to Glencore's (LSE:GLEN) Murrin Murrin operations.

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