Tellus Holdings Ltd (Tellus) plans to develop the Chandler Salt Mine Project (the project) on pastoral leases about 120 kilometres (km) south of Alice Springs and about 15 km by road to the Titjikala community in the Northern Territory.

The project exploration phase has been fast-tracked by using the results from previous oil and gas exploration programs to identify the resource. The oil and gas industry exploration program looked for salt beds and domes as the salt often acts as a trap for hydrocarbons. Historic exploration in the project area includes 145 km of seismic survey (comprising 15 lines), 6,600 metres of core drilling (two wells) and about $A6.5 million of historic exploration expenditure. Based on this exploration, new core sample analysis and a detailed prefeasibility study it was concluded that the project is technically and commercially viable. Tellus has now progressed to the definitive feasibility study stage, lodged its Notice of Intent in November 2012 and has received its Draft EIS Guidelines in August 2013.

The Chandler deposit is potentially Australia's largest underground multi-mineral rock salt deposit and is a world-class asset. With an expected initial mine life of 25 years, the resource could possibly support Australia's longest life mine as evidenced in Europe where salt mines with similar resources have been mined for  hundreds of years.