The company has pointed to "impressive indicative economics" for the potential A$65 million development, including, in the base case, a net present value of $153 million, an internal rate of return (pre-tax) of 46% and capital payback of 2.75 years.
If financing can be secured later this year, the belief is production could kick in late 2020 or early 2021.
Those numbers assume an APT tungsten price of US$295 to $310 per metric tonne unit.
Last year King Island noted the APT price over the past decade had achieved a high of $469/mtu in mid-2011 and again in mid-2013, before declining to a low of $165/mtu at the end of calendar 2015.
Prices firmed from mid-2016 and in June 2018 were $348/mtu.
Significantly, King Island's modelling also uses an Australian dollar exchange rate of US70c, matching around current levels.
"All revenues will be US dollar denominated so fluctuations in the exchange rates will have significant impacts on the ultimate returns," King Island said.
King Island started the current quarter with A$973,000, having raised over $1.3 million late last year when it issued new shares priced at 8c each.
Shares in the company were off 1% to 8.4c in afternoon trade, capitalising the company at $22 million.
The stock has been little moved for the past three years.