 Kambaldaite was first described in 1985 from the gossan of the Otter Shoot nickel orebody, Kambalda, during mining of the gossanous material.Kambaldaite, though in lesser and rarer amount, is also found in the Widgiemooltha nickel gossans, probably discovered there in the early to mid 1990s.Kambaldaite is formed in the regolith as a supergene alteration mineral of nickel sulfide minerals, in arid or semi-arid environments which produce conditions amenable to concentration of calcareous or carbonate minerals in the weathering profile.