Australian Bauxite shaves 50% off aluminium fluoride project's cost
PERTH (miningweekly.com) – The share price of ASX-listed Australian Bauxite increased by nearly 10% on Monday, on news of cost reductions at the Stage 1 Alcore project to refine aluminium fluoride from bauxite.
An engineering and cost study, completed in February, reduced the cost estimates for the Stage 1 plant by more than 50%, to between A$5.5-million and A$6.5-million, compared with the A$12.5-million to A$16-million previously estimated.
Further cost reductions were also possible, and were being pursued aggressively, Australian Bauxite told shareholders.
“Alcore is looking more exciting at every stage, and would increase the profits from our very clean type of bauxite by a factor of 10 to 30 times. It’s a game-changer,” said CEO Ian Levy.
Stage 1 of the Alcore project, in New South Wales, consists of an engineering evaluation plan, while the Stage 2 operation will consist of a 50 000 t/y production plant, which will cost about A$50-million to develop.
The Stage 1 plant is set to start construction by mid-2018, and work has already started.
Australian Bauxite reported that financing plans would also be finalised before the end of June, noting that A$1.2-million has already been offered by sophisticated investors and a party that would supply services to Alcore, subject to documentation of the final plans.
The company has also received expressions of interest for the Stage 2 project financing, with one party also expressing interest to provide part-finance for the Stage 1 plant, should it be required.
Furthermore, Australian Bauxite has also received expressions of interest in two of the major co-products to be produced from the Alcore plant, namely Corethane and Silica Fume.
Australian Bauxite's stock jumped from A$0.11 to A$0.12 a share on Monday.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation