PERTH (miningweekly.com) – Rare earths developer Northern Minerals has awarded a A$6-million mining contract for its Browns Range pilot project, in Western Australia, to ASX-listed MACA.
Under the agreement, MACA will mine 180 000 t of ore and associated waste from the Wolverine and Gambit pits.
Northern Minerals in April approved the A$56-million three-year pilot plant, which will be used to assess the economic feasibility of a full-scale project and will form part of the ongoing feasibility study at the Browns Range project.
The pilot plant is being constructed with a throughput rate of 60 000 t/y, which is around 10% of the size of the proposed full-scale development to assess, refine and confirm the optimal flowsheet.
The project is expected to produce some 148 200 kg of dysprosium in 1.7-million kilograms of total rare earth oxide in a mixed rare earth carbonate.
“Following the board approval of the Browns Range pilot plant, the appointment of MACA as our mining partner ensures that everything will be in place ahead of the plant installation in late 2017,” said Northern MD and CEO George Bauk.
Meanwhile, a bulk earthworks agreement with MACA is also imminent, which would take the total value of the contract to A$10-million.
Waste material from the site will be used to construct the tailing storage facility and other surface infrastructure, with MACA to clear the processing plant site and construct internal road access.