ASX-listed Centrex Metals has embarked on a strategic review of the Ardmore rock phosphate project, in north-west Queensland, to evaluate an “optimal implementation strategy” for the project.
This follows closely on the company appointing a new CEO, Robert Mencel, and mining a 25 000-t parcel of high-grade ore.
The company says a good economic environment and rock phosphate prices continue to support the feasibility of the project. The price for rock phosphate reached $102/t in May, which is an increase of 40.6% in the last year.
Due diligence to date has confirmed the project’s ability to produce high-grade rock phosphate concentrates, including testwork completed late in 2018 which successfully produced a 37.1% phosphorous pentoxide concentrate.
The testwork set out to remove waste silica from concentrate using reverse floatation, which it did at a rate of 60%.
“The Ardmore project needs to be viable under all likely market conditions. The increase in rock phosphate prices is a positive for the project; however the ability to produce a high-grade concentrate significantly de-risks the project.
“Having the option to create +37% phosphorous pentoxide product strengthens Ardmore’s ability to compete long term,” explains Mencel.