Name of the Project
Eneabba rare earths refinery.

Location
Eneabba, Australia.

Project Owner/s
Mineral sands exploration and project development company Iluka Resources.

Project Description
Eneabba is the highest-grade rare earths operation globally.

It comprises Iluka’s stockpile of the rare-earth-bearing minerals monazite and xenotime, as well as the company’s Phase 1 (screening) and Phase 2 (concentrating) plant.

Phase 3 (refinery) will build on this existing operation to deliver a significant downstream infrastructure asset comprising roasting, leaching, purification, solvent extraction and product finishing.

Iluka’s refinery will produce the high-value rare-earth oxides neodymium, praseodymium, dysprosium and terbium.

The refinery will have a feed capacity of 55 000 t/y to produce 17 500 t/y of total rare-earth oxide and will initially be fed from the Eneabba stockpile. Potential future sources of feedstock include Iluka’s Wimmera operation and other deposits, as well as third parties.

Potential Job Creation
The project will have a construction workforce of about 300 people and an operational workforce of about 270 people.

Net Present Value/Internal Rate of Return
Not stated.

Capital Expenditure
Between A$1.7-billion and A$1.8-billion.

Planned Start/End Date
The refinery commissioning is scheduled for 2026.

Latest Developments
The Australian government has provided a A$1.65-billion nonrecourse loan to build the refinery.

The funding comes as Western countries work to reduce their dependence on rare earths from China, the largest producer, for the materials that are vital for electric vehicles and other technologies.

Iluka expects the first tranche of the funding, comprising A$1.25-billion, to be fully drawn by the end of 2026, when Eneabba is expected to be 75% complete. The refinery is more than 50% complete.

Iluka has also concluded a binding agreement for the supply of magnet rare earth oxides to an unnamed global automotive company. The agreement has an initial term of four years and represents about 10% of Iluka’s planned production over that period.

Iluka expects revenue over the contract period to be $155-million minimum and $172-million assuming prices forecast by the industry.

Key Contracts, Suppliers and Consultants
Fluor Corporation – Mining & Metals (engineering, procurement and construction management); and Civmec (structural, mechanical, piping, electrical and instrumentation works at the refinery).

Contact Details for Project Information
Iluka Resources group manager, investor relations and corporate affairs Luke Woodgate, tel +61 8 9360 4785 or email luke.woodgate@iluka.com.