N   ame and Location
Kvanefjeld multi-element project, Greenland.

Client
Greenland Minerals and Energy Limited (GMEL).

Project Description
The Kvanefjeld project contains one of the world’s largest undeveloped resources of rare-earth metals and uranium. It has an estimated resource of 6.6-million tons of total rare-earth oxides, including 250 000 t of heavy rare-earth oxides and 500 000 t of yttrium oxide, 350-million pounds of uranium oxide (U₃O₈) and three-billion pounds of zinc.

Studies conducted on the project have demonstrated the project’s potential to be developed as long-term, low-cost uranium supply and a large low-cost supplier of heavy and light rare-earth oxides.

GMEL is now focused on a staged development strategy, with an initial mine throughput of three-million tons a year, expanding to six-million tons a year.

Processing will consist of a concentrator stage and a refining stage.

Value
The cost of the project has been reduced from $1.53-billion to $810-million. The mine and concentrator will cost $450-million and the refinery $360-million.

Duration
In the current project schedule construction is expected to start in 2015, with first production in 2017.

Latest Developments
GMEL has completed the testwork programme for the concentrator stage, with two successful pilot plant campaigns, and has finalised a mine and concentrator study.

The mine and concentrator will produce a high-grade rare-earth-element (REE) uranium mineral concentrate, along with zinc and fluorspar by-products.

The REE-uranium mineral concentrate, containing 14% rare-earth oxides and 0.24% U₃O₈, will be treated in a dedicated refinery to produce 23 000 t/y of high-purity mixed rare-earth hydroxide and 1.1-million pounds of U₃O₈.

With the mine and concentrator study component of the feasibility study complete, the company can finalise the environmental and social-impact assessment studies and prepare an application for an exploration licence for submission to the Greenlandic government.

Key Contracts and Suppliers
SRK Consulting and Coffey Mining (resource definition and mine plans); Amec Minproc, Ansto, SGS Lakefield Oretest, CSIRO, ALS Ammtec and Mintek (metallurgy and process development); Coffey Environments, Orbicon and Grontmij (environmental- and social-impact assessment); and Amec Minproc and Niras (plant engineering design, infrastructure and capital development).

On Budget and on Time?
Not stated.

Contact Details for Project Information
Greenland Minerals and Energy, tel +61 8 9382 2322 or fax +61 8 9382 2788.
SRK Consulting, tel +1 604 681 4196, fax +1 604 687 5532 or email info@srk.com.
Coffey Mining and Coffey Environments, tel +61 2 9287 2100, fax +61 2 9287 2188 or email investor_relations@coffey.com.
Amec Minproc media relations manager Frank Stokes, tel +44 1452 872121 or email frank.stokes@amec.com.
Ansto, tel + 61 2 9717 3111 or fax + 61 2 9717 9210.
SGS Lakefield Oretest, tel +61 8 9209 8700.
CSIRO, tel +61 3 9545 2176 or fax +61 3 9545 2175.
ALS Ammtec, tel +61 8 9344 2416 or fax +61 8 9345 4688.
Mintek, tel +27 11 709 4111 or fax +27 11 793 2413.
Orbicon, tel + 45 44 85 86 87 or email Info@orbicon.com.
Grontmij, tel +44 113 262 0000/+44 845 074 2852 or email enquiries.uk@grontmij.co.uk.
Niras, tel +45 4810 4200, fax +45 4810 4300 or niras@niras.dk.