JOHANNESBURG (miningweekly.com) –ASX-listed miner TNG appointed Perth-based engineering firm Arccon Mining Services to complete the definitive feasibility study (DFS) for its flagship 100%-owned Mount Peake vanadium/titanium/iron project, in the Northern Territory, in Australia.

The DFS, which would start immediately, would define key requirements for the project’s development, including civil, structural, mechanical and electrical engineering requirements, project implementation management needs, project infrastructure and logistics requirements and capital and operating cost estimates.

TNG was targeting completion of the DFS for the fourth quarter of the year, with construction of the project to start in 2014 and production and exports proposed for 2015.

On Wednesday, the company announced updated financial parameters for Mount Peake, leading to an increase in life-of-mine revenues from A$11.8-billion to A$13.6-billion and an increase in net present value from A$1.884-billion to A$2.646-billion.

TNG MD Paul Burton said the start of the DFS represented an exciting step forward for the company.

“The Mount Peake project is a world-class asset, which offers an outstanding resource base and robust project economics. The completion of a DFS would represent the final stepping stone in moving this project into development,” he said in a statement.

TNG recently announced several key agreements to progress the Mount Peake DFS, including the appointment of global engineering and environmental consulting group GHD to complete the environmental-impact study.

In addition, the miner recently signed a memorandum of understanding with a Germany-based international engineering, metallurgical, development and technology company and plant supplier for discussions regarding the commercial development of the hydrometallurgical process.

TNG also signed a formal agreement with the Commonwealth Scientific & Industrial Research Organisation for the completion of a definitive pilot plant trial, representing the next phase in the company’s metallurgical testwork programme.

The company has further signed a heads of agreement with the Darwin Port Corporation to negotiate the use of Darwin’s East Arm Wharf port facilities for the export of vanadium, iron and titanium products from the Mount Peake operation.