Name of the Project
Richmond-Julia Creek vanadium joint venture project.

Location
Five-hundred kilometres west of Townsville, in Queensland, Australia.

Project Owner/s
Horizon Minerals.

Project Description
The Richmond-Julia Creek project is one of the biggest undeveloped oxide vanadium resources in the world.

An updated prefeasibility study (PFS) has demonstrated a financially strong project, with the PFS proposing a shallow low-impact openpit mining producing 101.5-million tonnes of oxide ore at a fully diluted grade of 0.49% vanadium pentoxide for 19.75-million tonnes of 1.82% vanadium pentoxide, with concentrate production on site.

Overall refining recovery is estimated at 86.1%, producing 317 500 t of 98% vanadium pentoxide commercial grade flake, with average production of 12 700 t/y vanadium pentoxide.

The project has an initial 25-year mine life.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has an estimated net present value, at a 10% discount rate, of A$613-million and an internal rate of return of 38%, based on a current spot price of A$13.15/lb of vanadium pentoxide, with a payback of 3.2 years.

Capital Expenditure
The project has modest upfront capital costs of A$242.2-million.

Planned Start/End Date
Not stated.

Latest Developments
The DFS is expected to be completed in 2022.

Key Contracts, Suppliers and Consultants
Faultzone (feasibility study management and processing facility and infrastructure); RVT (geology and resources estimates); Dr Dawei Xu (mining and ore reserve); Hunan Nonferrous Metal Research Institute (metallurgical testwork); Ergon Energy Corporation (power study); CDM Smith (hydrology and hydrogeology); and Epic Environmental (environmental studies).

Contact Details for Project Information
Horizon Minerals, tel +61 8 9386 9534 or email info@horizonminerals.com.au.