Gabanintha to cost $318m
PERTH (miningweekly.com) – A definitive feasibility study (DFS) into the Gabanintha vanadium project, in Western Australia, has found that it could support a 27.9-million-pound-a-year vanadium pentoxide operation with a mine life of 16 years, establishing the project as the world’s largest primary vanadium producer.
The DFS estimated a pre-production capital cost of $318-million, with a pay-back period of 3.2 years, owner Technology Metals Australia said on Wednesday.
The project is expected to deliver mine-life earnings before interest, taxes, depreciation and amortization of A$4.1-billion and an estimated free cash flow of A$1.09-billion, with a pre-tax net present value of $924-million and an internal rate of return of 34%.
“The very high quality Gabanintha vanadium project DFS has generated an outstanding result, delivering lowest quartile operating costs over a long initial mine life at a scale that will make the project the largest single primary vanadium producer in the world,” said Technology Metals MD Ian Prentice.
“Delivery of this study is a key milestone in progression of discussions with prospective development partners that the company has engaged with over the past 12 to 18 months,” he added.
Production from Gabanintha is planned to start in 2022, with the application of a conservative ramp-up period, based on achieving the overall plant design capacity of 85% after two years, and the final 15% realised in the third year of operations.
With the DFS work now completed, Technology Minerals will work to progress offtake and financing discussions while also advancing environmental approvals and the grant of a mining lease.
The ASX-listed company will also start a front-end engineering and design study.
Comments
The
content
you are trying to access is only available to subscribers.
If you are already a subscriber, you can Login Here.
If you are not a subscriber, you can subscribe now, by selecting one of the below options.
For more information or assistance, please contact us at subscriptions@creamermedia.co.za.
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation