Name of the Project
Cummins Range rare earths project.
Location
Kimberley region of Western Australia.
Project Owner/s
RareX.
Project Description
A scoping study has demonstrated the potential viability of the project.
The study envisages a mine and flotation beneficiation facility at site, producing a rare-earth mineral concentrate and a phosphate mineral concentrate, which are trucked along mainly sealed roads to Wyndham Port.
At the port, a hydroelectric-powered rare earth refinery facility is envisaged that will produce a mixed rare-earth carbonate (MREC) product for export, with a by-product of merchant-grade phosphoric acid. There will also be phosphate mineral concentrate, which contains elevated rare earth grades.
Conventional opencut mining methods will be used over a 12-year mine life; however, considerable potential exists to extend the mine life through further exploration and development work.
About 89 000 t/y of MREC (dry), 128 800 t/y of phosphate concentrate (dry) and 13 500 t/y of phosphoric acid will be produced.
Potential Job Creation
Not stated.
Net Present Value/Internal Rate of Return
The project has a pretax net present value, at an 8% discount rate, of A$633-million and an internal rate of return of 29%, with a payback of 2.8 years.
Capital Expenditure
A$430-million
Planned Start/End Date
Not stated.
Latest Developments
RareX has announced a A$4-million share placement to accelerate resource definition and development studies at its Cummins Range phosphate rare earths project.
The company has received firm commitments from institutional, sophisticated and professional investors for the placement of 88.9-million shares, priced at 64.5c each.
The placement will include one free attaching option for every two shares subscribed, exercisable at 6.75c a share and with a 24-month expiry date.
“We are looking forward to progressing rapidly with the plan to define the project in its three stages and accelerate the direct shipping ore (DSO) Stage 1 towards approvals and operations as fast as possible. I want to thank the new and existing shareholders for their trust in our team to deliver for them and we welcome the well-qualified institutions that have joined the register,” RareX CEO James Durrant has said.
An updated scoping study on the economics of the three-phased project is expected in the June quarter of this year.
Key Contracts, Suppliers and Consultants
None stated.
Contact Details for Project Information
RareX, tel +61 8 6383 6593 or email info@rarex.com.au.