PERTH (miningweekly.com) – ASX-listed TNG has warned that Covid-19 was likely to impact its Mt Peake vanadium/titanium/iron project, in the Northern Territory.
TNG noted on Tuesday that Mt Peak was at an advanced stage of pre-development planning, with the front-end engineering design (FEED) study progressing in parallel with design and tendering for the supporting non-process infrastructure.
With the measures now being taken to contain the spread of Covid-19, TNG has reviewed the status of the FEED study and the planned next steps to progress Mt Peake. The company noted that while key work streams related to the design and engineering have experienced limited disruption to date, a range of other supporting FEED workstreams have been impacted by temporary shutdowns, and would be deferred for the time being.
TNG told shareholders that the timing of the FEED study completion would likely be impacted, but subject to the rapidly changing global situation, no other major delay was forecast.
Previous studies at Mt Peak have found that a two-million tonne-a-year operation, delivering 100 000 t/y of titanium dioxide pigment, would require a capital investment of some A$824-million, with a mine-life expectancy of 37 years.