PERTH (miningweekly.com) – ASX-listed Peak Resources has exercised its £1.8-million option for a 250-year lease to develop a rare earth refinery in the Tees Valley, in the UK.
The company intends to construct its Teesside refinery on the site to receive high-grade rare earth concentrate from its Ngualla rare earth project, in Tanzania, which would produce neodymium praseodymium (NdPr) oxide as well as other separated rare earth products.
Construction and development of the refinery is expected to cost some $160-million, and will create around 130 long-term jobs, Peak said on Friday.
“This is a significant milestone for Peak and our strategy to become one of the major integrated producers of NdPr oxide outside of China. With incredibly strong global demand for non-Chinese rare earths, we are ideally placed to supply these critical commodities, which are driving the electrification and decarbonisation revolution,” said Peak MD Bardin Davis.
“The Teesside location provides a major competitive advantage with its ‘plug and play’ infrastructure, skilled labour force and proximity to potential customers, while its Freeport status provides tangible tax and other benefits.
“Our refinery is also poised to make the UK a major supplier of NdPr oxide, supporting its transition towards a net zero carbon economy and the development of its cleantech supply chain.”
A bankable feasibility study into both the Ngualla rare earth project and the Teesside refinery was completed in 2017.
It was estimated that the $165-million refinery will produce around 2 810 t/y of high purity NdPr oxide, around 625 t/y of combined mid and heavy rare earth carbonate, some 7 995 t/y of lanthanum rare earth carbonate, and 3 475 t/y of cerium rare earth carbonate sourced from the Ngualla project.