Northern Minerals (ASX: NTU) has received its Mining Proposal with a Closure Plan approval from the WA Department of Mines and Petroleum. The remaining approvals are expected to be granted in January. The Company is on track for a final investment decision in mid-Q1 2017.
Highlights
- Browns Range Pilot Plant receives Mining Proposal with a Mine Closure Plan approval from WA Department of Mines and Petroleum.
- Works Approval and Licence submitted for approval to WA Department of Environment Regulation.
Australian heavy rare earths developer, Northern Minerals Limited (ASX: NTU) is pleased to announce that it has received approval for the Browns Range Pilot Plant Mining Proposal with a Closure Plan from the Western Australian Department of Mines and Petroleum (DMP). This approval is one of the last key approval required before the commencement of mining operations.
The Company also recently submitted a Works Approval and Licence with Western Australian Department of Environment Regulation (DER). There is a 60-day approval period, with notification expected in January.
When constructed, Browns Range will be the only heavy rare earths mine in Australia, with heavy rare earths fetching considerably more than light rare earths on the global market.
The proposed pilot plant, at a scale of 10% of the full scale operation, has a designed front end of 60,000tpa crushing beneficiation circuit, and a 3,200tpa hydrometallurgical plant aimed at producing 590 tonnes of Total Rare Earth Oxide (TREO) in a mixed Rare Earth (RE) carbonate. The pilot plant is scheduled to operate for 3 years, in which time a decision to commit to the full scale operation may be made. A full scale plant would take 2 years to construct.
The approval is another significant step forward in the Government approvals process for the Project. Recently, the Company committed to an A$3.4 million re-development works program, including drilling, water monitoring and the extension of the accommodation village.
In late November, Sinosteel MECC was selected as the preferred EPC contractor for the Browns Range Pilot Plant Development. The Memorandum of Understanding with Sinosteel MECC includes an option for the deferral of up to $12 million in costs for 24 months or conversion into equity, at Sinosteel’s election.
The Company is aiming towards awarding of contracts for the construction of the pilot plant in early 2017, with mining and installation in the second half of 2017.
Northern Minerals Managing Director, George Bauk, said “We are firmly on track to make a final investment decision in mid-Q1 next year.
“We continue to tick all of the right boxes in our goal to become a globally significant dysprosium producer.”
