VRX Silica (ASX: VRX) today announced that mining leases were granted for the company’s Arrowsmith North and Arrowsmith Central silica sand projects, located about 270km north of Perth, WA.
HIGHLIGHTS:
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Mining Leases granted for Arrowsmith North and Central Silica Sand Projects.
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Combined Arrowsmith Mining Lease grant area of over 3,600ha supports +100-year mine life.
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Arrowsmith North Mining Lease area contains Probable Ore Reserve of 204Mt @ 99.7% SiO2.
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Arrowsmith Central Mining Lease area contains Probable Ore Reserve of 18.7Mt @ 99.6% SiO2.
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Clears development for Muchea and Arrowsmith Projects with a combined post-tax NPV10 of $728m.
The combined Mining Lease areas cover over 3,600ha, sufficient for over 100 years of production.
VRX’s Managing Director Bruce Maluish said: “The grant of Mining Leases for our Arrowsmith Silica Sand Projects is another significant milestone for VRX Silica, hot off the heels of the Mining Lease granted for our Muchea Silica Sand Project.
“As for Muchea, there is strong demand for Arrowsmith sand and we will now look to finalise sales contracts for high-quality silica sand products and secure the necessary funding for the development of these projects.
“All three projects have outstanding economic prospects and will support a substantial export industry in Western Australia providing significant financial and employment benefits to the State.
“With all three Mining Leases granted and development of our projects on-track, VRX Silica is truly a global player in high-quality silica sand supplies.”
