Slide 1: Dubbo Zirconia Project, Australia: Pilot Plant to Production
For personal use only Dubbo Zirconia Project, Australia Pilot Plant to Production 4 August 2014
Slide 2: Critical Minerals
Critical Minerals For personal use only Critical Minerals are those minerals and metals that are crucial to industrial production and / or supply of energy to a nation. Each economy has a different interpretation as to what constitutes a critical mineral, so the US has a different list to the EU, UK
Slide 3: Rare Earth Industry
Rare Earth Industry For personal use only • Total REE consumption 2013 115,000t with annual growth estimated at 5- 10% to be 153,000t in 2017 • Global market US$3-5B • China produced about 90% of world supply in 2013 and consumed about 65%, with Japan 15% and the US 14% • The REE industry is “imbala
Slide 4: Chinese Export Taxes & Controls
Chinese Export Taxes & Controls WTO Challenge to Chinese Export Taxes and Quotas?? For personal use only • China is intent upon producing the value added product rather than exporting the raw materials • As a result China’s consumption of REs will rise from 65% to ~80% by 2020 • If the export tax is
Slide 5: Zirconium Industry
Zirconium Industry Zircon Demand by End Use For personal use only (2013 ~ 1 million tonnes) Zirconium Chemicals Output DZP target market Increasing prices Increasing purity • Global market US$2-3B • 2014 consumer zircon inventories running down • Market expected to stabilise through 2015 - 2016 • CA
Slide 6: Zirconium Issues
Zirconium Issues 97% of all zirconium chemicals / fused zirconia are derived from zircon For personal use only • Availability of premium zircon for fused zirconia - will require ~160-180,000tpa - low Al2O3 with minimal particle size < 45 micron - availability of zircon with <300 ppm U+Th • Chinese z
Slide 7: Niobium Industry
Niobium Industry Current use of ferro-niobium For personal use only 13% 29% Structural 10% Pipe Auto Stainless Other 24% 24% • 90% of Nb used in standard grade ferro-niobium for the production of high strength low alloy (HSLA) steels. • Nb HSLA steels are primarily consumed in structural and piping,
Slide 8: Dubbo Zirconia Project
Dubbo Zirconia Project Located 400km northwest of Sydney within a region that has For personal use only • substantial infrastructure – roads, rail, power, gas, light engineering, people (~100,000), being a large agricultural and mining area • A very large polymetallic resource of the metals zirconiu
Slide 9: DZP Geology
DZP Geology For personal use only Trachyte lava or sub-volcanic intrusive Largely homogenous ore body Ore mineralogy – eudialyte (“like” Zr silicate +Y and HRE), natroniobite (Nb-Ta) , bastnaesite (LRE) All readily soluble in sulphuric acid 20 year pit floor (40 metre depth) Total resource base (100
Slide 10: DZP Process Flow Sheet
DZP Process Flow Sheet • Simple open cut mining operation For personal use only • Crushing and grinding • Sulphuric acid, roast, leach whole of ore • Solvent extraction, separation & refining Shin-Etsu Agreement • Except for rare earths, the process produces a suite of products for direct consumptio
Slide 11: DZP Demonstration Pilot Plant
DZP Demonstration Pilot Plant For personal use only Y and HREE refining and recovery DPP Filtration, PLS, SX, Zr and Nb recovery Zirconium refining and precipitation Reverse osmosis and water recycle © Operating at Australian Nuclear Science and Technology Organisation since 2008 11
Slide 12: DZP Demonstration Pilot Plant
DZP Demonstration Pilot Plant What has the DPP achieved? For personal use only Flowsheet development and optimisation • Full and continuous flowsheet (ore to product) at 100kg/hour ore feed • Clear understanding of the process chemistry • Continue to improve recoveries, particularly with HREs • Wa
Slide 13: Product Applications
Product Applications For personal use only Zirconium Materials: • Electronics, ceramics, glass, refractories, chemicals, metals, catalysts Rare Earth Materials: • Electronics, magnets, ceramics, glass, metal alloys, phosphors, catalysts Niobium Materials: • Special steels, alloys, capacitors,
Slide 14: DZP Estimated Product Output @ 1Mtpa
DZP Estimated Product Output @ 1Mtpa 100% 1,309t For personal use only 5% 95% yttrium, dysprosium, 90% terbium 20% 4,665t 30% 28.5% of revenue 80% 8% 1,967t 70% 90% neodymium, 60% 24% praseodymium 21.6% of revenue 50% 40% 15,827t 16% 67% 30% 20% 31% 10% 0% Production 23,768t* Revenue ZrO2 Nb metal L
Slide 15: Product Value Enhancements - Offtake
Product Value Enhancements - Offtake For personal use only Continuing Product Development for Increased Return • Rare Earths: • MOU with Shin-Etsu Chemical to produce suite of separated rare earth oxides from LRE and HRE chloride concentrates / commercialisation of toll treatment off-take agreement
Slide 16: DZP Major Milestones
DZP Major Milestones For personal use only Major Milestones 2014 2015 2016 2017 Finalise Off-take agreements Project Approval ? Project Financing Program Front End Engineering Design (FEED) CONSTRUCTION PRODUCTION Estimates of times are indicative only and are subject to change. Alkane reserves the
Slide 17: Conclusions
Conclusions For personal use only The DPP has played an integral part in commercialising the DZP The flowsheet is robust and can be scaled to a production plant Continuous improvement – optimisation and metal recoveries Measurement of mass balances for reagents, energy and water Development of opex
Slide 18: Disclaimer
Disclaimer For personal use only Disclaimer This presentation contains certain forward looking statements and forecasts, including possible or assumed reserves and resources, production levels and rates, costs, prices, future performance or potential growth of Alkane Resources Ltd, industry growth o
Slide 19: DZP Resource & Reserves
DZP Resource & Reserves For personal use only Dubbo Zirconia Project – Mineral Resources Toongi Tonnage ZrO2 HfO2 Nb2O5 Ta2O5 Y2O3 REO Deposit (Mt) (%) (%) (%) (%) (%) (%) Measured 35.70 1.96 0.04 0.46 0.03 0.14 0.75 Inferred 37.50 1.96 0.04 0.46 0.03 0.14 0.75 Total 73.20 1.96 0.04 0.46 0.03 0.14 0