American Rare Earths’ (ASX:ARR) metallurgical test work is paving a smooth way ahead for the huge Halleck Creek project to become a commercial reality, with the stock trading up 6.45%.
Highlights
- Latest metallurgical tests on Halleck Creek ore back up previous results that demonstrate it can be an operation requiring low capital and operating expenditure, with a strong ESG profile.
- The most recent test work confirms the ore responds well to conventional technology, with a high 77% of waste material rejected in early processing stages before the flotation circuit phase of separating the high-value NdPr elements essential for the clean energy transition and electronics.
- Current internal studies are focusing on annualized ore processing rates of 10Mt, 15Mt and 20Mt per annum feed rate to the concentrator to establish optimal returns. This equates to a modelled production of 3800t, 5700t and 7600t respectively of the highly valuable NdPr oxides contained in Mixed Rare Earth Carbonate (MREC) as a saleable product to be processed within the US.
- The anticipated capex and opex savings are further enhanced by the negligible thorium and uranium in the Halleck Creek ore. These radioactive elements are commonly found in higher quantities at other rare earths projects
The company says its wholly-owned Halleck Creek has potential to be one of the largest rare earths projects in North America given its JORC Resource of 1.43Bt and more upside still being explored.
“Rare earth projects typically have complex metallurgy. Under the technical leadership of Wood PLC, these outstanding test results provide confidence for a simple process flow sheet. Halleck Creek ore continues to pass all the key tests from a processing perspective: good recovery using conventional processing methods, low radioactive penalty elements and the ability to produce a mixed rare earth concentrate product,” CEO and Managing Director, Chris Gibbs, said.
“In short, Halleck Creek has the right rare earths (NdPr) and low penalty elements. This means a valuable product, simple metallurgy, and lower costs. Most importantly, the project is in the heart of the USA, the largest economy in the world.
“As an exploration company I’m also excited to advance our exploration activities at Halleck Creek. to support the economic and feasibility studies currently underway.
“With less than 25% of the area drilled, the deposit remains open at depth and with significant upside potential. To further enhance the project economics, we are keen to test the depth of the deposit, seek to upgrade resources and explore potential higher-grade zones within the project footprint.”
For further information please visit: https://americanrareearths.com.au/
