The Western Australian Government’s Investment Attraction Fund (IAF) has granted emerging critical minerals company FYI Resources Ltd (ASX:FYI, OTCQX:FYIRF) A$3 million, which will assist in the development of its high purity alumina (HPA) project.
FYI is moving forward with its HPA project by advancing a small-scale production plant (SSP), essential for delivering high-quality HPA(>99.99% Al2O3) via the company’s innovative flowsheet design for evaluation by prospective end users.
This SSP initiative is a pivotal stage in FYI's methodical and scalable strategy to bring HPA production to the commercial market.
Funds are allocated to support the continued development of FYI’s small-scale production and demonstration plant for refining high-quality HPA.
“We are very pleased to receive the cash funding from the IAF scheme through the Western Australian Government," FYI managing director Roland Hill said
"The grant will allow us to continue the development of the HPA project and further advance our innovative and proprietary technologies developed for our HPA process.
"FYI has demonstrated the viability of the HPA project and is now setting about demonstrating its commercial potential. FYI is at a crucial step in positioning as a sustainable, integrated HPA producer. The IAF funding will contribute significantly at this stage of the SSP project development."
Hill said the company had outlined a re-scoped and re-engineered development schedule for a staged development to commercial production of 10,000 tonnes per annum of HPA.
"The initial phased development stage of production is the small-scale production plant (SSP). The SSP will enable FYI to produce bulk samples for prospective customers’ testing and qualification.
The plant’s design capacity is targeted at >1,000 tonnes per annum of high-quality HPA. The SSP will enable process optimisation and testing for final HPA product development and also serve as a testing and training facility. The proposed location will have key engineering design advantages to allow for possible phased modular production increases.”
Importance to WA
The funding recognises the importance of FYI’s HPA project to WA and will be distributed over an agreed schedule that meets FYI’s HPA SSP project’s development needs.
It has been granted following the finalisation of the Financial Assistance Agreement (FAA) with the State Government.
In July 2023, FYI successfully obtained a grant from the IAF, following a robust selection process that identified applicants poised to stimulate investment, job creation and economic diversification in WA. The grant, as announced on July 18, 2023, was predicated on innovative approaches to fostering commercialisation, new industry opportunities, and market expansion.
The detailed project milestones and proof requirements for the grant funding agreement between the WA Government and FYI have been established. Under the agreed funding schedule, FYI will receive the IAF grant funding and is committed to providing matching funds.
Developing WA
The government led by Premier Roger Cook is propelling WA’s economic diversification with a significant A$148 million investment into 40 pioneering projects including FYI’s.
Cook said, "Through the Investment Attraction Fund, we're driving a strong and diversified economy that delivers secure, quality jobs for the future.
"We're building on WA's economic strengths and embracing new and innovative industries – positioning our State at the forefront of the global energy transition.
"We're backing local companies to manufacture here in WA, to value-add, and to take on the world in developing high-tech products for the future.”