logo-loader

Ferro-Alloy Resources sees production 'continuing on an upward trajectory'

Last updated: 11:55 01 Feb 2024 GMT, First published: 07:28 05 Aug 2020 BST

Snapshot

  • Ferro-Alloy feasibility study now due near end 2024
  • With the help of mining mogul Mick Davis, Ferro Alloy Resources plans to build what could be the lowest cost vanadium project in the world
  • Ferro-Alloy Resources delay doesn't affect quality of asset, says broker
  • Ferro Alloy Resources "very pleased" with production from small plant
Ferro-Alloy Resources Group - Ferro-Alloy Resources pushes ahead with Balasausqandiq development plans

About the company

Ferro-Alloy Resources Ltd is a vanadium producer and developer holding the giant Balasausqandiq vanadium deposit in Kyzylordinskaya oblast of southern Kazakhstan. 

The ore at this deposit is unlike that of nearly all other primary vanadium deposits and is capable of being treated by a much lower cost process.

FAR is already in production processing purchased vanadium-containing secondary materials to produce vanadium in the form of ammonium metavanadate (AMV).

The company is working towards increasing production and converting its AMV into the more commonly traded vanadium pentoxide.

It is planned that output will be increased in stages to reach 22,400 tonnes of vanadium pentoxide per year, mostly in the form of ferro-vanadium.

How it is doing

01 Feb 2024

Ferro-Alloy Resources Ltd (LSE:FAR) has pushed back the completion date of the feasibility study for its Balasausqandiq vanadium project in Southern Kazakhstan until the fourth quarter of 2024.

Delays caused by the design of the tailings facility and capacity constraints at the labs testing tailings samples are the primary reasons, said the statement.

Ferro-Alloy provided a detailed update on the progress of the study so far, stating fieldwork is now largely complete, as is the drilling required.

All metallurgical testing is also now finished, the statement added, with equipment specification, costings and plant layout optimisation ongoing.

12 Jan 2024

Ferro-Alloy Resources Ltd (LSE:FAR) (FAR) has got production back on track after sourcing additional concentrate from different suppliers, says house broker Shore Capital.

As such, FAR has now stockpiled sufficient material for seven months of production assuming current rates.

12 Jan 2024

Ferro-Alloy Resources Ltd (LSE:FAR) increased production in 2023 after a strong final quarter at Balasausqandiq in Southern Kazakhstan.

The miner is operating at a small-scale operation currently ahead of an expected major expansion following the completion of a feasibility study.

Insight: With the help of mining mogul Mick Davis, Ferro Alloy Resources plans to...

23 Mar 2021

How successful a mining company could Ferro Alloy Resources Ltd (LON:FAR) turn out to be?

There are several ways to answer that question. The first is that it’s already pretty well set up.

What the brokers say

01 Feb 2024

Ferro-Alloy Resources Ltd (LSE:FAR)’s announcement of a delay to the feasibility study at Balasausqandiq vanadium project in Kazakhstan shouldn’t detract from its status as a world-class deposit, says house broker ShoreCap.

By-products such as carbon black eventually could even see a negative cost of production, says the broker, which has an unrisked valuation of £601 million (81p per share) and discounted value of 33p, down from 42p on today’s news.

“Given Balasausqandiq’s sedimentary origin, we note that low-cost extraction is possible through leaching rather than expensive pre-concentration or roasting, as is the case with the more common vanadium-bearing magnetite deposits,” it adds.

What management says

18 Jul 2023

Ferro-Alloy Resources Ltd (LSE:FAR) chief executive Nick Bridgen speaks to Thomas Warner from Proactive after the vanadium producer and developer of the large Balasausqandiq vanadium deposit in Southern Kazakhstan announced the production results from the Group's existing operation for the first half of 2023.

Bridgen gives an overview of the results from the plant, saying that despite it being of secondary importance to the main project it "is capable of making good profits and we're very pleased to see it coming right."

He expresses satisfaction with the plant's performance and highlighted a significant increase in vanadium production and tonnage processed.

Ferro Alloy Resources "very pleased" with production from small plant

Ferro-Alloy Resources Ltd (LSE:FAR) chief executive Nick Bridgen speaks to Thomas Warner from Proactive after the vanadium producer and developer of the large Balasausqandiq vanadium deposit in Southern Kazakhstan announced the production results from the Group's existing operation for the first...

on 18/7/23