Perpetual Resources Ltd (ASX:PEC) has formally approved a pre-feasibility study update (PFSU) for the Beharra Project in Western Australia to assess the economic viability of bulk white sand extraction after successful metallurgical test-work.
The PFSU will build on the previously delivered pre-feasibility study (PFS) but with a focus on a development scenario for Beharra that involves only white sand extraction.
A side-by-side analysis of comingled white and yellow sand compared to white sand only will be provided by the PFSU outcome.
Targeting white sand development
Perpetual Resources managing director Robert Benussi said: “The delivery of such a compelling PFS in March 2021 validated Perpetual’s decision to pursue the Beharra Project.
“Our ongoing optimisation work, which was substantially progressed through the delivery of the recent exciting white sand only bulk metallurgical test result, has demonstrated that a development scenario that targets the white sand horizon is clearly in the best interests of shareholders.
“After completion of what we expect to be further impurity reductions through an analysis of the distinct domains that exist within the white sand horizon at Beharra, we now intend to update the previously announced PFS with specific analysis that demonstrates the superiority of the white sand development scenario and look forward to delivering this in the first half of 2022.”
The PFSUs timeline has been accelerated due to the extensive work from the original PFS that can now be reanalysed for an updated assessment.
Perpetual Resources believes the PFSU will confirm the company’s decision to develop the Beharra Project in a white sand extraction scenario.
Additionally, a DSO scoping study is continuing which Perpetual says presents potential for multiple revenue streams from the Beharra Project.
About Perpetual Resources
Perpetual Resources is a focused explorer of silica sands, aiming to produce high purity silica for export to the high growth Asian markets.
The company’s flagship asset, the Beharra Project, covers about 49 square kilometres and hosts predominantly high purity white (pale) sands with few impurities.
Perpetual has another exploration licence which covers 35.34 square kilometres and is bounded on the eastern extent by the Brand Highway and Geraldton Railway.