Technology Metals Australia Ltd (ASX:TMT) is integrating an updated Yarrabubba mineral resource estimate into its Murchison Technology Metals Project (MTMP) after it was excluded from the Gabanintha Vanadium Project’s (GVP) definitive feasibility study.
TMT intends to combine the Gabanintha and Yarrabubba orebodies into one of the highest-grade, lowest cost vanadium operations in the world under the Murchison Technology Metals Project name, at a scale that will make it the largest single primary vanadium producer.
Integration of Yarrabubba into the MTMP is expected to extend project life beyond 25 years based on a global measured and indicated resource of 50.2 million tonnes at 0.9% vanadium pentoxide (V2O5).
“Team making significant progress”
Technology Metals Australia managing director Ian Prentice said: “The TMT team is making significant progress towards the timely development of the low-cost MTMP as a large-scale, world-class vanadium development project.
“This will be furthered bolstered by the return of David English to the company in the newly established role of COO.”
A total of 120 kilograms of magnetic concentrate produced from representative composites of Yarrabubba ore has been sent to the kiln vendor’s testing facility in Pennsylvania for extensive test-work.
Downstream calcine test-work from earlier pilot kiln testing confirmed greater than 99.5% purity vanadium pentoxide can be produced with current flowsheets, while also improving process efficiency.
Project development
TMT has already begun open pit mine scheduling to optimise net present value from the deposit’s production as Yarrabubba is integrated into the MTMP, intending to deliver an updated ore reserve estimate.
Infill diamond drilling at Yarrabubba has been scheduled for January 2022 to produce bulk ore samples, with discussions for offtake and downstream vanadium electrolyte and vanadium reflux flow batteries partners progressing.
Additionally, TMT has strengthened its development capacity with the appointment of mining project delivery professional, David English, as chief operations officer.
About Technology Metals Australia
Technology Metals Australia is focused on developing its 100%-owned Murchison Technology Metals Project, comprising the Gabanintha and Yarrabubba vanadium projects, south of Meekatharra in Western Australia.
The Gabanintha Vanadium Project has been subject to a Definitive Feasibility Study (DFS) confirming lowest quartile operating costs, of high value and a technically strong development opportunity.
The DFS delivered a mining reserve of 29.6 million tonnes at 0.88% V2O5 and a project pre-tax net present value with a discount rate of 8% (NPV8%) of A$1.3 billion (US$924 million) from an initial 16-year-plus mine life.
The Yarrabubba Vanadium Project represents a low-cost high-margin development opportunity. The mineral resource at Yarrabubba is 36.6 million tonnes at 0.8% V2O5, including a high-grade component of 19 million tonnes at 1.1% V2O5.
Yarrabubba was not included in the Gabanintha DFS, with an integration study underway assessing optimal mining and scheduling for the combined projects.