Western Magnesium Corp. (TSX-V:WMG, OTCQB:MLYF) announced that it has achieved silicothermic reduction in a continuous reactor — a milestone that it says has never been accomplished globally to date.
The company said its proprietary continuous reactor is operating as designed, maintaining target temperature and pressure while allowing for continuous feed, discharge and magnesium production.
“It’s a thrilling time to be at the forefront of this manufacturing revolution,” CEO Sam Ataya said in a statement. “We have witnessed the birth of a new technology that puts us on the cutting edge of showcasing novel solutions and setting new standards for responsible ‘green’ magnesium production and ending America’s reliance on China for a strategic mineral that we simply must have to ensure our national security.”
Western Magnesium has an opportunity to fill the surging demand in the auto, aerospace, airline and other industries, the company said, as Magnesium is essential to the production of aluminum and titanium, and increasing domestic production is a priority for the company.
The company argues that domestic magnesium production was offshored to China years ago, in part, because operational costs in North America became excessive and old production methods of extraction proved harmful to the environment.
By contrast, Western Magnesium says its proprietary technology and production methods are capable of producing 99.8% pure magnesium metal with near-zero environmental consequences.
“These next few years will put America at the forefront of creating a stable supply of magnesium metal and will place Western Magnesium on a path to competing directly with China as domestic and global demand grows,” Chief Operating Officer Lisa Maxwell said.
Once the technology at its pilot plant is refined, the plan is to install it in a new facility in Harrison County, Ohio. The company intends to begin construction of this full-scale facility in 2023, and it projects production of more than 100,000 metric tons annually.
In other words, the mega plant is intended to have the capacity to produce 10% of the world’s current supply and employ 250 full-time and 500 support personnel.
Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com
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