Latrobe hopes for Dec start to plant construction
PERTH (miningweekly.com) – The construction of a 3 000 t/y magnesium plant in Victoria is expected to start in December this year, following a positive prefeasibility study (PFS).
ASX-listed Latrobe Magnesium on Monday reported that the PFS estimated an initial capital cost of A$56-million to develop the project.
The PFS estimated that the project would generate earnings before interest, taxes, depreciation and amortisation of up to A$5.6-million a year, once it was operating at nameplate capacity, with the plant expected to initially employ 54 staff.
The project is expected to start production in June 2021, and to expand to 40 000 t/y some 12 months later.
Latrobe at the start of 2018 entered into a memorandum of understanding with EnergyAustralia Yallourn to supply ash to the Latrobe Valley operation, converting the ash into mainly magnesium and two supplementary cementitious materials.
Subject to agreeing to terms for ash supply with EnergyAustralia, Latrobe is expecting to make a final investment decision and to start construction of the operation by December this year.
With the completion of the PFS, the ASX-listed company will now approach the commonwealth and Victorian governments to consider the company’s request for a A$12-million grant to assist in funding the construction of the project.
A further A$16-million is expected to be raised from a mix of exclusivity payments and equity from Latrobe’s current interested sophisticated investors and supplementary cementitious material partners.
The company already has a A$28-million project funding in place.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Iritron delivers advanced automation, control, and optimisation solutions to the Mining, Minerals & Metals, Consumer Package Goods and...
VISIT SHOWROOM
ISO-certified Condra manufactures overhead cranes, portal cranes, cantilever cranes and crane components: hoists, drives, end-carriages, brakes and...
VISIT SHOWROOM
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
