Name and Location
Steenkampskraal rare-earth element (REE) project, Western Cape, South Africa.

Client
Great Western Minerals Group (GWMG).

Project Description
A feasibility study on the Steenkampskraal REE project has demonstrated the economic viability of the project.

The mine and process facilities design for the feasibility study differ significantly from those used in the previously published National Instrument 43-101-compliant preliminary economic assessment report released on December 15, 2012.

The project has proven in situ mineral reserves of 103 600 t at a grade of 12.39% total rare-earth element oxide (TREO) for 12 800 t contained TREO and probable in situ and surface mineral reserves of 56 600 t contained TREO.

The study envisions a 13-year mine life, with production of about 5 000 t/y of total rare-earth oxides (REOs) plus yttrium oxide; however, lanthanum and cerium will not be produced as saleable products unless market conditions are more favourable

Average production of saleable rare-earth oxides is estimated at 1 512 t/y.

The mine will be a conventional trackless operation, with about 50% of the in-stope mining remaining as conventional hand-held rig mining.

The mine plan and ventilation design is unique in that it has been specifically based on a radiological model that minimises radiation exposure to the workers.

The process flowsheet comprises crushing and milling, upgrading through dense-medium separation and magnetic separation. This is followed by hydrometallurgical acid cracking and mixed REE carbonate precipitation.

Lanthanum and cerium, considered low-value REEs, are removed and stored on site. The high-value REEs are retained in a mixed REE carbonate concentrate, which will be toll-treated, producing high-purity, separated REOs.

A portion of the high-purity REO product from the independent separation plant will be used to produce REE metal alloys at Less Common Metals, GWMG’s subsidiary located in the UK, with the remainder of product sold on the international market.

Value
Initial project capital expenditure (capex) is estimated at C$118.8 million, with post-commercial production capex estimated at C$51.5-million.

Duration
The construction and mining start-up phase is expected to be completed 25 months from initiation of the project in Year 0, after financing.

Historic tailings material will be processed through the completed hydrometallurgical subsection beginning in project month 16, prior to the completion of the comminution and metallurgical sections of the plant. Underground development will begin in project month 9 and stoping will start in project month 20, after which run-of-mine ore will be processed through the completed processing plant.

Latest Developments
None stated.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
GWMG, tel +1 306 659 4500, fax +1 306 659 4501 or email info@gwmg.ca.