This acquisition allows for a fast-tracked, low-CAPEX development pathway for Mt Mulgine (a Tungsten mining project in Western Australia). The cost of $600,000 in cash-and-shares will offer a big change in Mt Mulgine’s CAPEX requirements.
The plant can process a variety of heavy mineral concentrates due to the module based design, this design also allows for simple installation of additional modular units if required. The plant was constructed in 2015 but decommissioned in early 2016 following suspension of the tantalum project by Pilbara. The processing plant and its infrastructure were then dismantled and stored at Pilbara’s Pilgangoora site, South of Port Hedland.
The plant has a nameplate capacity of 30 t per hour currently, but the addition of modules can be used to improve upon this. The plant was designed and fabricated in Australia, with limited components sourced from overseas. The modular design offers versatility by producing a variety of concentrate specifications that can be appropriated to the market conditions. The modules are reported to be in good conditions due to the proper storage of the modular parts.
The Company views the acquisition of the processing plant as a major step forward to fast-tracking the development of the Mt Mulgine Project, with a target of first tungsten concentrate production within two years.