Norge Mining completes pre-feasibility study for Norway project

With growth in demand but a reliance on a limited number of producers, such as China and Russia, the creation of a new integrated value chain for critical raw materials in Europe has become a strategic imperative.

Norge Mining, the Anglo-Norwegian mineral exploration company with world-class resources of critical raw materials in southwest Norway, has announced that the business case for its Eigersund Project has been independently confirmed, paving the way for guaranteed supply to industries in Europe and beyond for decades to come.

The Pre-Feasibility Study (PFS) for the Eigersund Project, an environmentally and socially sustainable greenfield mining project, has been successfully completed for the first of the three zones, which represents only 5% of the entire exploration area, proving the business case of extraction of phosphate, titanium, vanadium, and ferro magnetite.

John Vergopoulos, Chief Executive Officer of Norge Mining, said: “Today’s news is a major step forward for ensuring the safe supply of critical minerals, without which many of the industries on which we rely so heavily, in particular our food supply and green technologies, would be severely compromised. At a time of real uncertainty, the need for self-reliance in the supply chain of critical materials has never been starker. The confirmation of Norge Mining’s business case is a significant step towards delivering a vertically integrated, European supply source of EU Critical and Strategic Raw Materials. This has been achieved without compromising our commitment to the highest standards of environmental and social sustainability which are guiding the development of our business.”

The PFS gives the one zone of the Eigersund Project a net present value (NPV) of US$2.01 billion and states that this is expected to increase as the project progresses and optimisations are identified. Supply of CRMs and strategic minerals from this first zone is set for the first 23 years of extraction with an expected yearly output of 20 million tpa to begin with.

The Eigersund Project is located at the company’s Storeknuten exploration area, which totals 26 km² and now has a JORC Mineral Resource statement totalling 3.2 billion t, represents just 5% of the Company’s 520 km2 of exploration licences in southwest Norway. The Eigersund Project represents the first stage of the Company’s planned mining operations.

The capital cost of the Eigersund Project is estimated in the PFS at US$2.31 billion, which includes the capex associated with the opencast mine, tailings, beneficiation and infrastructure development. Opportunities to reduce the capital cost will be assessed as the project progresses.

Read the article online at: https://www.globalminingreview.com/mining/09092024/norge-mining-completes-pre-feasibility-study-for-norway-project/