Viridis Mining & Minerals (ASX: VMM) has produced what it says is a “world-leading” premium mixed rare earths carbonate (MREC) product from its Colossus ionic clay project in Brazil.
The company says its highest-in-class recovery and lowest impurity – less than one per cent – MREC product also features the highest known ratio of magnet rare earth oxides (MREO) for an ionic-absorption clay (IAC) deposit. MREO are seen as a crucial ingredient for the lucrative electric vehicle (EV) market.
The results, derived from extensive testwork conducted by the Australian Nuclear Science and Technology Organisation (ANSTO), positions Colossus as a potential world leader for a premium saleable product, with record-breaking results that bode well for the future economics of the project.
Viridis says it achieved unprecedented overall recoveries of 76 per cent for MREO – which include praseodymium, neodymium, dysprosium and terbium – using a low-cost, ammonia-based flowsheet, with leaching performed at an impressively weak acidity of just pH4.5.
The results were achieved using a simple, low-cost flowsheet developed by ANSTO. The leaching process was performed at a benign pH acidity level of just 4.5 – which is less than lemon juice – and used readily available ammonium sulfate.
The reduced usage of the reagent, which is seen as a critical cost factor for clay-hosted rare earths projects, significantly reduces the company’s operational expenditure (OPEX) while maintaining efficiency.
Management says the superior recovery rates were achieved in just 30 minutes at room temperature, further highlighting the cost-effectiveness and scalability of the process.
This is by far the most important result the Company has achieved to date and re-emphasises the remarkable asset we have on our hands. As the industry grapples with depressed rare earths prices, the combination of superior basket value, exceptional recoveries and its low-cost flowsheet sets Colossus apart from its rare earths peers.
Viridis Mining & Minerals CEO Rafael Moreno
The company’s MREC product is expected to command a premium price in the global market due to its high content of MREO and ultra-low impurity levels.
Management believes the quality of Colossus’ MREC now positions the project for meaningful discussions with offtake partners. It says achieving best-in-class recoveries with a low-cost flow sheet design at atmospheric conditions is “unheard of in the rare earths space” and highlights Colossus’ potential to “re-set the cost curve” for rare earths projects globally.
Viridis recently secured a mining licence for its Cupim South deposit that contains what it says is the highest-grade IAC deposit globally and also an exploration license for its Centro Sul prospect. The Colossus project has an existing mineral resource of 201 million tonnes at 2590 parts per million total rare earth oxides (TREO) and 668ppm MREO on ground comprising 239 square kilometres.
Interestingly, the resource is defined in just a 16sq-km area, representing just 7 per cent of the company’s ground.
The northern concessions of Colossus, where the bulk samples for the MREC were taken, features unique metallurgical characteristics that allow the rare earths to “drop out” far more favourably than its Australian clay-hosted counterparts.
Viridis is now on track to kick off a prefeasibility study (PFS) for the project, while environmental permitting processes continue.
The company will also look to issue an updated mineral resource estimate and produce a maiden MREC from its southern concessions in the short-term, leaving plenty of crucial catalysts to be announced to the market in the near future.
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