THE BOURSE WHISPERER: Platina Resources (ASX: PGM) has received results of a scoping study carried out at the company’s Owendale scandium project by SNC-Lavalin Australia.
Platina said the Study results support the economic and technical viability of the project.
The Study included the development of capital and operating cost estimates to ±50 per cent accuracy for a suitable processing facility.
Platina said its base case for the project is a simple, open pit mining operation which will mine approximately 50,000 tonnes of ore per annum for treatment and concentration on site to produce 30 tonnes of scandium oxide at 99.9 per cent purity.
The Owendale project hosts a JORC 2012-compliant Indicated and Inferred Mineral Resource of 24 million tonnes of scandium grading 384ppm scandium (at a cut-off of 300ppm scandium) and contains a total in-situ content of 9,100 tonnes of scandium metal or 14,000 tonnes of scandium oxide.
“The scoping study results show what we have always understood; that Owendale can be Australia’s first scandium mine with further optional platinum credits and nickel and cobalt,” Platina Resources managing director and CEO Robert Mosig said in the company’s announcement to the Australian Securities Exchange.
“We will commence our environmental, PFS and final BFS studies as soon as possible, subject to securing the requisite financing.
“Off-take discussions will also continue with existing and new parties whilst we progress the final remaining feasibility studies to secure binding agreements.”
Platina explained mining at Owendale is anticipated to take place two to three times per year in small campaigns from shallow open pits.
Basically, the mining will involve conventional shovel and truck open cut mining, most likely located on a shallow, high grade starter pit.
The Owendale project received a boost earlier this year when it was identified that more than 90 per cent of accompanying platinum mineralisation in the Owendale ore was extracted by the HPAL processing technique.
Platina claims this demonstrates Owendale has the potential to become Australia’s first scandium producer with platinum credits.
Having been encouraged by the favourable results achieved by the scoping study, Platina indicated it will immediately initiate a Prefeasibility Study (PFS) followed by a Bankable Feasibility Study (BFS).
The company plans to commence the Owendale PFS and BFS, and remaining environmental studies, subject to finance.