Peak Resources has entered into an option agreement for the long term lease of the land for the proposed Teesside rare earth refinery and separation plant in the UK.
Peak and its partners are developing the Ngualla project in Tanzania into a low cost next generation rare earth project that is strongly aligned to the high value, expanding high-tech magnet metal market. It has tailored its processing flowsheet to focus on the production of neodymium and praseodymium, which are the key enabling raw materials, the heart, that power low carbon technologies such as electric (e) mobility, clean energy and automatisation/robotic technology. With a distinctly different development approach backed by the advantages of a large high quality deposit and demonstrated process, the company is well positioned for growth through the expanding demand for magnet metals in the green technology sector.
Peak’s strategy for growth is to rapidly develop Ngualla into a long term producer of neodymium (Nd) and praseodymium (Pr) rare earth mixed oxides through its lower quartile capex and opex.
The project is now substantially technically de-risked with a large, high confidence mineral resource base, demonstrated low cost metallurgical process and robust project economics demonstrated by the recently published BFS.
Following a Heads of Terms agreed with the UK’s Homes and Communities Agency (HCA) in 2017 Peak has signed a two-year option for a 250 year lease on a 19 ha parcel of land in Teesside for a rare earth refinery and separation plant. The agreement also includes the ability to extend the option for a further 12 months if required. The site will be home to a rare earth refinery and separation plant designed to process 32,700 tonn/y of beneficiated ore from the proposed Ngualla mine and processing plant. The refinery will produce high purity rare earths including in particular 2,800 t of mixed Neodymium (Nd) and Praseodymium (Pr) oxide.
The Teesside plant is a key differentiator between Peak and other rare earth development companies as Peak is the only current developer who is planning to produce saleable rare earth oxide products in-house enabling the company to sell its products directly to end users and manufacturers. The plant will also significantly add value to the project as the separated rare earths will command a higher price than a less refined concentrate or a mixed carbonate.
“Peak invested a significant sum of money and time into developing and piloting the leaching and separating of the rare earths for our feasibility study. This pilot work, supplemented by extensive first-hand experience of processing rare earths, means that Peak is one of only a handful of companies outside of the current producers to have the required knowledge to produce high purity rare earth oxides. As a result we will not be reliant on Chinese or other 3rd party refineries for toll processing our material and thus we will be in a position to maximize the value of our products.” Commented Rocky Smith, Peak’s CEO.
The plant site is in an existing industrial park with “plug and play” utilities. It is adjacent to the Uk’s third largest port, rail and road networks, with access to bulk low cost chemicals and a highly skilled workforce.
Located in the Wilton International Site in Tees Valley, near the town of Middleborough in the UK, the site is in a large industrial park. The site also offers an existing effluent disposal system and is close to a number of solid waste management facilities. The large (19 ha) size of the parcel of land will allow space for future expansions that the company is considering which include the doubling of production as well as allowing for potential metal making facilities and acid making plants.
The picture shows Teesport looking toward the Wilton International site.
