Thunderbird product better than expected

PERTH (miningweekly.com) – Testwork on the Thunderbird mineral sands project, in Western Australia, has demonstrated that the project could deliver an ilmenite product with premium specifications.

ASX-listed Sheffield Resources has reported that the testwork, which is being conducted as part of the bankable feasibility study (BFS) that is due for release in the first quarter of this year, showed that the ilmenite is likely to exceed premium specifications for the large Chinese market, and could increase the marketability of the product in the broader global market.

MD Bruce McFadzean said the results were outstanding and a significant breakthrough for the company as it progressed towards the development of Thunderbird.

“The Thunderbird ilmenite product is now at the top end of the quality spectrum and will compete with all global ilmenites due to its high grade, low impurities and high reactivity. Results demonstrate the flexibility of Sheffield’s ilmenite upgrading process, allowing premium products to be tailored to a broader range of customers.”

McFadzean noted that offtake discussions have progressed with leading global ilmenite and zircon consumers, and further samples will be dispatched over the coming weeks to advance those discussions.

A prefeasibility study estimated that the project will require a capital investment of A$271-million, delivering yearly earnings before interest, taxes, depreciation and amortisation of A$135-million over a 40-year mine life.

However, the BFS will be smaller in scope, with throughput planned to start at 7.5-million tonnes a year and ramping up to 15-million tonnes a year from the fourth year of operations.