Menu

Australian Shares.com is the world's biggest free online database of information on Australian resource companies.

This website has up-to-date details on over 1000 separate listed and unlisted organisations, including what they mine (or explore) for, how much of any given resource they have in the ground, or in reserve, the location of their operations, corporate details, news, links and history. Find out more

Australian Shares

Australian Shares Sparty's Blog

Comments on this blog should never be taken as investment advice


Posts on this website are general "tips" and nothing more than that and should never be used to make an investment or trading decision. All information should be carefully cross-checked against official sources for accuracy. Sparty's posts nearly always relate to companies that he either holds, has held or intends to hold.

Main ForumAlkane: Toll Processing For DZP Rare Earths Secured

  • DUBBO ZIRCONIA PROJECT (DZP) – zirconium, hafnium, niobium, yttrium, rare earth elements

    • Australian Zirconia Limited (AZL), a wholly owned subsidiary of Alkane Resources Ltd, has signed a Letter of Intent (LOI) with Vietnam Rare Earth JSC (VTRE) to toll process AZL’s rare earths concentrate produced by the DZP into individual rare earth products.
    • VTRE is a specialist Vietnamese chemical and advanced materials company which operates a processing plant to produce separated rare earth oxides from rare earth concentrates and recycled magnet materials. VTRE also produces rare earth alloys for neodymium iron boron (NdFeB) permanent magnets.
    • Further toll processing of DZP feed to produce rare earth metal alloys is also intended. An AZL/VTRE joint marketing company is planned as the vehicle to market VTRE’s currently produced rare earths and associated downstream products.
    • VTRE’s facilities are located near Hanoi and have full regulatory approvals for operations and environmental management. Processing operations commenced in 2012.
    • The partnership will allow AZL to provide a supply (alternate to that from China) of separated rare earth products, guaranteeing certification and supply chain traceability from ore mined and processed in Australia through to customers’ products. It will also allow AZL to participate in downstream markets and capture further value adding for its rare earth products.
    • The LOI states that AZL will have an exclusive right for 12 months to complete due diligence and for the parties to finalise the terms of the agreements, including the option to purchase equity in VTRE.
    • The expected agreement with VTRE not only delivers the offsite toll processing facility already identified in the Company’s existing business case, but also offers the opportunity to add further value to the rare earth products.
    • VTRE’s rare earths operating costs are similar to or lower than in China, which will ensure that AZL’s production costs will be world competitive.

    Read earlier posts re Rare earths and Alkane Resources
    Visit www.australianrareearths.com

  • Sparty, do you think this is Alkanes next move to finance their billion dollar REO project?

  • yes

  • If anyone is reading Sparty's blog and has a 10 year view of investing then Alkane is the best bet I know. They have a 40 year+ mine life. Note: they still need to raise a billion dollars to start production… and so the share price may still fall depending on their style of capital raising… if they can do it on 50% buy in … then I think they are golden.

    In the past I have owned shares in ALKANE but presently I do not. I have no vested interest in saying good things about Alkane. But I do hope they do well.

Want to take part in this discussion? Click one of these: Sign In Apply for Membership

Australian Shares Forum Options

 








Howdy, Stranger!

It looks like you're new here. If you want to take part in the discussions, click one of these buttons!

Sign In Apply for Membership