- King River Resources initially plans to scale the SSM project for HPA production, with refocus on a smaller project size expected to deliver valuable improvements to project economics.
- KRR is advancing well on Speewah PFS, and several study aspects have been achieved.
- Enhancement in purification precipitation recovery and identification of contamination sources are substantial developments towards the Company’s plan to produce High Purity Alumina.
Staying ahead of the curve, King River Resources Limited (ASX: KRR) seems to have touched new heights in its Speewah Project exploration ventures. In a significant update, the Company announced to have achieved varying aspects of the Pre-Feasibility Study (PFS) into the project, adding another notch to its belt. The Company is currently compiling the PFS on its Speewah Specialty Metals (SSM) Project (100 per cent owned), stationed at East Kimberley in Western Australia.
Notably, the Company’s plan is initially directed at scaling the Specialty Metals Project at Speewah for producing High Purity Alumina (HPA). Though not included as part of the PFS, Vanadium (V2O5), Titanium (TiO2) and Iron (Fe oxide) would be the potential co-products at a later stage.
Refocusing the PFS on a smaller project is expected to not only significantly reduce the size of the project but also deliver valuable improvements to project economics. This holds the potential to reduce capex and maximise returns.
The latest PFS centric accomplishments ride on the back of recent developments, as KRR realised many targets indicated in the previous update. To know more about the Company’s last update on the pre-feasibility study, please read King River Resources Forging Ahead with Speewah PFS Compilation in Full Swing.
With that backdrop, let us have a closer look at the most recent developments fostering strong growth potential for upcoming advancements in PFS on the SSM project.
Lens through Latest Advances
As hydrometallurgical work continued to be undertaken for HPA, many aspects of the PFS have been achieved by the Company. The developments align with KRR’s objective to produce high specification material while attaining a high level of control.
The Company’s engagement in new equipment trials towards increasing the calcination temperature seems to be paying off significantly. The HPA precursor calcination at 1200°C not only helped in reducing transfer losses but also aluminium previously lost on final wash. This should ensure conversion of the High Purity Alumina product to alpha alumina.
KRR has successfully reached the stage 2 purification precipitation recovery at 81.5% Al, overachieving the target recovery of 80%, which was previously set for this stage of the process for the PFS.
Notably, KRR carried out hydrometallurgical testwork to reduce reagents and acid consumptions for input into the PFS. As a significant step forward, KRR has identified some sources of contamination in the reagents used and from some equipment.
The CSA Global mining study is complete along with the marketing and environmental reports.
Road Ahead for Speewah Pre-feasibility Study
While KRR has made remarkable progress involving varying aspects of the Speewah PFS, some hydrometallurgical testwork and studies are still outstanding. The activities underway or yet to be accomplished are being eyed by the Company for finalising the PFS.
KRR plans to repeat the previously reported 4N HPA product (>99.99% Al2O3) result using the process refinements for producing a larger sample to provide for verification analyses. Moreover, PFS advancements would require independent umpire assays of the final >99.99% Al2O3 result.
Utilising an X-Ray Diffraction (XRD) analysis, the Company ought to confirm its High Purity Alumina is 100% alpha-alumina. Meanwhile, Como Engineers has largely completed the plant and infrastructure design and costings, with final model validation and review awaited.
King River Resources expects to release the PFS soon following the completion of remaining outcomes.
Stock Performance - The KRR stock closed the day’s trade at AU$0.037 per share on 18 June 2020, with a market capitalisation of AU$53.69 million. The stock in the past three months has generated a return of 86.96%, while the YTD return was noted at 104.76%.
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