Ark Mines (ASX:AHK) partners for downstream production
January 12, 2024Ark Mines has partnered with Currumbin Minerals to supply and deliver mineral sands containing heavy minerals and rare earth elements from the Sandy Mitchell Project in North Queensland, taking the company a step closer to production.
The companies have signed an MOU outlining a framework and timeline for the treatment of offtake from Ark’s sand project to Currumbin Minerals’ licensed treatment facility in South-East Queensland.
The collaboration is expected to produce Heavy Minerals and Rare Earth critical minerals concentrate to be sold by Ark at current commercial market rates.
Currumbin Minerals uses its latest technology, a heavy mineral sands processing plant, as the most critical component to optimise end-to-end logistics.
Ark expects market conditions for heavy minerals and rare earth elements extracted from HMS placer deposits such as Sandy Mitchell to remain robust.
On-site loading operations for high-quality mineral sands products at the Currumbin Minerals facility.
Currumbin Minerals has just finished increasing the capacity of its HMS processing plant, which will allow for more mineral extraction. This upgrade has made it the only plant of its kind in Australia.
Ark Executive Director Ben Emery says the goal of this partnership is to reach a Definitive Agreement within a year of signing the MOU.
“This MOU marks the next step in our commercialisation strategy for Sandy Mitchell and reflects the high degree of interest the project has received from development partners and the Queensland mining industry more broadly.
“Currumbin Minerals are best-in-class for the processing and treatment of mineral sands, and the MOU framework has been established jointly with a high degree of cooperation in a way that leverages the respective strengths of both parties.
“In that context, Ark Mines can benefit from Currumbin’s expertise in end-to-end logistics, including transporting raw materials and the potential export and sale of HM and REE concentrate.
“Recent drill results reaffirmed the company’s view that Sandy Mitchell has the potential to develop into one of Australia’s premier REE projects, highlighted by strong mineralisation with simple extraction through beneficiation by gravity processing.”
ArK is planning to expand exploration and Sandy Mitchell. At the same time, it will work with commercial development experts to optimise downstream processing.
About Currumbin Minerals
Currumbin Minerals is a company established in Queensland, Australia, in 1948. They have been involved in heavy mineral sand production for over 70 years and are still owned and operated by the Neumann Family. They provide specialised, high-quality mineral sand products, such as Zircon, Rutile, Ilmenite and Monazite (Rare Earth), to domestic and overseas customers.
About Ark Mines Limited
Ark Mines is an ASX-listed Australian mineral exploration company focused on developing its 100% owned projects located in the prolific Mt Garnet and Greenvale mineral fields of Northern Queensland.
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