Ionic Rare Earths Ltd (ASX:IXR, OTC:IXRRF) is approved to start work on a heap desorption demonstration plant at its Makuutu rare earths mine site in Uganda.
Early works are underway on the pivotal demonstration plant, which is designed to validate and optimise findings from Makuutu’s stage one definitive feasibility study (DFS).
A dedicated technical team has been assembled in Uganda to drive demonstration activity, working closely with the technical team in Australia, and further appointments will be made
Ionic is building permanent metallurgical and analytical labs on-site — the first step in its two-part construction program to de-risk the project’s development.
Phase one should be operational by Q3 this year, while commercial quantities of mixed rare earth carbonate (MREC) are anticipated later in 2023.
“Essential next step”
As work continues at Makuutu, Ionic Rare Earths managing director Tim Harrison said the rare earths asset would be Uganda’s flagship long-life mine.
“The commencement of the demonstration plant construction at Makuutu, plus approval to proceed granted by the MEMD in Uganda, represents an exciting milestone for the project and the company,” he stated.
“The process of de-risking the operation and providing MREC samples is essential to the next stage of attracting supply chain partners and moving towards a final investment decision on the positive outcome of the demonstration plant.
“With the Makuutu stage one DFS now completed, and MLA progressing in Uganda, the support from the Ugandan Ministry of Energy and Mineral Development to approve progressing to the next step is a positive signal, as well their commitment to sustaining an enabling environment and continued support for the development of the Makuutu Rare Earths Project.
"We expect that as we progress through Q2, we will continue to receive positive support on the application, and greater definition on the role Makuutu will play in establishing a heavy rare earths supply opportunity to western end users.”
Two-phase development
Ionic’s Makuutu demonstration plant will be one of the first large-scale ionic adsorption technical facilities outside China and represents the initial phase of development at Makuutu.
The facility will consolidate further metallurgical test-work, which will be conducted and signed off by a series of independent competent persons.
The technical facility will also include a nano-filtration test unit, precipitation circuits, drying facilities, additional metallurgical test capabilities, an analytical laboratory and offices and site infrastructure to support the overall demonstration program.
Additional equipment has been ordered and is expected to arrive at the site during this quarter. Meanwhile, a Ugandan construction partner has been contracted to complete initial access roads, site civils and construct the facility.
The second phase of the demonstration plant will consist of a series of 5,000-tonne heap desorption modules, which will cycle through various stages of desorption to eventually produce mixed rare earth carbonate.
It’s hoped this will entice prospective downstream supply chain partners, facilitate offtake and provide feed material to supply Ionic’s own downstream refinery program.