Rare Earths srx-225 Apr 2013 10:57
Samples from 14 locations in the HTT stream were analysed by SGS. Locations were chosen based on processing methods, the conductivity and radioactivity of processed material, and the chemical properties of REOs.
The distribution of REOs compare well to the deposits of non-Chinese rare earths companies (the "Comparator Group", as defined below) (refer to Figure 1). None of the Comparator Group companies are in commercial production at this stage.
Using the samples tested by SGS and applying current REO prices, the potential value of the total contained REOs in the sampled HTT stream is US$104.2/kg of REO. This value excludes yttrium, lutetium and scandium, for which testing remains ongoing. The US$104.2/kg of REO compares favourably to the Comparator Group, for which the contained value of REOs is US$111.5/kg of REO (refer to figure 2). The REO grade of the HTT samples, as tested independently, is 2.2%, implying a REO value of approximately US$2,258 per tonne of HTT.
Grade of tailings (%) 2.2%
Implied value of REO in SRX sample tailings (US$/tonne)2,258.9
3 Prices as at 25 February 2011 from Metals Pages for all elements except holmium, erbium, ytterbium and lutetium, for which estimates have been taken