Member Info for SussexEngineer

DW,
Use the google translate app "camera" for the written description elements, at the bottom of the screen and try your best with the app "conversation" when the presenter is talking. You have to break it into manageable chunks.

I am guessing that they are going to use the under utilised Arupua facility to handle, produce and package the material. A sensible approach, as long as there is margin in transporting the commodity 168km across the dreadful deep rutted roads in Minas Gerais.

Good to see that the management are looking at the long term viability of production, by searching out new sources of ore. We all know that copper is a critical commodity, as we progress to a greener economy. There is also a medium to long term shortage of mining deposits and it takes significant time, money and regulations to establish even the ones that are viable. We have an established operation, with a finite life span and feeding that operation in 15 years time is a sensible approach. Now it might be that these potential mining resources are better than the ones we are presently extracting whereupon our Ebitda will improve further.

If you want the actual South African process flow diagram and specifically page 12 of 19, on the pdf. It is the actual Sasol Phalaborwa process:

https://reader.elsevier.com/reader/sd/pii/S0892687513003452?token=05388402A9ADB8C0D01994EB5D891EADCEC760C50E6A347CAC604593C3DF62B8FCE4B41E7A8832E49A5BBE799E6B3501&originRegion=eu-west-1&originCreation=20210525084740

The mixed carbonates enter the calcination and then exit as mixed oxides (TREO). So in simple terms the answer is A.

Nicodemus,

Carbonates can be converted to oxides by calcination. Usually a simple process of passing the material in a rotary kiln, at elevated temperatures to form carbon dioxide and leaving the base material as an oxide.

The remaining product is a mixed bag of rare earth oxides. The refining is splitting those various elemental oxides into specific oxides. That is where the Chinese come in (or MP/PRE et al.).

Here is the article on the US statement:

https://sanantonioreport.org/hondo-texas-lynas-rare-earths/

Here is what Lynas potentially plans to do to sort out the problem, with a facility in Western Australia:

https://www.abc.net.au/news/2020-08-10/lynas-building-rare-earth-processing-plant-kalgoorlie/12354150

PoD,

It is not so much a shipping issue as a receiving country concern. If you read through some of the Lynas contract documents on the proposed Texas facility, they have to clean up the rare earth oxide concentrate before it is imported into the USA. This is probably true for other western countries. This is another pointer towards the planned recipient being the USA or Europe, rather than China.

Mr ST,

Thank you so much for these articles. Very informative and the one from the "Burundi Forum" sheds more light on why the government took the drastic steps to cease exports. The other from "Techtoday Newspaper" is very encouraging on the restoration of operations on or before 17 May. I wished RBW had sent an RNS to confirm this, it would have put investors minds at rest. George Bennett has stepped up to lead the operations and I guess address the problems encountered.

It is very interesting that "Burundi Forum" have a different take on Gilbert Midende's demise, to that of "Techtoday Newspaper". The reaction of the Burundi government points to the former being the more likely cause.

The management will be waiting on the outcome of the Astor legal case, in the summer, before reviewing dividends. The priority will be exploring and exploiting new deposits, though there should be enough money for both.

Here is the Air India article. It shows Cairn have the fight in them to progress with the injustice.

https://www.reuters.com/business/finance/cairn-energy-sues-air-india-enforce-12-bln-arbitration-award-court-filing-2021-05-15/

Generally it is easy to turn a carbonate to an oxide by passing through a calciner/kiln/furnace. Think cement industry.

XCO3 -------> XO + CO2

Tornadotony,

Thank you for this. This had slipped through the net but I note the connection with this and the Estonia facility, in terms of supply and technology:

https://cen.acs.org/energy/energy-storage-/US-rare-earths-make-stop/99/i8

Nicodemus,

Lynas have a processing plant in Malaysia, fed from their operation in Australia. There is a small refining operation in Estonia. MP are rebuilding the plant in the US, Lynas are to build a new site in Texas and Pensana are building a refiner in Hull, UK.

This goes along way to answering my question, from an earlier RNS, why was RBW erecting the process plant in South Africa, miles away from the ore in Gakara? I did raise the geopolitical risk, as well as the skilled workforce, at the time as a potential factor but I thought at that time moving ore across to Tanzania, onto ships and up into South Africa as a little inefficient but clearly the BoD are far more astute than I gave them credit for.
In the short term we need to be mindful that China controls the refining business and there are very few buyers that we can turn to. In the medium to long term all bets are off with MP, Lynas and even Pensana to come on stream.
On the back of this I have taken the opportunity to add a significant RBW investment, at what I see to be a discounted share price.

Ziquart,
Keep to metaphors and avoid the maths! 0.00275>0.00058, so has risen.

Late last year George Bennett hoped that Gakara would break even in Q1 2021. Maybe they are waiting for April to disclose whether they have achieved this key milestone. If they do, then it de-risks this company further. I am actually envisaging an operational profit, based on the increase in commodity prices. Patience is key.

At least I am not Sus***Engineer. Thank goodness for small blessings.

Niocodemus,

Your sentiment may be correct but your facts are not. The Cumbria mine is for coking coal not thermal coal and this is what the green lobby are deliberately misleading the population on. At the moment Tata/British Steel are importing this coal half way round the world, burning heavy fuel oil, to ship the raw material for making steel. It is much better for the environment to extract the coal in the UK and transport it to Port Talbot and S****horpe.

Perhaps Stevie can't see that?