Blackstone Minerals has locked in Tier 1 engineering, mineral processing and metallurgical consultants Wood and ALS to perform critical roles in the delivery of a definitive feasibility study at its Ta Khoa nickel refinery in Vietnam. The consultants will aim to provide project management, engineering, cost estimation, execution planning services and hydrometallurgical testing for the Ta Khoa nickel refinery.
The Ta Khoa Nickel-Copper-Platinum group element project is located 160 kilometres west of Hanoi in the Son La Province of Vietnam and already houses a modern, internationally designed, 450,000 tonne per annum mining plant that successfully processed nickel from 2013-2016.
Whilst Blackstone is looking to restart mining at the project, it is also looking to build a downstream processing plant or “refinery” that is capable of processing ore from the proposed mine and also from third party nickel miners.
Wood is the lead engineering consultant for the Ta Khoa refinery DFS and is recognised as a leading hydrometallurgical group in the industry with vast experience in the project delivery of pressure oxidation technology relevant to the TA Khoa refinery. The company has experience delivering results throughout South-East Asia and has a thorough understanding of the Vietnamese compliance regulations from its Vietnamese office location.
ALS is a global leader in metallurgical testing and has been selected due to its vast experience completing numerous other hydrometallurgical piloting campaigns similar to the requirements for the Ta Khoa refinery. The company is considered a leader in providing laboratory testing, inspection, certification and verification solutions. ALS will perform pilot test work and conduct a peer review on the pre-feasibility study process flow sheet, including bench scale confirmatory test work to confirm pilot plant operating parameters ahead of piloting.
Based on a pre-feasibility study undertaken earlier in the year, the Ta Khao nickel refinery is expected to have a 10-year project life and will produce US$14 billion in revenue over the 10-year period. Free cash flow per year is estimated to be US$ 365 million with an internal rate of return of 98 per cent.
The refinery is expected to make pre-curser products to lithium batteries and Blackstone has partnered with the largest cathode manufacturer in the world, Echo Probe, who will buy the downstream refined nickel product.
Blackstone Minerals Managing Director Scott Williamson said: “Blackstone is confident in delivering a DFS that boasts the highest technical rigour, ready by the middle of next year to align with critical financing milestones including supply and customer offtakes, as well as debt financing.”
Blackstone has an extensive existing mineral inventory from its Ban Phuc disseminated nickel sulphide deposit nearby and holds the exploration rights at the Ban Chang, King Snake, Ta Cuong and Ban Khoa nickel prospects. Through the amalgamation of these projects in conjunction with receiving additional third-party concentrate, Blackstone looks to be in a good position to feed the Ta Khao refinery for many years to come.
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