Page 166 - CW E-Magazine (15-10-2024)

News from Abroad

PROJECT ECONOMICS
Cobalt Blue Holdings pegs proposed cobalt refinery

project cost at over $40-mn

Australian mineral processing
company, Cobalt Blue Holdings, has
released updated project cost estimates
and revenue analysis for its proposed
Kwinana, Western Australia Cobalt
Refinery (KCR) to support financing
processes and transition to construction.

The study reveals an efficient, sus-
tainable play well-placed to propel the
company into the critical minerals sup-
ply chain as a key Australian player. The Cobalt is used in almost every the highs and lows of the cobalt price
study includes cost estimates for future lithium-ion rechargeable device from cycle.
capacity expansion at what would be smartphones to smartwatches, tablets
Australia’s first cobalt sulphate refinery, to laptops, electric vehicles to solar and The refinery in Kwinana aims to
producing high-quality, battery-grade battery systems in homes. process critical battery metals from third
cobalt sulphate intended for US Inflation party feedstock and Mixed Hydroxide
Reduction Act (IRA) and European Cobalt Blue has estimated an initial Precipitate (MHP) from the company’s
Union (EU) markets. capital cost of A$60-mn (US$41-mn) Broken Hill Cobalt Project.
for Stage One, with an internal rate
The company plans KCR Stage One of return (IRR) of 23%. In addition, it Cobalt Blue has partnered with
capacity at 3,000-tpa cobalt as cobalt is evaluating a Stage Two expansion, Iwatani Australia, a subsidiary of
sulphate and about 500-tpa nickel metal. which would double the refinery’s co- Japan’s Iwatani Corporation, to jointly
Construction is expected to commence balt capacity to 6,000-tpa, at an incre- develop the KCR, through the Japanese
in 1H25, with completion expected mental capital expenditure estimated company’s wholly-owned subsidiary.
within 12 months. These materials will at A$23-mn (US$16-mn). Cobalt Blue Iwatani owns the Doral Fused Materials
supply the growing Precursor Cathode said the update presented a compelling plant in the Kwinana industrial district,
Active Material (pCAM) industry, evaluation of a defensive cobalt and which will be used as the location for
essential for the electric vehicle (EV) nickel refining business that is expected the refinery, leveraging existing infra-
battery supply chain. to generate stable margins throughout structure to reduce development costs.
Liontown ships first spodumene from Western Australia

lithium project

Australian battery materials firm, sale of 10,000-tonnes of uncontracted In addition to the spot and ramped-
Liontown Resources, said it had dis- spodumene concentrate to a Singapore- up sales, Liontown said it would
patched the first shipment of lithium ore based trader, with shipment scheduled subsequently start fulfilling its stra-
spodumene from its Kathleen Valley for early fourth quarter of this year. tegic offtake agreements with LG
project in Western Australia, marking the Energy Solution, Tesla and Ford. The
start of revenue and cash flow genera- Liontown started producing announcement comes as the lithium
tion from its flagship lithium operations. spodumene concentrate at the project market reels from rapid supply growth
in July. Once ramped up, the project that has outpaced strong projections for
The miner also said it had achieved will produce 3-mtpa of spodumene demand amid a slower-than-expected
a premium price for the initial spot concentrate. uptake of electric vehicles.

166 Chemical Weekly October 15, 2024

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