In This Article:
Highlights
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A$5M grant will support work to identify potential lower capital and shorter implementation pathways to rare earth production at the Dubbo Project
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Grant is part of the Australian Federal Government's International Partnerships in Critical Minerals Program
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Award recognises ASM's growing strategic importance in building international critical mineral supply chain opportunities
PERTH, Australia, Oct. 15, 2024 /PRNewswire/ -- Australian Strategic Materials Limited (ASM or the Company) (ASX:ASM) is pleased to advise that it has been awarded A$5 million under the Australian Federal Government's International Partnerships in Critical Minerals (IPCM) Program. The grant funding will be matched by ASM and used to support work to identify potential lower capital and shorter implementation pathways to rare earth production (RE Options Assessment and Pilot Program) at the Company's Dubbo Project in New South Wales. The RE Options Assessment and Pilot Program will be undertaken as a precursor to the Front-End Engineering Design (FEED) services contract awarded to US-owned Bechtel Mining and Metals Inc. (Bechtel) in March 2024[1].
The Dubbo Project is ASM's cornerstone critical minerals deposit which will produce a range of rare earth and critical mineral oxides essential to the global energy transition. The IPCM Program was launched in February 2024 to provide critical minerals businesses funding to grow end-to-end supply chains with Australia's international partners.
In a media release, Minister for Resources the Hon Madeleine King MP, said: "Government support to refine rare earths is important for our sovereign capabilities and will help our trading partners meet their economic, national security and emission reduction commitments."[2]
The RE Options Assessment and Pilot Program will enable ASM to identify alternative, capital efficient and nearer term options for producing rare earth elements at the Dubbo Project before commencing the FEED services contract and undertaking an updated feasibility study on the construction and operation of the Dubbo Project. The RE Options Assessment and Pilot Program will involve engineering, sampling, metallurgical testing and a pilot program at ASM's pilot facility located at ANSTO, New South Wales. ASM will be working with international partners, DRA Global and Stantec, as well as local service providers Mining One and Core Metallurgy to deliver this program. These activities are critical to ASM progressing key funding activities and taking final investment decision (FID) on the Dubbo Project which is targeted for the first half of 2026.