NioCorp Produces High-Purity (99.9%) Scandium Product That Meets Purity Specifications for All of its Prospective Customers
GlobeNewswire•March 27, 2017
With Elk Creek Feasibility Study Nearly Complete, Company Also Announces That It Expects to Release the Study’s Final Results in the Second Calendar Quarter of 2017
CENTENNIAL, Colo., March 27, 2017 (GLOBE NEWSWIRE) -- NioCorp Developments Ltd. (“NioCorp” or the “Company”) ( NB.TO) ( NIOBF) ( BR3.F) is pleased to announce that it has successfully produced high-purity 99.9% commercial grade Scandium Trioxide (“Scandium”) from its Elk Creek, Nebraska resource and that it has finalized plans for the proposed Scandium purification circuit to be used at its Elk Creek Superalloy Materials Project (the “Project” or “Elk Creek”).
The Company also announced that it anticipates public release of the results of its Elk Creek Feasibility Study in the second calendar quarter of 2017. Following the release of the Feasibility Study, the Company intends to intensify current efforts to secure government permits and obtain project financing and to prepare for the launch of construction operations in Nebraska.
NioCorp’s successful production of a high-purity commercial grade Scandium, conducted at the SGS Mineral Services lab in Lakefield, Ontario, is a major milestone in its plans to become one of the world’s largest producers of this high-value metal. A 99.9% purity level, otherwise known as 3Ns or “three nines” Scandium, meets or exceeds the purity needed for Scandium’s use in virtually all of its mainstream commercial applications, including ultra-high-performance aluminum-scandium alloys for the aerospace, automotive, and other applications, in the solid oxide fuel cell industry, and in other defense and non-defense applications.
NioCorp’s Scandium product meets or exceeds the purity specifications of all potential customers with whom it has been in discussions. The Company will be sending samples of this Scandium product to those and other potential customers shortly.
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" data-reactid="10" content="Independent analysts have estimated that global demand for Scandium as an alloying agent in commercial aviation applications alone is potentially more than 300 tonnes/year, while Scandium demand by the solid oxide fuel cell industry is expected to grow to between 50-100 tonnes/year.1 NioCorp plans to produce 97 tonnes/year from its Elk Creek facility at full production, according to the Company’s October 2015 Preliminary Economic Assessment.">Independent analysts have estimated that global demand for Scandium as an alloying agent in commercial aviation applications alone is potentially more than 300 tonnes/year, while Scandium demand by the solid oxide fuel cell industry is expected to grow to between 50-100 tonnes/year.1 NioCorp plans to produce 97 tonnes/year from its Elk Creek facility at full production, according to the Company’s October 2015 Preliminary Economic Assessment.
“I am very pleased that we have demonstrated the ability to produce a high purity, three-nines Scandium product from our Elk Creek resource, and that we have finalized the approach we will use to produce this very high-purity and high-value commercial product,” said Mark A. Smith, CEO and Executive Chairman of NioCorp. “Except for its final purification steps, Scandium essentially comes along for the ride in our facility as we produce our commercial Niobium product. We believe this fact will enable us to be very competitive in Scandium markets and will provide us with maximum flexibility in terms of when and where to sell our Scandium and at what price.”
Finalizing the planned Scandium purification process at Elk Creek was one of the last major components needed for NioCorp’s Elk Creek Feasibility Study. To date, feasibility study-level engineering design has been completed on the Elk Creek pyrometallurgical plant, mineral processing plant, wastewater treatment plant, and various infrastructure systems. Work continues to progress rapidly on the remaining components needed for the Feasibility Study, which include: (1) materials characterization for impoundment design and mine backfill purposes; (2) final hydrometallurgical engineering; (3) cost estimates from third parties for equipment and systems in the Project; (4) updates to existing market studies for planned commercial products; (5) final CAPEX/OPEX estimates for the Project; and (6) final review of the Feasibility Study prior to release.
The Company issued separately a letter to shareholders updating them on its progress with the Elk Creek Feasibility Study. This communication is available for downloading here and on www.sedar.ca.
“I am very pleased that, after a lot of hard work by Scott Honan and his very capable team, NioCorp is on track to complete a Feasibility Study analysis years faster than many other mining companies typically do,” Mark Smith said. “The extra time and attention we elected to invest in the Elk Creek Feasibility Study already have delivered substantial potential benefits to the Project, including a significant reduction in our environmental footprint, an enhanced ability to produce useful production reagents from material that was once planned for disposal in our tailings facility, the elimination of a costly railroad spur line, and a very significant de-risking of the Project from a permitting perspective. I very much look forward to detailing the results of the Feasibility Study once its final work elements are completed.”
<p class="canvas-atom canvas-text Mb(1.0em) Mb(0)--sm Mt(0.8em)--sm" type="text" data-reactid="19" content="1 Source: Scandium Market Assessment, OnG Commodities LLC, Belmont, MA 2015">1 Source: Scandium Market Assessment, OnG Commodities LLC, Belmont, MA 2015
On Behalf of the Board of Directors,
"Mark Smith”
Mark Smith
Executive Chairman, CEO, and Director |
