Reserves of Russia's Afrikanda rare earth metals deposit to be added to balance sheet in 2025 - project operator
MURMANSK. March 13 (Interfax) - The operator developing the central section of the Afrikanda rare earth metals deposit is completing work on reserve assessment, General Director of JSC Arkmineral-Resource Andrei Trenin told Interfax.
JSC Arkmineral-Resource is the project operator.
"Currently, we are finalizing the geological study of the deposit and preparing the feasibility study for conditions and reserve estimation. We plan to add them to the balance sheet this year," Trenin said.
To date, Arkmineral-Resource has developed the main technical solutions for the quarry, tailings storage facility, infrastructure facilities and the mining and processing plant.
"We also have the technical regulations for ore enrichment ready. Simultaneously, we are improving the hydrometallurgical technology for processing perovskite concentrate to obtain the main products - titanium dioxide, niobium, tantalum and rare earth metals," he said.
It is planned that design work will begin this year, with the Main State Expertise to be completed in 2026-2027, after which construction will commence.
The capital expenditures for the project are still estimated at 28.3 billion rubles, Trenin said. The company intends to attract project financing and join the Capital of the Arctic advanced development territory.
"We consider VEB.RF to be one of the key development institutions that can organize financing for the project. We are also working with other banks," he said.
In 2020, Arkmineral-Resource won the auction held by Sevzapnedra for the right to conduct geological exploration, prospecting and mining of perovskite-titanomagnetite ores at the central section of the Afrikanda rare earth metals deposit. The projected resources are estimated at 70.7 million tonnes of P1 category ore, including 6.7 million tonnes of titanium dioxide (in perovskite). The projected P2 category resources for niobium oxide (Nb2O5) are estimated at 108,900 tonnes, and for other associated components at 345,800 tonnes.
The company plans to produce perovskite concentrate, titanium dioxide, rare earth concentrate and pentoxides of niobium and tantalum.
However, a condition of the obtained license is the relocation of a nearby military facility. The work is estimated to cost 2.5-3 billion rubles.
The Finance Ministry has proposed assigning responsibility for covering the relocation costs to the investor, Trenin said during a roundtable in the Federation Council in February.