Medallion Resources Ltd. (TSXV:MDL, OTCQX:MLLOF), today reported that the first phase of its advanced process test-work to extract rare-earth elements (REE) from monazite sand has yielded positive results.
“This phase has provided analysis of a potential new monazite feedstock supply and dissolution under different acids,” said Don Lay, President and CEO of Medallion. “We’re pleased with the feedstock make-up and have solidified our choice of acid format. We are now in a position to move forward with process optimization work.”
Subsequent phases on the flow-sheet development, undertaken by the Saskatchewan Research Council, will lead to new mixed REE concentrate samples for delivery to REE refining groups − a necessary step to qualify the concentrate for commercial use. The Company is pleased to note the continued and growing interest in its REE concentrate.
Current industry trends toward increased electric vehicle usage, renewable power generation, and energy efficiency are fueling demand for high-powered and lightweight rare-earth permanent magnets.
Medallion is well positioned to supply these highly valued, magnet-oriented rare earths (neodymium, praseodymium, terbium, and dysprosium) to the market. For example, the monazite-sand feedstock now being tested by the Company contains magnet-oriented rare earths that represent approximately 23.8% of its rare earth mass but an impressive 90.7% of its value.
Market research firm Adamas Intelligence estimated the value of global annual rare-earth oxide demand for the production of rare-earth permanent magnets totaled $1.44 billion in 2016. They forecast an increase in demand for these oxides to $6.07 billion by 2025, a compound annual growth rate of 17.4%. (Source: Adamas Intelligence, Rare Earth Market Outlook: Supply, Demand and Pricing from 2016 through 2025)
About Medallion Resources
Medallion Resources is developing an approach for low-cost, near-term, rare-earth element (REE) production by exploiting monazite. Monazite is a rare-earth phosphate mineral that is widely available as a by-product from mineral sand mining operations. REEs are critical inputs to electric and hybrid vehicles, electronics, imaging systems, wind turbines and strategic defense systems. Medallion is committed to following best practices and accepted international standards in all aspects of mineral transportation, processing and the safe management of waste materials. More about Medallion (TSX-V: MDL; OTCPK: MLLOF; Frankfurt: MRD) can be found at medallionresources.com.
Medallion management takes full responsibility for content and has prepared this news release. Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. Some of the statements contained in this release are forward-looking statements, such as estimates and statements that describe Medallion’s planned process testing and intended feedstock and refining arrangements or other objectives or goals, including words to the effect that Medallion or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties, including the risks inherent in completing laboratory-scale processing tests and applying the results to full-scale production and other risks outlined in the Company’s management discussions and analysis of financial results. Actual results in each case could differ materially from those currently anticipated in these statements. Such risks include expectations that may be raised by discussing potential business, acquisitions or development plans. Also, in order to proceed with Medallion’s plans, additional funding will be necessary and, depending on market conditions, this funding may not be forthcoming on a schedule or on terms that facilitate Medallion’s plans. These forward looking statements are made as of the date of this press release, and, other than as required by applicable securities laws, Medallion disclaims any intent or obligation to update publicly any forward looking statements, whether as a result of new information, future events or results or otherwise.