Blackstone Minerals

Blackstone Update on Refinery Byproduct Offtake Strategy

Blackstone Minerals Limited (ASX: BSX) (“Blackstone” or the “Company”) is pleased to announce an update to its recent refinery byproduct offtake MOU announcement.


KEY POINTS

  • Blackstone Minerals Limited (“Blackstone” or the “Company”) has progressed the Ta Khoa Refinery (“TKR” or “Project”) byproduct offtake strategy (refer ASX announcement 21 December 2023). The Company has signed a non-binding Memorandum of Understanding (“MOU”) with three Vietnamese companies to sell Ta Khoa Refinery byproducts, being manganese sulphate (or epsomite) and sodium sulphate. The identified companies include Vietnam Chemical Group (“VinaChem”), PV Chemical and Equipment Corporation (“PVChem”) and Nam Phong Green Joint Stock Company (“Nam Phong”);
  • The offtake arrangements would create a pathway for Ta Khoa Refinery byproducts to enter the market as well as significantly improve revenues for the Ta Khoa Project, thus improving project financial credentials and operating costs (net of byproduct credits);
  • The identified companies are also chemical suppliers, capable of suppling the necessary reagents to the Ta Khoa Refinery to convert nickel sulphide concentrate (and other intermediate products) into precursor cathode active material (“pCAM”) NCM811;
  • Blackstone has signed a non-binding MOU with Development for Resources Environmental Technology Joint Stock Company (“DRET”) to investigate opportunities to repurpose and trade waste material (or residue) from the Ta Khoa Refinery into construction material products;
  • Execution of residue offtake agreement/s will yield significant cost savings for the Project as it will reduce capex associated with on site storage requirements and improve revenue.

For a video summary of the announcement head to the Blackstone Investor Hub

https://investorhub.blackstoneminerals.com.au/link/4PK1xe

Byproduct Offtake & Reagent Supply Agreements

The Company has signed non-binding MOUs with three Vietnamese companies to develop opportunities to trade byproducts produced from its Vietnamese Ta Khoa Refinery.

The refinery will produce three different byproducts, these are:

  • copper cathode (LME grade),
  • magnesium sulphate in the form of epsomite,
  • sodium sulphate.
Although copper cathode can be sold directly on the London Metal Exchange (“LME”), buyers of epsomite and sodium sulphate need to be identified locally. Blackstone has entered into non-binding MOUs with chemical companies/traders being, VinaChem, PVChem and Nam Phong, who are interested in the purchase of both the epsomite and sodium sulphate byproducts.

The TKR prefeasibility study did not consider epsomite and sodium sulphate as ‘cash generating’. The inclusion of epsomite and sodium sulphate as a saleable byproduct will improve revenues for the TKR DFS, thus improving project financial credentials and operating costs (net of byproduct credits).

The engaged companies will use TKR byproducts to produce products such as fertiliser, detergents, construction materials and other chemical products. These products are then used in Vietnamese and global industries such as, but not limited to, agriculture, construction, industrial cleaning products, medical, textile, chemical, paper and glass manufacture.

Importantly, the engaged companies can take the full amount produced by the refinery. The Companies confirmed the byproduct volumes produced from the refinery are only a small portion of what is currently being imported into Vietnam, demonstrating offtake security. Blackstone believes it has a competitive advantage to displace the imported epsomite and sodium sulphate products given its location within Vietnam.


Click here for the full ASX Release

This article includes content from Blackstone Minerals, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.

BSX:AU
Blackstone Minerals

Blackstone Minerals Investor Kit

  • Corporate info
  • Insights
  • Growth strategies
  • Upcoming projects

GET YOUR FREE INVESTOR KIT

The Conversation (0)
Blackstone Minerals

Blackstone Minerals


Keep reading...Show less
Diagonal rows of nickel rolls.

Top 3 ASX Nickel Stocks of 2024

With its diverse applications in both technology and industry, nickel is a metal that will never go out of style.

Nickel is commonly used in alloys to create stainless steel, but more recently has found a modern use: batteries. As the electric vehicle trend gains steam, the base metal is in high demand for its role in lithium-ion batteries.

Nickel has encountered much volatility in the past few years. Prices spiked abruptly to a record US$100,000 per tonne in March 2022, prompting the suspension of trading on the London Metal Exchange.

Keep reading...Show less
Blackstone Minerals

Funds Received from Partial Sale of Codrus Shares

Blackstone Minerals Limited (ASX: BSX) (“Blackstone” or the “Company”) is pleased to announce that it has received A$0.9 million from the sale of 25 million Codrus Minerals Limited (ASX: CDR) (“Codrus”) shares through broker facilitated off market transfers.

Keep reading...Show less
Price chart with "nickel" overlay.

Nickel Price Update: Q1 2024 in Review

At the start of the year, experts were predicting that nickel prices would be rangebound in 2024.

With the first quarter in the books, that story seems to largely be playing out. After opening the year at US$16,600 per metric ton (MT) on January 2, nickel was stable during January and February. However, March brought volatility to the sector, with strong gains pushing the base metal to a quarterly high of US$18,165 on March 13.

Nickel's price rise failed to hold, and it once again dropped below the US$17,000 mark by the end of the month. Ultimately, the metal fell to US$16,565 on March 28, resulting in a slight loss for the quarter.

Keep reading...Show less
Ramp Metals CEO Jordan Black.

Ramp Metals CEO Shares 2024 Drill Plans for Rottenstone Project in Saskatchewan

Ramp Metals (TSXV:RAMP) CEO Jordan Black discussed the company's veteran team of geologists and advisors, and its plans for drilling at its Rottenstone SW nickel-copper-platinum project in Northern Saskatchewan, Canada, to better understand the property’s subsurface geology.

The project's Rottenstone Eye structure is believed to be a major feeder chamber with conductive targets showing striking similarities to the geophysical response of the Nova-Bollinger deposit in Western Australia, which was discovered by geologist Dr. Mark Bennett and his team and later sold for AU$1.8 billion.

After Ramp discovered the similarities between the Rottenstone Eye and the Nova Eye structure at Nova-Bollinger, the company contacted Bennett to get his thoughts about its project. Bennett joined the team as a strategic advisor.

Keep reading...Show less
Pivotal Metals

MT Survey Outlines Large Undrilled Conductive Anomalies and an Extensive Host Horizon at BAGB

Pivotal Metals Limited (ASX:PVT) (‘Pivotal’ or the ‘Company’) is pleased to provide results and interpretation from the magnetotelluric (“MT”) survey conducted across the Alotta and Midrim areas of its 100% owned Belleterre Angliers Greenstone Belt “BAGB” projects in Quebec, Canada.

Keep reading...Show less
Blackstone Minerals

Blackstone Minerals Investor Kit

  • Corporate info
  • Insights
  • Growth strategies
  • Upcoming projects

GET YOUR FREE INVESTOR KIT

Latest Press Releases

Related News

×