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Firebird Metals Ltd (ASX:FRB) has ticked off two of the three essential permits required for the construction and operation of its battery-grade manganese sulfate plant in China, with work to begin on the project after a Final Investment Decision expected at the end of this year.
Today, Firebird told investors it had received the Environmental permit and is anticipating the final one – for Energy – to be received in the following weeks. The quick delivery of both appear to show confidence in the project within the government of Jinshi, where the plant will be located.
A key issue behind the awarding of the Environmental Permit was the project’s zero waste program, and Firebird’s ability to demonstrate the environmental benefits of operating within circular industries in China.
For example, the company entered into Memorandums of Understanding (MOUs) with several cement companies to supply them with leach residue from the plant which could then be used within cement production. This formed part of the Permit’s Environment Impact Assessment.
Following the receipt of an Energy Permit for the plant, the company will progress to FID – expected in the fourth quarter of 2024, with construction to kick off shortly afterwards. This is anticipated to take between 12 and 15 months, meaning that operation should commence in late 2025.
Firebird Managing Director Peter Allen said the timely achievement of these steps had built confidence in the overall veracity of the project.
“We continue to execute steadfastly on our vision and set the platform for Firebird to become a near-term low-cost high-purity manganese sulphate producer,” he said.
“We have now been awarded two of the three critical permits required for the Company to
complete construction of the plant and commence stage-one operations.
“The speed at which the Company is progressing in China is testament to the significant levels of support we have had and continue to receive from the Jinshi Government and we look forward to receiving the Energy Permit in the coming weeks.
“Firebird is in the most exciting position the Company has ever been in since listing in 2021, as we look to progress and finalise offtake discussions, make a final investment
decision in late Q4 and work toward starting production in late 2025.”
Firebird has been trading flat at 10.5 cents.
