Join our daily newsletter At The Bell to receive exclusive market insights
- Perpetual Resources (PEC) begins a scoping study at the Beharra Project to analyse the economics of a direct-shipping-ore (DSO) production scenario
- This work is being undertaken following interest received from a current offtake partner who has begun their own analysis on processed sand products
- This work concluded that the sand product can achieve materially lower iron oxide content compared to the levels reported in the pre-feasibility study
- Perpetual’s DSO scoping study is expected to take 10 to 12 weeks to complete and once finished it will form the basis for more formal negotiations
- Perpetual shares are trading four per cent up at 13 cents each at 2:31 pm AEST
Perpetual Resources (PEC) has begun a scoping study at the Beharra Project to analyse the economics of a direct-shipping-ore (DSO) production scenario.
The Beharra Project lies around 300 kilometres north of Perth and covers an area of 49 square kilometres.
This work is being undertaken following interest received from a current offtake partner who has begun their own analysis on the processed sand products.
This work concluded that the sand product can achieve materially lower iron oxide content compared to the 276 parts per million (ppm) iron oxide levels reported in the Beharra pre-feasibility (PFS) study.
Perpetual’s DSO scoping study is expected to take 10 to 12 weeks to complete and once completed it will form the basis for more formal negotiations.
The study will be undertaken and managed by Allied Project Development which undertook the project management role for the Beharra PFS study.
Executive Chairman Julian Babarczy commented on the commencement of the scoping study.
“It is very pleasing to have received such strong interest in Beharra silica sand products from our various offtake partners, with initial testing by all parties resulting in strong confirmation as to Beharra’s high quality,” Mr Babarczy said.
“This DSO initiative is particularly exciting for Perpetual, as it holds potential to unlock a low capital production scenario that takes advantage of the strong market dynamics and demand for high quality silica sand that currently exist in the market.”
Perpetual shares are trading four per cent up at 13 cents each at 2:31 pm AEST.
