- Queensland Pacific Metals (QPM) has completed a second pilot plant campaign to develop the Townsville Energy Chemicals Hub (TECH) Project
- The campaign proved the environmentally friendly and cost-efficient direct nickel process can be applied to extract metals from representative ore
- Over the two campaigns, 14 dry tonnes of ore have been processed, yielding high-grade products with low impurities
- QPM has therefore chosen to undertake a definitive feasibility study (DFS) for the TECH Project
- Moving forward, the company will select an engineering contractor, prepare and send product samples to off-takers and evaluate potential improvements for the DFS
- QPM is up 9.84 per cent and shares are trading at 6.7 cents
Queensland Pacific Metals (QPM) has completed its second pilot plant campaign for the development of the Townsville Energy Chemicals Hub (TECH) Project.
QPM has been undertaking test work focused on the direct nickel process (also known as DNi Process) and its application to representative ore sourced from QPM’s ore supply partners, Societe des Mines de la Tontouta (SMT) and Societe Miniere Georges Montagnat S.A.R.L.
The DNi Process is described as an environmentally friendly and cost-efficient process for extracting metals from laterite ores.
Across the two campaigns, 14 dry tonnes of ore have been processed, yielding nickel-cobalt mixed hydroxide precipitate (MHP), co-products and leach residue.
Pleasingly, the pilot plant test work has shown the DNi Process can successfully be applied to representative ore which QPM plans to process at the TECH Project. There weren’t any fatal flaws identified, which gives the company the confidence to proceed to a definitive feasibility study (DFS) for the TECH Project.
Notably, ore leach performance exceeded QPM’s expectations with 98.7 per cent nickel extraction, 96 per cent cobalt extraction and 95.3 per cent iron extraction.
Test work also confirmed the TECH Project won’t require a tailings dam to store residue from ore processing which makes it more sustainable and less expensive.
Additionally, iron precipitation yielded a high-grade 61.6 per cent iron hematite product which is low in aluminium, silica and phosphorus impurities. The hematite product will now be tested as blast furnace feed for steel making.
“Overall, the pilot test work has been a success, delivering on key outcomes and also identifying potential areas of improvement which will be incorporated into the DFS. We are now ready to select an engineering contractor with which to undertake the DFS,” CEO Stephen Grocott said.
In addition to selecting an engineering contractor, QPM will now conduct further test work of the pilot plant products, prepare and distribute samples to offtake parties, collect data for the DFS, and evaluate potential flowsheet improvements.
QPM is up 9.84 per cent and shares are trading at 6.7 cents at 10:45 am AEDT.