Since 2018, tungsten has been designated and managed as a crucial mineral by the US authorities, as its rival China dominates over 80% of the metallic’s provide chain. Nonetheless, the US has not commercially mined tungsten since 2015, in keeping with USGS data.
Throughout the go to, the researchers carried out an intensive evaluate of the progress made within the resumption of tungsten focus manufacturing, the event of the underground galleries, the processing plant below development, and of the deliberate tungsten oxide plant, Almonty mentioned.
The go to, mentioned the Canadian miner, represents a “vital milestone” within the resurgence of Korea’s place as a key participant within the world tungsten market, as a resumption of the corporate’s Sangdong mine which might “considerably mitigate” the Western world’s dependence on tungsten produced inside China.
Positioned within the northeastern province of Gangwon, Sangdong had been spearheading the economic system within the post-Korean Struggle many years, contributing greater than 50% of the nation’s export income. The mine closed within the Nineties primarily on account of low commodity costs.
The deposit is alleged to host one of many largest tungsten sources on the earth, together with one of many highest grades. Whole reserves are measured at 7.9 million tonnes averaging 0.47% tungsten oxide (WO3), for 3.7 million contained metric ton models.
Sangdong mine
Since buying the undertaking in 2015, Almonty has beforehand pledged to spend no less than $120 million to reopen the Sangdong mine, which can happen in two phases.
The primary part will common 2,300 mtu of WO3 manufacturing yearly. The second part growth, which features a tungsten oxide plant, would roughly double that output per 12 months. Each phases are anticipated to price $217 million.
Commissioning is focused for late 2024, with one other 12 years of ramp-up to full manufacturing. As soon as full, it has the potential to supply over half of the world’s tungsten, Almonty mentioned.
The totally permitted mine has a possible lifetime of no less than 90 years, however may even run for 100-plus years, CEO Lewis Black instructed the Korea Herald earlier this 12 months. “Sangdong can be a major producer and it is going to be by far the most important producer exterior of China,” he mentioned within the interview.
The operation would additionally boast the best restoration fee at 85% and the bottom price at $110/mtu, which is roughly half of China’s common, the corporate mentioned. In response to Black, the common high quality of the Sangdong mine is 0.45-0.5%, the best degree and greater than 2.5 instances the worldwide common, whereas the common high quality of a Chinese language tungsten mine is 0.18%.
In its press launch this week, Almonty mentioned additional growth of the Sangdong processing plant and the completion of the tungsten oxide plant in Yeongwol is projected to supply 4,000 tons of tungsten oxide yearly, with a purity degree of 99.99%. By comparability, world tungsten manufacturing is roughly 98,000 tons per 12 months, about half of which is consumed in China, it cited.
As well as, the USGS is predicted to make “a major replace” on the corporate’s Sangdong mine in its 2025 report, due out throughout the first quarter of 2025, the corporate added.