Name of the Project
Ngualla rare earths project.

Location
On the Ngualla carbonatite, southern Tanzania.

Project Owner/s
Peak Rare Earths.

Project Description
Ngualla is one of the biggest and highest-grade undeveloped neodymium/praseodymium oxide projects in the world.

The updated bankable feasibility study (BFS), completed in October 2022, estimates ore reserves at 18.5-million tonnes grading 4.8% total rare-earth oxides (TREOs) for contained TREOs of 887000 t.

Rare-earth ore mined from the Ngualla deposit will be processed through a concentration plant, which is co-located at the mine site. Ore will be beneficiated through a milling and two-stage flotation circuit, resulting in a high-grade rare-earth concentrate of about 45% TREOs.

Based on the original BFS, completed in 2017, the updated BFS has decreased the concentrate production from Ngualla from 18 200 t/y of TREO to 16 200 t/y over a 24-year mine life.

Net Present Value/Internal Rate of Return
The BFS update estimates a net present value, at a (real) 8% discount rate, of $1.48-billion and an equity internal rate of return of 37.3%.

Potential Job Creation
Not stated.

Capital Expenditure
$286.9-million.

Planned Start/End Date
With the completion of the BFS update, Peak’s focus will now shift to progressing the Ngualla project towards a final investment decision by the end of May 2023.

Latest Developments
Peak Rare Earths has successfully reduced its capital and operating cost estimates. The project is now forecast to cost 10% less – at $286.9-million – than previous estimates.

The estimated average yearly operating costs have also been lowered by 17.8%, to $76.7-million.

The new cost estimates are contained in a recently completed front-end engineering and design (FEED) study. Peak is now progressing the project towards a final investment decision by June 2024.

Key Contracts, Suppliers and Consultants
Wood (project management and BFS update lead); Oreology Mine Consulting (ore reserve update and mine planning); Knight Piésold Consulting (tailings management and water hydrology); Dhamana Consulting (environmental management); Future Proof (environment, social and governance strategy and reporting); Paulsam Geo-Engineering Company (environmental- and social-impact assessment); Ai (market analysis and pricing outlook; WaterBorne Capital (financial modelling and analysis); and Auralia Metallurgy (metallurgical testing).

Contact Details for Project Information
Peak Rare Earths, tel +61 8 9200 5360 or email info@peakrareearths.com.