Name of the Project
Ngualla rare earths project.

Location
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.

It has estimated ore reserves of 18.5-million tonnes grading 4.8% total rare-earth oxides (TREOs) for contained TREOs of 887 000 t. Mineral resources are estimated at 214.4-million grading at 2.15% TREOs for 4.61-million tonnes TREOs.

The project has a mine life of about 20 years, based on only ore reserves.

Run-of-mine throughput is estimated at 800 000 t/y dry ore.

Rare-earth ore mined from the Ngualla deposit will be processed through a concentration plant at the mine site. Production is estimated 37 200 t/y of concentrate.

In November 2023, Peak released the results of a front-end engineering design that supports the robust economics for the project.

Net Present Value/Internal Rate of Return
The project has a net present value, at an 8% discount rate, of $982-million and an internal rate of return of 33.8%.

Potential Job Creation
Not stated.

Capital Expenditure
$286.9-million.

Planned Start/End Date
Not stated.

Latest Developments
Peak has announced a capital raising to support its momentum at the project as it advances towards a final investment decision.

The company has received commitments to complete a two-tranche institutional placement for the issue of about 60-million new fully paid ordinary shares to raise A$6-million at an offer price of A$0.10 a share.

Peak’s largest shareholder, Shenghe Resources, has committed to top up its shareholding to 19.9% through the placement.

In July, Peak Rare Earths signed a nonbinding term sheet with Chinese miner Shenghe to support the development and funding of the project. The term sheet proposes Shenghe’s acquiring 50% of the entity that holds an effective 84% of the Ngualla project by subscribing for new shares worth A$96-million.

Key Contracts, Suppliers and Consultants
Wood (project management and bankable feasibility study 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.