Name of the Project
Wicheeda rare earth element project.

Location
North-east of Prince George, in British Columbia, Canada.

Project Owner/s
Exploration and rare earths development company Defense Metals Corp.

Project Description
Wicheeda is one of the most advanced undeveloped rare earth projects in North America and Europe. The project has proven and probable reserves of 25.46-million tonnes grading 2.43% total rare-earth oxide (TREO), 961 parts per million (ppm) praseodymium oxide, 2 661 ppm neodymium oxide, 11 ppm terbium oxide and 33 ppm dysprosium oxide. The project’s reserves support a 15-year life-of-mine with an average production of 31 900 t/y of TREO in concentrate, yielding about 5 200 t of TREO in a high-value mixed rare-earth carbonate after the removal of cerium and lanthanum.

Mined ore will be crushed at a facility near the pit and transported by conveyor to sustain a 1.8-million-tonne-a-year mill feed to the on-site flotation plant. The plant will produce a high-grade rare earth mineral concentrate averaging 50% TREO. 

Waste rock will be placed in a waste rock storage facility adjacent to the pit.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at an 8% discount rate, of $1.8-billion and an internal rate of return of 24.6%, with after-tax payback of 3.7 years from the start of construction.

Capital Expenditure
Initial capital is estimated at $1.4-billion.

Planned Start/End Date
Not stated.

Latest Developments
Defense Metals announced a letter of interest from Export Development Canada (EDC) on June 5 that could result in up to $250-million in debt financing committed towards project development.

The nonbinding letter positions EDC as a potential mandated lead arranger in the financing structure for the project, which is being advanced as a strategic source of critical minerals for the global clean energy and defence sectors.

Defense Metals completed a prefeasibility study in April, confirming the project’s strong economics and development potential.

Key Contracts, Suppliers and Consultants
Hatch and SRK Consulting (PFS).

Contact Details for Project Information
Defense Metals Corp senior VP, corporate development and interim CFO Alex Heath, tel +1 604 354 2491 or email alex@defensemetals.com.