Latrobe Magnesium (LMG) has awarded a pre-feasibility study (PFS) for its magnesium production plant.

 

Based in Victoria’s Latrobe Valley, the company is developing a 100,000 tonnes per annum magnesium plant using ferro nickel slag as its feedstock.

 

Latrobe will do so by using its patented process to extract and sell magnesium metal and cementitious material from industrial fly ash which is currently a waste resource from Yallourn brown coal power generation.

 

LMG expects to sign a binding MoU with this supplier in July 2022. The major terms and conditions have already been agreed between the parties and is now awaiting Board approval.

 

The study has been awarded to Bechtel, a global engineering, construction and project management company, who will support a two-part study to firstly evaluate strategic investment options to maximize value and then secondly to further define the selected option to assist LMG in developing a business case and forward work plan for the Feasibility Study (FS) phase. Upon its completion later this year, the PFS will be disclosed to potential joint venture partners to confirm their interest to participate in the project. LMG has appointed Jasper Consult DMMC, an international consulting firm based in London and Dubai, to identify and assist LMG in making the approach to appropriate potential partners.

 

The PFS study is expected to be completed, in full, by the end of the year.