Butcherbird Stage 2 manganese expansion project, Australia

28th June 2024 By: Sheila Barradas - Creamer Media Research Coordinator & Senior Deputy Editor

Butcherbird Stage 2 manganese expansion project, Australia

Name of the Project
Butcherbird Stage 2 manganese expansion project.

Location
The project comprises eight known manganese mineral resources in an estimated 600 km2 of the southern Pilbara region, in Western 
Australia.

Project Owner/s
Manganese developer Element 25 (E25).

Project Description
A feasibility study completed in January 2024 to investigate the potential to expand the production of manganese concentrate demonstrated strong economics with robust economic returns and rapid capital payback.

The study proposes an expansion to 1.1-million tonnes a year of manganese concentrate production over a 7.2-year mine life using expanded opencut mining methods, a modified primary comminution circuit and a dense-media separation (DMS) back-end solution to optimise grade and recoveries.

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 A$228-million and an internal rate of return of 113%, with a payback of 1.2 years.

Capital Expenditure
A$49.8-million.

Planned Start/End Date
The total time required for project delivery from contract signature to the start of commissioning is estimated at 11 months from the final investment decision, followed by a two-month commissioning period.

Latest Developments
Engineering and procurement activities are under way.

Negotiations are also under way with current offtake partners and other industry players.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Element25, tel +61 8 6375 2525 or email admin@e25.com.au.