The demonstration pilot plant has been crucial in Alkane Resources’ bid to launch the $1 billion Dubbo Zirconia Project (DZP) based on a world-class resource of zirconium, hafnium, niobium, tantalum, yttrium and rare earth metals at Toongi, 25 kilometres south of Dubbo. 

Assessment of the environmental impact statement for the DZP by the NSW Department of Planning and Infrastructure is currently under way with Alkane Resources’ wholly-owned subsidiary Australian Zirconia Limited hoping to begin pre-construction work in the second half of this year.

The department will make a recommendation to the Independent Planning Assessment Commission which will decide whether to approve the DZP.

Minister Roberts noted the “world-class” nature of the DZP during the tour of the ANSTO Lucas Heights campus this week.

A federal government agency, ANSTO has built a minerals research centre in the past two decades to service the minerals industry.

About 70 staff offer expertise in fields including chemical engineering, chemistry, metallurgy and mineralogy.

The DZP demonstration pilot plant was commissioned at the ANSTO facility in 2008 after Alkane Resources received a $3.3 million federal grant to help get it up and running.

Using ore from Toongi, it has refined production processes and provided samples that Alkane Resources has used to negotiate off-take commitments.

The minister praised both Alkane Resources and ANSTO after being briefed on the DZP and inspecting the demonstration pilot plant.

“This world class project not only demonstrates our capacity to support the development of significant resources, but also to value-add to those products, ensuring skills and hi-tech investment are created and retained here in our state,” he said.

General manager of ANSTO Minerals Dr Robert Gee said before any company could make a substantial investment in rare earths extraction, it needed to optimise and demonstrate the process to be applied.

“This is where the minerals group of ANSTO apply their broad expertise, including roasting, leaching, solvent extraction and waste management,” he said.

“It is anticipated that study in this area will open up opportunities not only for a new, world-class, supply of rare metals and rare earths, but also for jobs in NSW in a growing, high-tech part of the mining industry.” 

At the end of January Alkane Resources revealed that the demonstration pilot plant was still in action and a new zirconia product had been developed.

“Development and optimisation for the DZP is continuing at the demonstration plant at ANSTO in Sydney and at the AML (Allied Minerals Laboratories) in Perth, and a yttria-stabilised zirconia product was successfully produced, adding value to the zirconium product suite,” a company spokeswoman said.

DZP products, such as zirconium, niobium and rare earths, are required for advanced and green technology.