Jangada Mines PLC (AIM:JAN) has highlighted an additional opportunity at the Pitombeiras ferrovanadium project, in Brazil, where consultant GE21 sees potential to add value through the extraction of titanium dioxide as well as the primary direct-shipping ore operation envisaged in the ongoing feasibility study.
GE21 has completed all aspects of the feasibility scope except the chapter relating to project economics and it recommends the additional route for the project.
According to Jangada, the ability to extract the TiO2 could increase the positive impact on the long-term value of the project. For context, Pitombeiras is estimated to host some 5.7mln tonnes of resource with 0.51% vanadium pentoxide, 50.42% ferric oxide and 10.09% titanium dioxide.
Jangada, meanwhile, noted rising demand for TiO2 due to its increasing use in renewable energy technologies including electric batteries, as well as the decline in the iron ore price since the publication of the pre-feasibility study – and concludes that it is prudent to invest further in the evaluation of the project’s TiO2 component.
The company now expects the expanded feasibility study to complete in the first quarter of 2022.
“As the FS reaches finalisation, it is very encouraging to confirm we have no technical or geological impediments to proceeding,” said executive chairman Brian McMaster.
“The economics of the project are, as expected, dependant on the commodity process and the extraction of the right commodity basket.”
McMaster added: “We are becoming increasingly linked to the positive battery metal market dynamics: we are invested in Fodere Titanium Group, which has developed innovative commercial processes to extract titanium dioxide, vanadium pentoxide and other valuable products from low-grade ores and waste stockpiles; and we are coming across other development opportunities in the sector that have the potential to be synergistic and value accretive.”
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