ABx Identifies Refractory-Grade Bauxite Deposit in NSW
28 February 2017 by Staff
Australian Bauxite Limited announced yesterday that it has discovered a layer of refractory-grade bauxite ore in the Penrose state forest, fifty-six miles from Port Kembla.
Although ABx has been selling more cement-grade and fertilizer-grade bauxite in recent months, the market for refractory-grade bauxite is lucrative indeed. Such bauxite is used for abrasives and heat-containment applications and can fetch up to five times the price of metallurgical-grade bauxite. Such a discovery has the firm contemplating adding a new revenue stream centered on selling to refractory-grade bauxite buyers.
“In late 2015, the company was granted its long-awaited tenement over Penrose state pine forest which is close to transport infrastructure and suited to quarrying during forest harvest cycles,” explained ABx CEO Ian Levy. “The discovery of a thick layer of high-value refractory-grade bauxite is a positive development. Exploration of extensions to this deposit will continue simultaneously with market testing of this special bauxite product which is in critical short supply in Australia and globally. This will assist the marketing of ABx’s current cement-grade and fertiliser-grade bauxite products from its first mine at Bald Hill in Tasmania.”
Penrose State Forest lies on either side of the Hume Highway approximately one hour from Sydney. Among the most well-known forests in New South Wales, the forest is a mixture of native forest and pine plantations. The area saw the first radiata pines planted in 1919, leading to a 3,900 hectare total acreage today. The forests consist largely of commercial pine plantations, and timber harvested from the forests is processed at a nearby mill.
Based in Sydney, ABx conducts operations in Tasmania, Queensland, and New South Wales. The firm boasts combined JORC resources of 124 million metric tons in twenty-two tenements covering almost two thousand square kilometers in Eastern Australia. Its Binjour tenement in Queensland is considered by the company to be its flagship project.