Two years until first REE production

VHM Limited’s advanced, low-capex Goschen Project in Victoria is one of the world’s largest rare earth and mineral sands deposits with more than 413,000 tonnes of contained Total Rare Earth Oxides (TREO).

VHM has just refreshed its Definitive Feasibility Study (DFS) for the Project and has commenced Front-End Engineering Design (FEED) for Phase 1. Goschen is in the Loddon Mallee region, about 35km south of Swan Hill and 275km north of Melbourne.

The Goschen Project is one of only four active projects in Australia to have completed a DFS in the past three years and that DFS clearly shows the low-cost operating model. The DFS reveals robust average pre-tax free cash flow of A$270 million per year with an approximate Net Present Value of A$1.5 billion pre-tax, over the first 10 years of operation (based on Phase 1 and 1A metrics).

VHM’s tenements, including the Goschen footprint, cover some 2,800km2 of contiguous ground, with 629 million tonnes of Mineral Resource estimate and 199Mt of  JORC-compliant ore reserve (JORC).

The company has also discovered new high-grade rare earth, zircon and rutile deposits at Cannie (13km to the south) and Nowie (13.5km north).

Managing Director Graham Howard said Goschen would be developed in stages to deliver a 5Mt per annum mining and treatment operation with a mine life of more than 20 years.

“VHM is on track for commissioning and first concentrate production in the first half of 2025,” Mr Howard said.

“The minerals are already fully liberated in sand – not hard rock. This means there’ll be no drilling or blasting needs and as indicated by drilling results, the rare earths and zircon-titania minerals are mostly near-surface.”

Goschen’s REE mineral concentrate test results indicate “exceptionally high rare earth grades, up to 60 per cent Total Rare Earth Oxide and a very high proportion of high-value critical rare earths neodymium, praseodymium, dysprosium and terbium”.

“It helps to be in a premier mining jurisdiction with existing infrastructure, a skilled workforce and strong community, as well as local, state and federal government support,” Mr Howard said.

“We signed Memorandums of Understanding with both the Gannawarra and Swan Hill shires providing strong support for the Project by the local community and Government.”

“We’ve been granted ‘Major Project Status’ by the Australian Government, given its significance, and further offtake conversations continue with potential partners in the US, Japan and Europe.”

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