Northern Minerals (ASX:NTU) has begun practical steps aimed at...

Northern Minerals (ASX:NTU) has begun practical steps aimed at establishing the company’s Browns Range Rare Earths Project in Western Australia as a profitable operation despite the sector’s current challenges.

With an aim to build resilience during a challenging period for rare earths, Northern Minerals has undertaken initiatives to enhance the Browns Range Definitive Feasibility Study (DFS), which defined the project’s net present value at A$552 million in March.

The initiatives include plans reduce mining costs by modifying the mining method and increasing the ore head grade. Solver extraction separations costs are expected to be lowered through removal of yttrium during the hydrometallurgical process.

Studies are underway to improve productivity and reduce the DFS underground mining costs by as much as 40% via the implementation of alternate techniques including sub-level caving.

Operating costs in the DFS were calculated originally at $37.60 per kilogram of total rare earth oxide (TREO).

Efficiencies may also be achieved by changing the mine plan to target higher-grade ores at earlier stages of mining and processing.

Northern Minerals received approval for Browns Range’s project management plan from the WA Department of Mines last week. This milestone is considered a significant step toward mining operations at the site.

It also builds on momentum from a recent memorandum of understanding with Jien Mining Pty Ltd for the offtake of 50% of product from the project.

Browns Range has been cited as a standout among its peers due to its xenotime mineralisation, which is a proven source of rare earth supply, and its richness in dysprosium.

Dysprosium is an essential element in the production of the long-lasting temperature-resistant magnets used in hybrid and electric cars as well as wind turbines and miniature electronics.

Dysprosium represents part of the magnetics class of rare earths, which also includes neodymium, praseodymium, samarium and terbium. This group is unanimously expected to outperform rare earths in the catalysis and phosphors categories.