Seed Capital Secured & Site Works Commenced
Sydney, July 24, 2018 AEST (ABN Newswire) - Australian Bauxite Limited (
ASX:ABX) (ABx) is pleased to announce that its wholly-owned subsidiary, ALCORE Limited has secured the minimum funding needed to commence Stage 1 of the ALCORE Project. Site construction works commenced on 1 July as planned at ALCORE's pre-approved Pilot Plant site in Berkeley Vale, Central Coast NSW for the production of AlF3 test samples.
Summary:
- The Research Site for Stage 1 was occupied 1 July 2018 on schedule - see Appendix. Factory spaces were cleared of components not needed for ALCORE's Stage 1 Pilot Plant, walls panelled & painted. Floors are now levelled and patched for application of reagentsafe sealants to allow engineering measurements for final plant sizing so that fabricated components and modules fit safely.
- ALCORE technology is designed to refine raw bauxite to produce Aluminium Fluoride (AlF3) and other valuable co-products from ABx bauxite - see Figure 1 in link below.
- The Board of ALCORE Limited is shown in Figure 2(see link below). Site employees have been recruited and more will be recruited over coming weeks and months as the project develops
- Stage 1 site operation budget is $2.5 million at the approved research site (see Appendix)
- Stage 1 commences with the production of AlF3 test samples and then production of Corethane, which is pure hydrocarbon powder refined from low-value coals
- Corethane has been used to provide thermal and electrical power and also been used several times as a gas-substitute in gas turbine electrical generators, and used as a diesel substitute for fuel security purposes. Corethane also has industrial applications and several potential customers have already requested test samples for their industrial plants.
- Discussions continue with governments, agencies and major companies in the aluminium industry
ABx CEO, Ian Levy Comments:
"This is the beginning of a powerful new bauxite refining technology which will commence as an important supplier of key AlF3 products for the Australasian aluminium smelters and producing silica fume for the cement industry, then develop Corethane pure hydrocarbons for energy and fuel security.
"Upside potential includes expanding the product range to AlF3 for Lithium-ion batteries, iron and titanium-based pigments and then developing ultra-pure products such as high purity alumina ("HPA") for the manufacture of scratch-resistant sapphire glass for phones and computer screens."
"ABx continues the development of its three core bauxite projects, namely the Tasmanian mine and the large Binjour Project in central QLD and the Penrose refractory bauxite project 90km inland of Port Kembla NSW. Creating ALCORE Limited as a project-specific subsidiary is expected to unlock considerable value for shareholders in both the short and medium terms."
Listing Rules Consideration
ABx notes that in the event the Company opts at any time to spin-out ALCORE through an IPO then Listing Rule 1.19 provides that: "Admission to the official list, and the category of an entity's admission, is in ASX's absolute discretion. ASX may admit an entity on any conditions it thinks appropriate. ASX may grant or refuse admission without giving any reasons."
Further, in the event that Listing Rule 11.4 applies, ABx shareholders must approve the spin-out of the securities, except those to be retained by ABx, are offered pro rata to holders of ordinary the securities in the listed entity, or in another way that, in ASX's opinion, is fair in all the circumstances.
To view figures, please visit:
http://abnnewswire.net/lnk/XK350654
About ABx Group Limited
ABx Group Limited (ABx) (ASX:ABX) is a uniquely positioned Australian company delivering materials for a cleaner future.
The three priority projects are:
- Heavy rare earths: Supplying light and heavy rare earths from Tasmania into Western supply chains
o Processing Options Analysis conducted in partnership with external experts
- Clean fluorine chemical production: Producing industrial chemicals from aluminium smelter by-product (ALCORE)
o Continuous pilot plant under construction in Bell Bay, Tasmania
- Near-term bauxite production: Mining bauxite resources for the aluminium, cement and fertiliser industries
o Agreements executed with Good Importing International for bauxite projects in Queensland and New South Wales, and $2.7 million initial payment has been received
o Approvals well advanced for DL130 bauxite project in northern Tasmania
ABx endorses best practices on agricultural land and strives to leave land and environment better than we find it. We only operate where welcomed.
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