Mayur’s Central Lime Expansion Faces Critical Offtake and Infrastructure Milestones

Project Advancements and Financial Upside

Mayur Resources Limited (ASX:MRL) has provided a comprehensive update on its Central Lime Project, highlighting a series of developments that collectively enhance the project's economic outlook. The company has received revised Engineering Procurement and Construction (EPC) bids that not only lower costs but also incorporate a redesigned kiln with a 33% increase in nameplate production capacity, now rated at 800 tonnes per day. This upgrade, alongside a 50% boost in hydration plant capacity, signals a material uplift in production potential and operational flexibility.

These technical improvements have translated into significantly improved financial forecasts. The updated Definitive Feasibility Study (DFS) projects a life-of-project revenue increase from USD 1.52 billion to nearly USD 1.97 billion, with EBITDA rising from USD 771 million to over USD 1 billion. The net present value (NPV) at an 8% discount rate has also jumped from USD 133.5 million to USD 197.1 million, underscoring the enhanced value proposition.

Renewable Energy Integration and Infrastructure Progress

In a notable pivot towards sustainability and cost efficiency, Mayur plans to deploy a renewable solar energy solution for the project's power station. This move is expected to reduce fuel costs and improve earnings, with the capital expenditure including solar rising modestly to USD 104.39 million from the prior USD 91.03 million estimate without solar.

On the infrastructure front, construction is advancing steadily. Stage two of the wharf construction is underway, with sheet piling contractors mobilized and completion targeted by the end of March 2025. This stage will enable roll-on/roll-off and double-sided barge loading by mid-2025. Meanwhile, the design for Stage three is progressing, aiming to accommodate Handymax vessels capable of shipping up to 55,000 tonnes per shipment, a critical enhancement for export logistics.

Offtake Negotiations and Community Connectivity

Mayur is also nearing completion of offtake agreements with high-quality customers, including cornerstone partners, following final site visits. These agreements underpin the updated pricing assumptions and revenue forecasts, providing a degree of market certainty ahead of the Final Investment Decision (FID).

Beyond the plant itself, Mayur is investing in community infrastructure, notably a 27.6-kilometer service road linking the project site to Port Moresby. This includes upgrades and new construction through challenging terrain, plus two new 60-ton bridges. This road will connect the Kido village to the capital by road for the first time, reflecting Mayur’s commitment to social infrastructure and regional development.

Overall, the Central Lime Project update reflects a maturing development phase with enhanced technical specifications, improved financial metrics, and tangible progress on construction and community engagement. These factors collectively position Mayur Resources to make a well-informed Final Investment Decision in the near term.