Koppamurra Testwork Yields 99% Rare Earth Recovery and 34kg MREO
Australian Rare Earths Limited (ASX, AR3) reports successful metallurgical testwork at its Koppamurra Rare Earths Project, producing 34kg of Mixed Rare Earth Oxide from heap leach solutions, paving the way for streamlined, cost-effective rare earth processing.
- Produced ~34kg Mixed Rare Earth Oxide (MREO) from 1,800L Pregnant Leach Solution
- Achieved 99% magnet rare earth recoveries via low-cost precipitation
- Significant reduction in material volume for downstream processing
- Testwork co-funded by $5 million Australian Government grant
- Next steps focus on impurity removal optimization and MREC production
Metallurgical Breakthrough at Koppamurra
Australian Rare Earths Limited (ASX, AR3) has announced a significant milestone in its metallurgical testwork program at the Koppamurra Rare Earths Project in South Australia. The company successfully produced approximately 34 kilograms of Mixed Rare Earth Oxide (MREO) from 1,800 litres of Pregnant Leach Solution (PLS), derived from around three tonnes of heap leach testwork. This achievement marks a crucial intermediate step toward producing a Mixed Rare Earth Carbonate (MREC), a marketable product in the rare earth supply chain.
High Recovery and Streamlined Processing
The testwork results demonstrate a remarkable 99% recovery rate of magnet rare earth elements (MRE) through a simple, low-cost direct precipitation process using magnesium oxide. This process not only captures nearly all critical rare earths such as terbium, dysprosium, neodymium, and praseodymium but also achieves a substantial reduction, approximately 98%, in the volume of material requiring downstream processing. This volume reduction implies smaller equipment sizes and potentially lower capital and operating costs for impurity removal and MREC production stages.
Strategic Partnerships and Government Support
The metallurgical testwork is being conducted in collaboration with the Australian Nuclear Science and Technology Organisation (ANSTO) and Neo Performance Materials, a global advanced industrial materials manufacturer. Neo holds a non-binding memorandum of understanding for 50% of the offtake from Phase 1 of the Koppamurra project, underscoring the commercial interest in AR3’s product. Additionally, the program benefits from a $5 million co-funding grant from the Australian Government’s International Partnerships in Critical Minerals Program, reflecting strong governmental backing for critical minerals development.
Next Steps Toward Commercialisation
Australian Rare Earths is now focusing on optimizing the re-dissolution of the MREO and impurity removal processes to refine the product into a high-quality MREC that meets market specifications. These efforts will feed into the upcoming Pre-Feasibility Study (PFS), which will provide a clearer picture of the project’s economic viability and development pathway. CEO Travis Beinke highlighted the importance of these advances in de-risking the project and enhancing processing flexibility.
Broader Implications for Critical Minerals Supply
Koppamurra’s ionic clay-hosted ore and the demonstrated scalable, cost-efficient processing route position Australian Rare Earths as a promising player in the critical minerals sector. With global demand for rare earth elements intensifying, driven by clean energy technologies and advanced manufacturing, the project’s progress is timely. The company’s parallel uranium exploration project further diversifies its portfolio, potentially strengthening its strategic footprint in South Australia’s mineral landscape.
Bottom Line?
As Australian Rare Earths advances metallurgical refinement, the next phase will test whether cost efficiencies translate into commercial success.
Questions in the middle?
- How will impurity removal optimization impact final product quality and costs?
- What are the timelines and terms for finalizing the Neo Performance Materials offtake agreement?
- How will government funding influence project development pace and risk profile?
