ACDC Metals has locked in a crucial 10-year Retention Licence for its Goschen Central rare earth and heavy mineral sands project, underpinning long-term development plans backed by a robust $384 million NPV8 Scoping Study.
- 10-year Retention Licence granted for Goschen Central project
- Scoping Study shows $384M NPV8 and 24% pre-tax IRR
- Licence secures tenure enabling further exploration and development
- Project targets critical minerals including rare earths, zircon, and titanium
- Next steps include community engagement and resource optimisation
Retention Licence Secures Project Tenure
ACDC Metals (ASX:ADC) has achieved a significant milestone with the Department of Energy, Environment and Climate Change granting a 10-year Retention Licence (RL008706) for its Goschen Central project in western Victoria. This licence replaces the previous Exploration Licence EL5278 and preserves the company's tenure over the entire project area, providing a stable platform for advancing exploration and development amid fluctuating market conditions and infrastructure considerations.
The Retention Licence is a strong endorsement of the technical and economic case ACDC Metals has built for Goschen Central, which combines rare earth elements (REE) with heavy mineral sands. The licence enables the company to maintain control of a large-scale, JORC-compliant Mineral Resource while further de-risking the project through ongoing work.
Robust Economics Highlighted by Scoping Study
Backing the licence grant is a recent Scoping Study released in June 2025, which painted a compelling economic picture for Goschen Central. The base case scenario delivers a net present value (NPV8) of $384 million and an internal rate of return (IRR) of 24% on a pre-tax basis, underpinned by a low capital intensity approach. The proposed mine plan utilises only 15% of the total deposit, indicating significant upside potential.
The project’s product suite includes critical minerals such as zircon, titanium, and a suite of magnetic rare earth elements; terbium, dysprosium, neodymium, and praseodymium; that are increasingly sought after in global supply chains. Notably, the downstream REE processing technology under consideration promises lower energy consumption and waste footprint compared to traditional sulphation roasting, enhancing the project’s sustainability credentials.
Advancing Project Development and Stakeholder Engagement
CEO Tom Davidson emphasised the licence’s importance, noting it reflects the value of prior work and the project’s future potential. He highlighted that the licence strengthens confidence in long-term ownership, which is critical for attracting strategic partners and investment.
Looking ahead, ACDC Metals plans to intensify community consultation efforts, keeping landowners, local councils, and the broader community informed about project developments and timelines. Geological assessments will focus on optimising the resource, including evaluating the fine fraction, testing wireframe extensions, and converting inferred resources to indicated categories to potentially expand the mine plan.
This measured approach aligns with the company’s phased strategy, which initially targets a traditional heavy mineral sands operation before progressing to value-added rare earth element production, positioning Goschen Central as a key node in Victoria’s critical minerals roadmap.
Strategic Implications for ACDC Metals
Securing the Retention Licence comes at a time when ACDC Metals is managing multiple projects and capital initiatives. The licence provides a foundation for the company to leverage the robust economics of Goschen Central while continuing to explore growth opportunities elsewhere, including precious metals exploration in Australia and the United States.
While the announcement does not disclose new financial guidance or production targets beyond prior studies, it reinforces the project’s strategic value and the company’s commitment to advancing its critical minerals portfolio. Investors will be watching how ACDC balances resource optimisation, community engagement, and potential strategic partnerships in the coming months.
Bottom Line?
The Retention Licence grants ACDC Metals a secure footing to advance Goschen Central, but converting resource potential into tangible development remains the next critical hurdle.
Questions in the middle?
- How will ACDC Metals prioritise capital allocation between Goschen Central and its other exploration projects?
- What timelines and milestones will define the next phase of resource conversion and feasibility studies?
- Which strategic partners might be attracted by the licence and the project’s strong economics?