Viridis Mining's Colossus Demonstration Plant has exceeded metallurgical recovery rates assumed in its Pre-Feasibility Study, operating continuously with promising implications for project economics and financing.
- July 2026 recoveries surpass PFS assumptions
- Continuous 24-hour operation validates flowsheet
- Ongoing optimisation expected to improve recoveries
- Supports project financing and offtake with Solvay
- Demonstration Plant informs DFS capital and operating costs
Recovery Rates Outperform Pre-Feasibility Expectations
Viridis Mining and Minerals Limited (ASX:VMM) has reported that its Colossus Demonstration Plant is delivering metallurgical recoveries above those assumed in the Pre-Feasibility Study (PFS). In July 2026, Magnetic Rare Earth Oxides (MREO) recoveries averaged 79%, exceeding the PFS assumption of 76%, while Total Rare Earth Oxides (TREO) recoveries averaged 64%, well above the PFS figure of 57%. These improved recoveries suggest the potential for meaningful enhancements to project economics as the Definitive Feasibility Study (DFS) incorporates these results.
Continuous Operation Validates Project Flowsheet
The Demonstration Plant has been operating reliably on a continuous 24-hour basis since May 2026, processing 100kg/hr of run-of-mine (ROM) clay feed sourced from the Northern Concessions, which represent the early years of the Colossus mine plan. This steady-state operation under fully automated Programmable Logic Controller (PLC) systems has confirmed the robustness and repeatability of the Colossus flowsheet, enabling Viridis to finalise key process design criteria and refine capital and operating cost assumptions for the DFS.
Optimisation and Technical Enhancements Underway
Viridis continues to implement process enhancements, including improvements in MREC precipitation and filtration, residue filtration, and Counter Current Decantation (CCD) circuits. These refinements have resulted in better product quality, competent filter cakes with consistent moisture content, and improved sedimentation performance. The plant also features a zero liquid discharge water treatment system and on-site laboratory, supporting ongoing optimisation and sustainability standards.
Supporting Financing and Offtake Agreements
The Demonstration Plant plays a critical role beyond metallurgical validation. It hosts technical due diligence by independent lenders’ engineers as part of the project financing scope and has attracted high-level government and institutional delegations, including European Union Commissioner Jozef Síkela. Product qualification with strategic offtake partner Solvay is progressing, with high-grade Mixed Rare Earth Carbonate (MREC) samples shipped to Solvay’s La Rochelle facility in France, underpinning commercial agreements.
Path to Final Investment Decision
Managing Director Rafael Moreno emphasised that the Demonstration Plant is a critical de-risking tool, providing tangible proof of the project’s technical and operational viability. With financing, permitting, commercial negotiations, and DFS activities advancing in parallel, these results bolster confidence as Viridis approaches its Final Investment Decision (FID) in the coming months. The ongoing optimisation initiatives could further enhance recoveries, potentially improving the project's financial outlook.
Bottom Line?
Viridis’ Demonstration Plant results strengthen the Colossus Project’s economic case, but final DFS and financing outcomes will be pivotal in determining its trajectory.
Questions in the middle?
- How will further optimisation initiatives impact final recovery rates in the DFS?
- What are the key risks remaining in securing project financing ahead of FID?
- How might evolving rare earth market dynamics influence offtake terms with Solvay?