Mining Intelligence and News
South Africa

Phalaborwa Project

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Categories

Overview

Mine TypeTailings
StagePermitting
Commodities
  • REE
Mining Method
  • Hydraulic mining
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Mine Life... Lock
SnapshotThe Phalaborwa project will produce all four Magnet REE, including the heavies Dy and Tb. These elements are critical to the permanent magnets used in EVs, wind turbines, defence and robotics, as they improve efficiency and can maintain performance under high temperatures.

The Phalaborwa project will recover REE from phosphogypsum stacks that sit at surface. Rainbow has developed a unique flowsheet which will allow for the rare earths to be leached from the gypsum and upgraded to a mixed rare earth feed stream before further processing to deliver separated rare earth oxides

In September 2024, the Company published an updated Resource for Phalaborwa, which saw the total tonnage rise 15%, thereby increasing the project life.

The Project has been chosen by the U.S. Government as an important contributor to REE supply chain independence, with the U.S. International Development Finance Corporation committed to investment of US$50 million via TechMet Limited.

Owners

SourceSource
CompanyInterestOwnership
Bosveld Phosphates (Pty) Ltd. 30 % Indirect
Rainbow Rare Earths Ltd. 70 % Indirect
The Phalaborwa Project is 85% owned by Rainbow Rare Earths Ltd.("RRE") and 15% owned by Bosveld Phosphates Pty Ltd (BPPL).

RRE has a right to acquire the remaining 15% subject to certain conditions being met.

Contractors

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Deposit type

  • Tailings

Summary:

The deposit is a secondary deposit (residue precipitate) from an earlier mine processing operation, comprising two tailings stacks, Stack A and Stack B. The stacks comprise thinly bedded, white, fine-grained, and friable PG laid down as horizontal layers.

The 2-billion-year-old (Archean) Phalaborwa Carbonatite Complex contains apatite-bearing zones, the primary source of South African phosphate production. Phalaborwa carbonatite contains two types of apatite ores: foskorite and pyroxenite.

The manufacture of phosphoric acid from phosphate concentrate produced a phosphogypsum waste which has been deposited on 2 large stacks. The REE in the phosphate ore reports primarily to the phosphate concentrate delivered to the PA plants.

The two stacks are situated to the West of the Phalaborwa mining complex. The residue stacks were deposited on a relatively flat base, consisting of soil and gravel, which was intersected in some of the drill holes.

Stack A, the largest of the 2 stacks, with an approximate basal dimensions of 1,200 m x 700 m, has a higher surface elevation and steeper slopes. An acidic water pond (with a depth of c.4 m at its deepest central part) covers most of the top centre of the stack. Some gypsum has been mined for agriculture purposes has been removed from the NE corner of stack A.

Stack B, with an approximate basal surface of 800 m x 650 m, is lower and has gentler slopes than stack A. The acid pond on top is smaller, but with a depth virtually the same as for stack A. Some gypsum quarrying and mining has taken place in the SE and SW corners of stack B.

In both stacks, the material is made of white, fine-grained, friable phosphogypsum which is indurated/cemented at surface. The gypsum residues have been deposited as a thinly bedded layered sediment pack; however, various other facies have also been observed at surface depth. The gypsum takes a grey colouration at surface (caused by magnetite dust from the nearby dump used to feed to the magnetite plant) but becomes white underneath.

Around and probably in the floor of the acid water ponds, the surface material is made of a hard/cemented gypsum crust 5 to 10 cm thick.

Auger and open-hole drilling carried out by RRE in 2020 and 2022 has showed that the phosphogypsum material is very uniform in colour and grain size from surface to the bottom of the stacks. Moisture content increases with depth ranging from relatively dry to totally sloppy to a point that samples cannot be recovered using conventional drilling methods. The homogeneity of the stacks was confirmed by the relative uniformity of the REE grades, laterally and at depth.

The host apatite ore that originally contained the REE’s has a favourable distribution of individual elements dominated by Neodymium (Nd), Praseodymium (Pr) and Dysprosium (Dy). The REE’s were upgraded by the Foskor concentration process and then again during the phosphoric acid production process where REE reported to the phosphogypsum residue deposited on the stacks.

Reserves

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Mining Methods

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Comminution

Crushers and Mills

Milling equipment has not been reported.

Processing

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Production

CommodityUnitsAvg. AnnualLOM
REE t 1,84826,208
All production numbers are expressed as oxide.

Operational metrics

Metrics
Annual ore mining rate  ....  Subscribe
Annual processing capacity  ....  Subscribe
* According to 2022 study.

Production Costs

CommodityUnitsAverage
Cash costs (sold) Total Rare Earth Oxides USD  ....  Subscribe
Assumed price Dysprosium USD  ....  Subscribe
Assumed price Terbium USD  ....  Subscribe
Assumed price Praseodymium USD  ....  Subscribe
Assumed price Neodymium USD  ....  Subscribe
Assumed price Total Rare Earth Oxides USD  ....  Subscribe
* According to 2022 study / presentation.

Operating Costs

CurrencyAverage
G&A ($/t milled) USD  ....  Subscribe
Total operating costs ($/t milled) USD  ....  Subscribe
* According to 2022 study.

Project Costs

MetricsUnitsLOM Total
Total CapEx $M USD  ......  Subscribe
Gross revenue (LOM) $M USD  ......  Subscribe
Operating margin, %  ......  Subscribe
After-tax NPV @ 10% $M USD  ......  Subscribe
After-tax IRR, %  ......  Subscribe
After-tax payback period, years  ......  Subscribe

Required Heavy Mobile Equipment

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Personnel

Mine Management

Job TitleNamePhoneProfileRef. Date
....................... Subscription required ....................... Subscription required ........... Subscription required Subscription required Jan 19, 2025
....................... Subscription required ....................... Subscription required Subscription required Jan 19, 2025
....................... Subscription required ....................... Subscription required Subscription required Jan 19, 2025
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EmployeesContractorsYear
...... Subscription required ...... Subscription required 2022

Aerial view:

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