3rd Mar 2014 11:57
LONDON (Alliance News) - Galileo Resources PLC Monday said results from its 2013 test programme have added significant value to both its investment in Glenover Phosphate Ltd and the Glenover Phosphate Rare Earth Project in South Africa.
The rare earth exploration and development company said tests at the site which showed a 400,000 tonne per year over 25 year mine with average 63% phosphate recovery, have advanced critical metallurgical test work to pre-feasibility study status.
The company said studies have found that a nitric acid process could produce more highly saleable products from the Glenover site, and internal project finance studies from the company have found that Glenover could be viable from nitric fertiliser products alone, making the cost of rare earth oxide production potentially much lower than previously expected.
Galileo said that the studies have shown that niobium also can be recovered from the site, which could be used as a high-value by-product. Niobium is used in the production of stainless steel alloys.
The company added that process optimisation work in Germany is moving towards improving project fundamentals by increasing recoveries and marketing and logistic work is advancing towards achieving a world class phosphate rare earth project located on the coast of South Africa.
"During 2014 we intend to consolidate on the advances made and to secure the necessary strategic partnerships to move the Glenover project towards production," Chief Executive Officer Colin Bird said in a statement.
Galileo shares were up 2.4% to 10.50 pence Monday.
By Tom McIvor; [email protected]; @TomMcIvor1
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