Vital has also commenced a drill programme at Nechalacho to define a mine plan for Stage 2 of production from the Tardiff
Rare-earth oxides. (Credit: Peggy Greb, US department of agriculture/Wikipedia.org)
Vital Metals Limited (ASX: VML) (“Vital” or “the Company”) is pleased to announce it has produced a 12kg sample of rare earth carbonate as part of a bulk sampling program at its Nechalacho project in Canada as the Company prepares for rare earth production in Q2 CY2021.
The sample is now being prepared for shipment to Vital’s offtake partner REEtec AS in Norway in accordance with customer acceptance protocols.
Vital will prepare additional samples of carbonate which it will make available to other prospective customers.
Vital Metals Managing Director Geoff Atkins said, “Production of our bulk sample for REEtec is another important step towards reaching full production at Nechalacho. Production of this sample demonstrates we have our processes working correctly and we are preparing to send the sample to REEtec so it can undergo customer acceptance, as well as producing samples for other potential customers.
“We are preparing for our ore sorter to arrive at Nechalacho while mining is also due to start within the next few weeks, so we are getting ready close to achieving our production goal.”
Mining is on track to commence at Nechalacho later this month after Vitalsigned a definitive mining contract with local company Det’on Cho Nahanni Construction Ltd for work to commence at the North T Zone. Scope of work under the mining contract includes mining, site clearing, preparation of retention pond, site roads, ROM pad, plus crushing and screening. Det’on Cho Nahanni Construction will mobilise to site at Nechalacho via ice road by the end of March.
In addition, Vital has commenced a drill program at Nechalacho to define a mine plan for Stage 2 of production from the Tardiff. Vital is testing three high-grade targets in the Tardiff deposit and will evaluate potential expansion of the T Zone by targeting two additional zones, the South T and the S zones, which lie adjacent to the planned North T pit, where Vital plans to commence production.
Advisor contract
With reference to the Company’s announcement on 2 March 2021 regarding the appointment of rare earths expert George Bauk, Vital has been informed by Mr Bauk that following the public announcement, due to unforeseen circumstances, he can no longer continue to strategically advise the Company.
Mr Bauk stated “It is with great disappointment that due to unforeseen circumstancesI am no longer able to fulfil the role of Strategic Advisor to Vital. During my short time working with the Vital team I have been extremely impressed by the quality of the Nechalacho project, the management and Board of Vital.
More importantly I believe that Vital’s go to market strategy is the most appropriate way to develop a rare earth mine. My time with the team has left me in no doubt that Vital are well on track to successfully bringing the Nechalacho project into production in 2021 to become Canada’s first rare earth operation.”
The Company previously advised the issue of 50m options under the terms of the appointment however, as a result of the circumstances, nil options will be issued.