The super metal that the aerospace and electric vehicle industries dream of….
Scandium is an element, discovered in Scandinavia in 1879. The world’s production of scandium is very small – approximately 10-15 tonnes per year, in the form of scandium oxide; mostly coming from China, Russia, Ukraine and Kazakhstan. Scandium is used in alloys to increase strength, lighten weight, and help resist corrosion. By adding a small percentage of scandium it allows aluminum sheets to be welded to each other, which is then used in the aerospace and automobile industries. The lightweight, strength and corrosion resistance of aluminum-scandium alloy has huge potential future demand from the aerospace and electric vehicle industries, just to name a few.
Scandium International Mining Corp. (TSX: SCY) is a development stage company, focusing on the exploration, evaluation, and development of specialty metals with a focus on scandium assets in Australia. Their principal property is the 100% owned Nyngan Scandium Project, located in New South Wales, Australia.
Nyngan Scandium Project
For Scandium International the lateritic clay belt, in New South Wales, represents a recent game changing discovery of scandium at grades approximately four times the grade of existing sources. The average process plant feed grade over project life is 409 ppm of scandium. These resources are surface mineable and can deliver scandium at large enough scale to promote much wider use of the metal. The Nyngan Scandium Project is situated 500 km north-west of Sydney, with excellent local infrastructure having nearby water, rail, power and workforce. Mineral exploration at the site has defined a measured and indicated resource significantly larger than the currently planned 20 year mine life.
The 2016 Feasibility Study highlights include: A capital cost project estimate of US$87 m, operating costs of US$557 per kg of scandium oxide, with an estimated 37,690 kg of oxide to be produced per year over the 20 year mine life. This will generate an after tax cumulative cash flow over the project life of US$629 million, with a post-tax NPV 10% of US$177 million.
2016 Feasibility Study highlights
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On August 16, 2018 the Company signed a Letter of Intent with PAB Coventry Ltd. to test scandium containing alloys in aluminum sheet forming applications. PAB is recognized as an industry leader in innovation, design, and product development, using Hot Form Quench (HFQ®) technology.
George Putnam, CEO of Scandium International Mining Corp., commented: “We are pleased to add PAB to our list of partners exploring scandium’s advantages in aluminium parts manufacturing using HFQ® technology. PAB is an established, recognized aluminium alloy solutions-provider to UK automotive and UK/European aerospace customers. PAB also represents a pathfinder in the commercial application of HFQ® forming technology, developing what is required to meet the tougher demands of large scale production applications. HFQ® shows excellent promise for high volume commercial application in aluminium formed parts and products, and we believe scandium additions could offer additional benefits, when combined with this process.”
Scandium has long been recognized as a valuable commodity, but economic concentration of scandium is rare. Having so many uses there are so many marketing opportunities for scandium as it promotes superior performance by widening the aluminium alloy choice. Scandium International proudly state: “We are serious about building a mine and a fresh new specialty metal market. We anticipate Nyngan to be the first to market, with the only primary scandium project.”
Scandium International Mining Corp. has an advanced stage, high grade, large sacle, scandium project in a safe jurisdiction. The Company could see itself in an enviable position with supplies of 37,690 kg of scandium oxide per year supplying emerging markets like electric vehicles, and the aerospace and aviation industries; as soon as 2020 or shortly thereafter.
Scandium International Mining Corp. is headquartered in the US state of Nevada, and has a market cap of C$ 58 m.
Matthew Bohlsen is a Senior Editor for InvestorIntel.com. With a Graduate Diploma in Applied Finance and Investment (similar to CFA), and a Graduate Diploma in ... <Read more about Matthew Bohlsen>