Following completion of the Flemington scandium project scoping study on April 28, Australian Mines has confirmed it will fast-track the project towards a prefeasibility study (PFS), while it has received commitments for a strategic placement led by Tribeca Investment Partners.

Tribeca has committed to invest $2.7-million, with Australian Mines’ two existing substantial holders each subscribing pro rata for $150 000 for a total placement of $3-million at an issue price of $0.028 apiece.

Following completion of the placement, the company expects to have cash in excess of $6-million before costs of the placement.

Australian Mines anticipates limited drilling to take place for the PFS given an already established measured and indicated mineral resource on site. Instead, the PFS will focus on further derisking Flemington through advancement of mining, processing and infrastructure design, alongside capital and operating refinement with ongoing discussions with potential end-users, partners and offtakers.

The company explains the Flemington project, in New South Wales, already embodies simple, low-risk mining and processing comprising three shallow, free-dig openpits, which enhances operating efficiency and expansion capacity, as well as conventional hydrometallurgical processing with 90.8% expected recovery rate.

Australian Mines affirms that all technical, environmental and supporting studies will be advanced to seek key permits, licences and approvals necessary to progress towards a future feasibility study.

The Flemington scoping study demonstrated a robust, long-life scandium development opportunity with strong leverage to market-aligned pricing scenarios with an average feed grade of 573 parts per million over the first 15 years.

Australian Mines CEO Andrew Nesbitt says he is pleased to welcome Tribeca as a strategic investor.

“The scoping study outcomes have reinforced our confidence in the Flemington project as a globally significant scandium development opportunity. Advancing to a PFS is an important next step in further derisking the project, progressing key approval workstreams and positioning Flemington for future development,” he adds.