Latrobe Magnesium will sell the refined magnesium product under long-term contracts to Australian and American users. Demand for magnesium worldwide is strong. It has the best strength-to-weight ratio of all common structural metals and is increasingly used in the manufacture of car parts, laptop computers, mobile phones and power tools.
Australia imports 100% of the 10,000 tonnes it consumes and Latrobe Magnesium will sell into the 869,000 tonnes annual global market, which offers a 10% premium to non-China suppliers. The project is at the forefront of environmental sustainability as it converts power plant waste into valuable commodities.
· Minimum 20 year plant life at full production available from Latrobe Valley fly ash.
· RWE fly ash bigger than the Latrobe Valley fly ash.
· 869k tonne annual worldwide magnesium consumption & 10% premium for non-China suppliers.
· World-first magnesium extraction process from fly ash.
· Soon to begin bankable feasibility study.
· Production facility due for completion in late 2016.
· Increased demand for magnesium in car parts manufacturing: light weight and strong.
· Environmentally sustainable venture: low CO² emitter/recycling an industrial waste product.