Latrobe Magnesium (LMG) is constructing a 1,000 tpa demonstration magnesium production plant in Hazelwood North, Victoria’s Latrobe Valley 150km southeast of Melbourne. This is expected to start production in mid-2023.

LMG has developed a patented hydrometallurgical extraction/thermal reduction process to extract magnesium from magnesium rich waste resources. In the Latrobe Valley, magnesium will be extracted from fly ash produced by brown coal power plants. As well as magnesium, this low emission process produces other valuable by-products such as Supplementary Cementitious Material (SCM), Silica and Iron Oxide using almost 100%of the fly ash resource.

Following successful demonstration, LMG will construct a 10,000 tpa commercial production facility at its Hazelwood North site. LMG’s breakthrough technology and efficient materials handling will enable it to operate at globally competitive costs, with low CO2 emissions. Global demand for magnesium is reaching one million tpa and is projected to double over the next few years.

World First Technology

LMG's unique hydromet extraction process uses acid to treat fly ash. This process can be summarised as:

• dissolving magnesium (Mg), iron and calcium minerals with hydrochloric acid (HCl), & leaching out magnesium as MgCl2

• removing iron as iron oxide (Fe2O3) & calcium as calcium carbonate (CaCO3)

• converting MgCl2 into magnesium oxide (MgO) & recovering the HCl for reuse in the process

• processing MgO into Mg and supplementary cementitious material (SCM) using the thermal reduction process.

LMG's Competitive Advantage

LMG is uniquely placed to respond to the growing global demand for magnesium with uncertainty in Chinese production which supplies 85% of global demand.

LMG will be an efficient, low cost, low emission producer. LMG's processes have half the operating cost of traditional magnesium and SCM production methods. Further LMG generates:
Waste Reprocessing – the only process capable of extracting magnesium and SCM from fly ash and ferro nickel slag feedstocks
Valuable By-products – including SCM, char, and silica, which further offset operating costs for magnesium production
Industry Leading Emission Standards - significantly lower CO2 emissions estimated 50% reduction compared to other magnesium producers.

LMG can help to secure domestic magnesium supply and diversify global supply chains with ready access through Australia's free trade agreements to major Japanese and US markets.


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