Latrobe Magnesium (ASX:LMG) will commence operation of its Hazelwood North Demonstration Plant in the Latrobe Valley of Victoria as part of the company’s strategy to produce 1,000 tonnes of magnesium annually.
The company was scheduled to receive ash deliveries yesterday (2 September) after recent rainfall and storm conditions in the region prohibited a stable ash supply and impacted Latrobe’s mining partners from providing screened ash for the plant’s operations.
Ash is a key component in the demonstration plant for its high magnesium oxide content necessary for metal extraction.
The project has been reissued a Pilot Project Licence from the Environment Protection Authority last month, which reiterates Latrobe’s preparation to move the plant into stage one commissioning and operations.
Magnesium production is expected to follow steady-state operations being conducted over the next week.
Trading Economics reports the commodity to be valued at ¥18,000 ($3,852) per tonne as of 2 September, marking a 4.76% drop over the past year
Latrobe Magnesium is focused on the extraction of magnesium metal and cementitious material from industrial ash, to be commercialised from its magnesium metal demonstration plant in Victoria.
Write to Maddison Elliott at Mining.com.au
Images: Latrobe Magnesium
