Saskatchewan aluminum deposit possible game changer for supply chain

Canadian Energy Metals' Preliminary Economic Assessment reports the Thor Project in east-central Saskatchewan contains very large alumina resources and outlines a surface-mining plan targeting 1.8 million tonnes of alumina per year over 25 years.

Canadian Energy Metals Corp. released a Preliminary Economic Assessment (PEA) for the Thor Project, an aluminum-bearing deposit in east-central Saskatchewan. The company said the discovery could be significant for North American aluminum supply chains. The PEA sets out measured and indicated resources and a modeled surface-mining and processing plan. The release also notes plans to engineer a demonstration facility while working toward commercialization. Key details: - The PEA reports a measured and indicated resource of 49.5 billion tonnes containing 6.8 billion tonnes of alumina, and an inferred resource of 86.6 billion tonnes. - The financial model contemplates a surface mining and processing operation with average ore feed of 16.5 million tonnes per year and alumina production of 1.8 million tonnes per year over a 25-year project life. - The modelled economic assumptions include initial capital expenditures of US$6.3 billion and operating costs of US$1.6 billion. - The PEA's modeled after-tax internal rate of return is 72 percent and the after-tax net present value of cash flows is US$72.3 billion (discounted at 10 percent), as presented in the release. - The company and Saskatchewan officials said the project could support jobs, royalty and tax revenues, and regional economic growth if developed and commercialized. Summary: The PEA frames the Thor Project as a large alumina resource with a defined production and financial model and describes potential regional economic benefits. The release cites engineering a demonstration facility and advancing the project toward commercialization.