Firebird Metals Limited (ASX:FRB) Granted Mining Lease for Oakover Project
Mining Lease Granted
Firebird Metals Limited has been granted Mining Lease ML52/1086 for its Oakover Manganese Project. The lease covers 3,429.8 hectares and includes the Sixty Sixer, Jay Eye, and Karen Pits, along with the proposed processing plant, tailings storage, and waste dump. The approval is conditional upon the development of a mining proposal and subsequent approval from the Department of Energy, Mines, Industry Regulation and Safety (DEMIRS).
Project Overview
The Oakover Manganese Project boasts a Mineral Resource Estimate of 176.7 Mt at 9.9% Mn, including an Indicated Resource of 105.8 Mt at 10.1% Mn. This near-surface, gently dipping manganese project is a cornerstone of Firebird’s long-term strategy to develop a low-cost manganese-based cathode material business. The project’s development aims to secure a 100% owned feedstock supply for Firebird’s manganese sulphate processing, reinforcing the company’s position in the battery materials market.
Battery Grade Manganese Sulfate Plant
Firebird’s proposed manganese sulphate plant is set to be located in the Jinshi High-Tech Industrial Park in China. All critical permits have been obtained, and the plant is expected to be constructed within 12 months. With a low capital expenditure of US$83.5 million, the plant will have a production capacity of 50kt MnSO₄ plus 10kt Mn₃O₄, equivalent to 72.5Kt MnSO₄. Approximately 60% of the required financing has been secured through agreements with key partners, including China Chemical and China Construction Bank.
Executive Comments
Managing Director Mr Peter Allen commented, “The granting of Mining Lease 52/1086 is a significant milestone for Firebird and the Oakover Project, marking an important step in our long-term downstream processing and vertical integration strategy. Oakover is a large and near-surface manganese project with robust economics and an 18-year Life-of-Mine. Our vision is to become a global leader in the manganese industry by seamlessly integrating our mining operations and innovative downstream processing solutions, to support the advancement of the Li-ion and Na-ion battery sectors. The location of our proposed manganese sulphate plant in China places us at the forefront of this market and with the integration of Oakover will allow us to maintain a competitive advantage by ensuring a 100% owned and secure supply of high-quality manganese feedstock. Securing this lease brings us closer to that goal, providing a foundation for our stage two, low-cost manganese-based cathode material operations which is underpinned by the successful development of Oakover.”
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended BHP Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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