American Pacific nearing high purity Boric Acid production

|

Published 12-APR-2019 10:52 A.M.

|

3 minute read

Hey! Looks like you have stumbled on the section of our website where we have archived articles from our old business model.

In 2019 the original founding team returned to run Next Investors, we changed our business model to only write about stocks we carefully research and are invested in for the long term.

The below articles were written under our previous business model. We have kept these articles online here for your reference.

Our new mission is to build a high performing ASX micro cap investment portfolio and share our research, analysis and investment strategy with our readers.


Click Here to View Latest Articles

American Pacific Borate & Lithium (ASX:ABR) has delivered a high 99%+ pure boric acid crystal with minimal impurities from its process optimisation works.

The process optimisation works were completed on April 10, which were designed to ensure the consistent delivery of a technical grade quality product from the company’s Fort Cady Borate Project.

ABR’s CEO Michael Schlumpberger commented on the results, “This is another hurdle completed in our aspiration to commence production of borates from our flagship Fort Cady Borate Project and ultimately to become a globally significant producer of high purity borate products.”

Process Optimisation Works

Since the completion of the Definitive Feasibility Study at Fort Cady, ABR has turned its attention to ensuring it can consistently deliver a technical grade premium boric acid product.

The results of these works have been very encouraging to date, with a final process now designed to ensure the highest grade product with minimal impurities will be delivered consistently by the project site.

The process includes:

  1. Treating liquor (Pregnant Leach Solution or PLS) that was retrieved on site from the Fort Cady orebody by solvent extraction, using isoctanol as the organic extractor.
  2. Further treating the resulting liquor in a scrubbing stage (sulfuric acid and ion-exchange) to purify liquor, and
  3. Crystallising the final liquor via a crystalliser manufacturer where the liquor was sent for evaluation and testing of the crystallisation steps of the process (as seen below).

“Our focus now turns to the completion of detailed engineering and securing the modest financing for the low capital starter project," Schlumpberger added.

“Importantly, we have delivered a very low capital starter project with brilliant financial metrics that sees us on a pathway to becoming a globally significant producer of borates targeting an EBTDA of over US$340 million per annum.

“When you consider borates are a vital input into new world technologies including electric vehicles, clean energy and food security related micro nutrients for optimal plant growth, we are sure demand for borates will only continue to grow.”

ABR commences funding stage

The company has now begun an informal process to secure funding for Phase 1A of the Fort Cade Borate Project. This process has tested lender appetite to significantly debt finance the initial operation, with responses to enquiries largely positive to date.

ABR is seeking to commence a formal engagement process in the current quarter, with a view to being fully financed by Q4 CY2019.

A summary of the financial metrics of the starter project and broader operations can be found below.

About ABR

American Pacific Borate and Lithium is focused on advancing its 100% owned Fort Cady Borate Project located in southern California.

Fort Cady is a highly rare and large colemanite deposit and is the largest known contained borate occurrence in the world not owned by the major borate producers in Rio Tinto and Eti Maden.



General Information Only

S3 Consortium Pty Ltd (S3, ‘we’, ‘us’, ‘our’) (CAR No. 433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information and is for informational purposes only. Any advice is general advice only. Any advice contained in this article does not constitute personal advice and S3 has not taken into consideration your personal objectives, financial situation or needs. Please seek your own independent professional advice before making any financial investment decision. Those persons acting upon information contained in this article do so entirely at their own risk.

Conflicts of Interest Notice

S3 and its associated entities may hold investments in companies featured in its articles, including through being paid in the securities of the companies we provide commentary on. We disclose the securities held in relation to a particular company that we provide commentary on. Refer to our Disclosure Policy for information on our self-imposed trading blackouts, hold conditions and de-risking (sell conditions) which seek to mitigate against any potential conflicts of interest.

Publication Notice and Disclaimer

The information contained in this article is current as at the publication date. At the time of publishing, the information contained in this article is based on sources which are available in the public domain that we consider to be reliable, and our own analysis of those sources. The views of the author may not reflect the views of the AFSL holder. Any decision by you to purchase securities in the companies featured in this article should be done so after you have sought your own independent professional advice regarding this information and made your own inquiries as to the validity of any information in this article.

Any forward-looking statements contained in this article are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results or performance of companies featured to differ materially from those expressed in the statements contained in this article. S3 cannot and does not give any assurance that the results or performance expressed or implied by any forward-looking statements contained in this article will actually occur and readers are cautioned not to put undue reliance on forward-looking statements.

This article may include references to our past investing performance. Past performance is not a reliable indicator of our future investing performance.

 

Discover Small Cap
Biotech Stocks

Join thousands of other Investors following our stock commentary for Free

X