Hastings Technology Metals Reports Pre-Tax NPV of AU$649 Million in Updated Yangibana DFS, Shares Up 5%

MT Newswires Live
Jul 13

Hastings Technology Metals (ASX:HAS) said an updated definitive feasibility study (DFS) for stage 1 of its Yangibana rare earths and niobium project in Western Australia has returned a pre-tax net present value (NPV) of AU$649 million at an 8% discount rate, according to a Monday Australian bourse filing.

The DFS showed a pre-tax internal rate of return (IRR) of 34% and a payback period of 2.4 years from first production, delivering average earnings before interest, taxes, depreciation, and amortization (EBITDA) of AU$108 million per year after royalties and total life-of-mine EBITDA of AU$2.04 billion over a 19-year mine life, the filing added.

The life-of-mine average cash operating cost is AU$162.21 per tonne of run-of-mine ore, or AU$20.75 per kilogram of total rare earth oxide (TREO) in concentrate, with an all-in sustaining cost of AU$192.07 per tonne or AU$25.57 per kilogram of TREO, the filing added.

The total ore reserve stands at 20.9 million tonnes at 0.9% TREO, with no production attributed to inferred mineral resources, it added.

The company's shares rose 5% in recent Monday trade.

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