IperionX Limited has received all permits required to commence construction and operations at the planned titanium metal production facility in Virginia.
These permits include the Industrial Wastewater Discharge permit issued by the Halifax County Service Authority, and the New Source Review (air pollution) permit issued by the Virginia Department of Environmental Quality. These permits meet the requirements to scale to the planned TCF-1 capacity of 1,125 tpa of titanium metal within the existing 50,000 square foot shell building in Halifax County, Virginia.
All major engineering works for the planned Stage 1 TDF are now complete, with key long lead time equipment ordered and procurement underway. First titanium production is planned for Q1 2024, and IperionX plans to reach a production run-rate of 125 tpa of titanium metal by Q3 2024. A planned modular Stage 2 expansion to the TCF-1 level would lift titanium production capacity to 1,125 tpa by the end of 2025. Development of the TDF remains subject to Board approval for a final investment decision.
The design of the TDF and TCF-1 are based upon a scaled-up version of the current Industrial Pilot Facility, in Salt Lake City, which has been successfully operated by IperionX since January 2022. IperionX has upgraded this facility, and improved operational processes, to achieve a significant increase in the titanium production capacity with higher efficiency and consistency.
IperionX now plans to build the largest recycled titanium metal powder production facility globally, and the only titanium plant that uses 100% titanium scrap metal as feedstock. The titanium production facility in Virginia is designed to have zero Scope 1 & 2 emissions and is expected to produce UL validated 100% recycled titanium metal powder with the lowest carbon intensity on the market.
The Halifax County Development Authority will fund the building fit-out works with an investment of up to US$4 m to prepare for process equipment installation in late 2023.
IperionX previously announced strong forecast economics for the TDF and TCF-1 in a Techno-Economic Assessment released in April of this year. With low capital intensity, the TCF-1 operation is forecast to deliver ~US$100 m of EBITDA in 2026, based on key operating assumptions.
Anastasios (Taso) Arima, IperionX CEO said: “Securing all major permits is an important milestone in developing the world’s largest 100% recycled titanium plant and is a credit to the successful work of the IperionX development team, Halifax County, Virginia and regulatory agencies.
IperionX is uniquely positioned to re-shore titanium metal production to the U.S.A., reducing the acute reliance on titanium imports from foreign nations and lowering the significant environmental impacts from producing titanium metal using the existing ‘Kroll Process’ - which is energy intensive, high cost and generates excessive greenhouse gas emissions.
IperionX has a pipeline of potential U.S. government funding programs and incentives that are designed to support domestic efforts to re-shore critical mineral and material supply chains. With the successful development of this project, IperionX will be the only commercial primary titanium metal producer in the U.S., with the capacity to deliver low carbon and low-cost titanium for advanced American industries.”