Lift Off: Andromeda launches next phase of HPA commercialisation

• Andromeda begins pilot scale testwork to optimise its flow sheet for continuous HPA production
• 4N samples will be produced for commercial evaluation by potential customers
• The testwork aims to inform future feasibility studies

Special report: Andromeda is stepping into the next phase of commercialisation for its high-purity alumina (HPA) project, kicking off pilot-scale testwork designed to prove continuous production using its proprietary flowsheet.

The program will optimise the company’s innovative HPA processing route and produce 4N-grade samples for evaluation by potential commercial customers, an important milestone following the recent scoping study that set the stage for a pilot-plant development.

4N refers to the purity level of the HPA – 99.99% – required for the production of technologies like LEDs, lithium-ion batteries and semiconductor chips.

Andromeda’s (ASX:ADN) proprietary process is highly versatile, capable of producing HPA across a spectrum of product types, from amorphous to crystalline (gamma to alpha), allowing the company to tailor output to meet specific customer and industry needs.

The pilot campaign will also provide key data for upcoming feasibility studies and generate an amorphous silicate by-product that will be further assessed for its commercial potential.

Opening new doors in the critical minerals market

ADN acting CEO Sarah Clarke said the project is excited to progress the HPA project to the next stage.

“The production of HPA represents a high-value, strategic growth opportunity that complements our premium kaolin product offering from the Great White project,” she said.

“It also positions Andromeda to expand into the critical minerals sector, enhancing our product portfolio and exposure to emerging markets.”

Andromeda’s recent scoping study confirmed the company could emerge as a global producer of low cost, low-carbon HPA, a material in soaring demand thanks to its essential role in batteries, LEDs and semiconductors.

Watch more from Andromeda Metals: Breakthrough in HPA unlocks billion-dollar potential

Great White’s $1.5bn value

HPA is officially recognised as a critical mineral in Australia, the US and Europe, and for good reason.

It’s a key enabler of the clean energy transition, yet global supply remains limited. That’s what makes Andromeda’s Great White Project in South Australia so significant.

Recent testwork has validated Andromeda’s innovative process flowsheet, successfully converting Great White kaolin into HPA with a purity of 99.9985%.

Based on these results, the scoping study outlines the potential to build a processing facility capable of producing 10,000t per year of 4N-grade HPA from around 30,000t of feedstock, translating into some seriously strong numbers.

Financially, the project boasts a pre-tax NPV of around $1.48 billion (and $1.01 billion post-tax), backed by capital costs of just $155 million including contingency. That’s a market-leading capital intensity of $15,459 per tonne of HPA capacity, significantly below competing processes.

The study also found that Andromeda’s innovative process produces 48% lower carbon dioxide emissions per tonne of HPA than the traditional aluminium alkoxide process.

This article was developed in collaboration with Andromeda Metals, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.