Highlights
- The carbon intensity of Baptiste operations is expected to average 2.40 tonnes of carbon dioxide ("CO2") per tonne of refined nickel production ("t CO2/t refined Ni")
- Baptiste carbon intensity compares very favourably to published literature estimating the carbon intensity of existing nickel production from various mineral deposit types:
- 7.19 t CO2/t refined Ni for Class 1 nickel production from sulphide ore
- 27.50 t CO2/t refined Ni for Class 1 nickel production from laterite ore
- 45.00 t CO2/t refined Ni for ferronickel production from laterite ore
- 69.00 t CO2/t refined Ni for nickel pig iron production from laterite ore
- Results summarized herein assume no sequestration of carbon dioxide in Baptiste tailings
"These results, taken in combination with the recent PEA, position Baptiste as a truly disruptive project in the global nickel industry, with the potential to become a significant nickel producer at both low-cost and low-carbon intensity for the electric vehicle battery and stainless steel markets," commented
Based on the diesel and electricity consumption for mining and processing activities outlined in the PEA, the carbon intensity of Baptiste operations is expected to average 2.40 tonnes of CO2 per tonne of refined nickel production over the Project's 35-year mine life. Figure 1 provides a comparison of the estimated carbon footprint of Baptiste nickel production versus industry-wide emissions averages for other major forms of nickel production, as documented in published independent studies.
Figure 1 – Estimated Carbon Footprint for Selected Global Nickel Production
Sources: 1 FPX analysis based on
The low carbon intensity of Baptiste nickel production is a function of several features specific to the Project, including:
- Low Stripping Ratio: Baptiste has a life-of-mine stripping ratio of 0.40:1, and thus requires lower consumption of diesel for the mining fleet compared to other similar-scale operations with higher overburden and waste content and higher stripping ratios
- Hydroelectric Power: The Project's processing facility will be powered by low-carbon hydro-electric power, while a significant proportion of global nickel operations (e.g. ferronickel and nickel pig iron) are powered by carbon-intensive coal-fired plants
- Refined Nickel Product with No Smelting: Given their high metal content (63% nickel and 30% iron) and low level of deleterious elements, Baptiste's ferronickel briquettes are expected to bypass the traditional nickel smelting process and be sold as a refined nickel product directly to stainless steel producers, thereby avoiding the carbon emissions associated with the smelting and refining of typical nickel sulphide concentrates.
Comparison to Sulphide Nickel Production
Figure 2 provides a breakdown of the estimated carbon footprint of Baptiste nickel production by mining and processing stage versus the production of Class 1 nickel from sulphide ores. While the carbon intensity of mining and concentrate production (benefication) are similar for both types of operations, the smelting and refining requirements to produce Class 1 refined nickel from sulphide concentrates (with typical nickel content of 15%) entails a significant additional carbon burden on sulphide-derived production as compared to the planned Baptiste operation.
Figure 2 – Estimated Carbon Footprint by Stage of Production
Sources: FPX analysis, "Life Cycle Assessment of Nickel Products" (Mistry et al., 2016)
The Baptiste PEA (which was filed
Cautionary Statement: The PEA is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves. Mineral resources are not mineral reserves and do not have demonstrated economic viability. There is no certainty that the conclusions or results as reported in the PEA will be realized.
Investor Relations Engagement
The Company has retained the services of
Dr.
About the
The Company's
Decar hosts a greenfield discovery of nickel mineralization in the form of a naturally occurring nickel-iron alloy called awaruite, which is amenable to bulk-tonnage, open-pit mining. Awaruite mineralization has been identified in four target areas within this ophiolite complex, being the Baptiste Deposit, the B target, the Sid target and Van target, as confirmed by drilling in the first three plus petrographic examination, electron probe analyses and outcrop sampling on all four. Since 2010, approximately US
Of the four targets in the
As reported in the current NI 43-101 resource estimate, having an effective date of
About
On behalf of
"Martin Turenne"
Forward-Looking Statements
Certain of the statements made and information contained herein is considered "forward-looking information" within the meaning of applicable Canadian securities laws. These statements address future events and conditions and so involve inherent risks and uncertainties, as disclosed in the Company's periodic filings with Canadian securities regulators. Actual results could differ from those currently projected. The Company does not assume the obligation to update any forward-looking statement.
Neither the
SOURCE
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