Kalbar has made frequent mention of their intention to ship the Heavy Mineral Concentrate (HMC) to China for processing to rare earths. It appears that the quality of Zircon in the product is compromised because of high Uranium and Thorium levels and that of Titanium products contamination with Chromium makes it even less profitable. Kalbar’s own presentations show that without the final extraction of rare earths, the Fingerboards is a loss making exercise.
A look at their public documents and financial reports raise serious questions about why any level of government in Australia would support the project – particularly given Australia’s apparent agreement to support the production of rare earths outside China.
However it seems that Kalbar might be targeting the Thorium in the HMC for the ease with which it can be extracted (albeit with massive environmental damage). Kalbar/China/Thorium/Rare Earths = massive environmental disaster + contravention of nuclear non-proliferation agreements + contravention of Australia’s agreements with America regarding critical minerals.
Should we be worried that export to China of HMC from which Thorium can be so readily extracted could be part of the Belt and Road initiative. https://www.vic.gov.au/victorias-china-strategy
Or should we be worried that Kalbar is hand in glove with China in relation to rare earths in direct contradiction of Australia’s agreements with the US over the Critical Minerals Strategy. https://www.industry.gov.au/sites/default/files/2019-03/australias-critical-minerals-strategy-2019.pdf
Or should we just laugh and say, ‘What sort of fool would invest in a company whose reports are so dodgy and whose own investor presentations indicate its Australian operations will run at a loss and its Chinese ones won’t be much better?’
Perhaps we might be able to laugh except we know who pays the price when, in 3 years or less, Kalbar goes bust and walks away from the massive contaminating mess it has made?