As we prepare to wrap up 2023, what better way to end than to have a fresh Coffee with Samso? Episode 193 is with Brett Hazelden, Managing Director and CEO of OD6 Metals Limited (ASX: OD6).
The focus of the Rare Earth story has shifted to the realm of chemistry. It is widely believed that companies will disclose mineral resources large enough to support their operations.
However, the cost of the chemistry required to generate revenue and profits remains uncertain. In this episode of Coffee with Samso, Brett Hazelden presents a compelling argument for the OD6 Metals story. The market is currently muddled with confusion regarding the ultimate objective of these clay rare earth projects.
Brett, an experienced metallurgist, shares his insights on the downstream process in this must-watch episode of Coffee with Samso. If you're interested in the Rare Earth sector, this is a valuable discussion for you.
Samso's Conclusion
If you have been following the Samso platform, you may have noticed an increase in Rare Earth stories recently. The rare earth industry is undoubtedly complex and confusing, with a cloud of uncertainty surrounding its future. However, after attending the rare earth conference in Canberra, I can confidently say that my doubts have been cleared.
It's important to note that my optimism does not mean the sector is heading for a bull run. Rather, I believe that companies that remain focused on their work and can secure funding will benefit from the strong future demand for rare earths.
Securing funding during this period is crucial. In a way, the current market can be seen as a reset for the valuation of rare earths. This is the perfect time to do your own research (DYOR) as an investor. If a commodity boom is on the horizon and rare earth metals are part of that trend, conducting thorough research now will be beneficial.
Chapters:
00:00 Start
00:20 Introduction
01:03 2023 recap
03:32 Understanding the chemistry
07:14 Lowering the costs of production
09:45 Discussion about ESG
11:27 What is driving the economics of these clay projects?
15:46 Difference between Australia and South America - grade and processing route?
19:38 Takeaways from the Canberra REECon
26:16 What’s on the cards for 2024?
32:03 Discussion about the rare earth market price
35:14 News flow
36:04 Final thoughts
39:46 Conclusion
PODCAST
This is a good time to download the first Ebook (FREE) from Samso as it is all about VMS (Volcanogenic Massive Sulfides).
About Brett Hazelden
Managing Director & Chief Executive Officer
BSc, MBA, AICD
Mr Hazelden is a Metallurgist who brings over 25 years’ experience serving the Australasian resources industry. His experience includes being a Company Director, Managing Director, CEO, Project Manager, Study Manager and originally a Metallurgist in an operating environment.
Mr Hazelden brings a diverse range of capabilities from exploration, project development studies, research and development, project approvals, offtake agreements, equity raising, debt financing plus mergers and acquisitions. He has worked across multiple commodities including potash, gold, copper, zinc, lead, iron ore, tungsten, salt, diamond and now rare earth sectors. Most recently, Brett was the Co-founder and Managing Director/CEO of Kalium Lakes (ASX:KLL).
Mr Hazelden was appointed as a Director on 1 April 2022.
Mr Hazelden is not considered to be an independent Director as he is engaged in an executive capacity.
About OD6 Metals Limited (ASX: OD6)
OD6 Metals is an Australian public company with a purpose to pursue exploration and development opportunities within the resources sector. The Company holds a 100% interest in the Splinter Rock Project and Grass Patch Project which are located in the Goldfields-Esperance region of Western Australia, about 30 to 150km north of the major port and town of Esperance.
The projects are considered prospective for clay rare earth elements (REEs), with the Company’s aim of delineating and defining economic resources and reserves to develop into a future revenue generating operational mine. Clay REE deposits are currently economically extracted in China who is the dominant world producer.
Rare earth elements (in particular, Nd and Pr), are becoming increasingly important in the global economy, with uses including advanced electronics, permanent magnets in electric motors and electricity generators (such as wind turbines) and consumer electronics.
Why OD6 Metals?
Emerging REE major new clay province in WA, potentially competitive with China’s deposits.
Dominant land position with over 4,800 km2
Located close to Esperance port, sealed roads and renewable energy infrastructure.
Extensive Clay REE in 10 to 37m thick blanket over very large areas .
Wide intersections of TREO with excellent Nd-Pr concentrations of 20%
Multiple targets for potentially globally significant REE resources.
Excellent regional metallurgy.
Clay REEs are typically low capital intensity and high margin product.
Significant supply shortage forecast due to rapid demand increase for renewable power, electric vehicles and electronics.
Critical metals being prioritised by Governments around the world (need for diversity of supply away from China).
Disclaimer
The information or opinions provided herein do not constitute investment advice, an offer or solicitation to subscribe for, purchase or sell the investment product(s) mentioned herein. It does not take into consideration, nor have any regard to your specific investment objectives, financial situation, risk profile, tax position and particular, or unique needs and constraints. Read full Disclaimer.
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