Alumina Mining Philippines Inc.(AMPI) Bauxite Resources Inc.(BARI)
Alumina Mining Philippines Inc. (AMPI) and Bauxite Resources Inc. (BARI) are the only two bauxite mines in the Philippines. These properties were acquired by Marcventures Holdings Inc (MHI) in 2017 covering a total area of 12,129 hectares located in the Province of Samar, Region VIII, Philippines.
Bauxite, the most important ore of aluminum is the project’s expected product. It is in fact the world’s primary source of aluminum. Its alloys are vital to the aerospace industry and are used extensively in transportation, electronics, construction, and even in the production of household utensils. Among the world’s top producers of bauxite are Australia, China, Brazil, India, and Papua New Guinea.
|AREA:||12,129 Ha (6,694 Ha. (AMPI) and 5,435 Ha. (BARI)|
|POTENTIAL:||Measured and Indicated Resource 73.2 million wmt (PMRC)|
|Measured and Indicated Resource 117.6 million wmt (JORC)|
|3,295 auger drillholes and test pits (2004 – 2014) with total meterage of 14,089 meters|
|9,646 samples including 535 verification sampling|
|2,863 auger drillholes and test pits (2004 – 2013) with total meterage of 16,744 meters|
|7,551 samples including 306 verification sampling|
MINERAL RESOURCE ESTIMATE
MMDC Mineral Resource Estimate (PMRC)
The projects’ mineral resource has been reviewed and certified by the Philippine Mineral Reporting Code (PMRC) Competent Person. It has a combined measured and indicated resource of 73.2 million metric tons of bauxite ore with average grade of 41.66% Al2O3 and 11.64% SiO2.
|WMT||% Al2O3||WMT||WMT||% Al2O3||% Al2O3|
|Measured + Indicated||41.7||40.0||31.5||43.8||73.2||41.6|
Ore sample characterization and washing test work conducted at Beijing General Research Institute of Mining and Metallurgy (BGRIMM) showed 44.22% and 5.71% of Al2O3 and SiO2 contents in ore, respectively.
ALUMINUM AND BAUXITE MARKET OUTLOOK
- By 2030, Aluminum demand from Electric Vehicles (EVs) will near 10 million wmt, a ten-fold increase from 2017 (CRU, Feb 2018).
- CRU expects Aluminum demand for cars in Europe to grow 12% CAGR between 2016-2021, while growth in North America will be even higher, 19% CAGR over the period (CRU, Al Insider Sept 2017).
- Goldman Sachs Group Inc. forecasts that Aluminum may spike to $2,800 to $3,000 per metric tons as a result of US sanctions on Rusal (Bloomberg, April 2018).
- Beijing’s winter curbs on polluting industries will limit refineries, China’s deficit in alumina will go from the 100,000 metric tons to 300,000 tons that was forecast for 2017 to a 2.1 million ton to 2.5 million ton shortfall this year, according to Alcoa Inc. (Bloomberg, April 2018).
- Aluminum prices on the LME soared by a third, lifting the metal to its highest in nearly seven years, after the US imposed sanctions against Rusal, the world’s No.2 aluminum producer (Reuters, April 2018).
- Indonesian government temporarily revoked nickel ore and bauxite export permits of four companies for 4.2 million tonnes nickel and 1.5 million tonnes of bauxite ore (Reuters, August 2018).
AMPI and BARI are currently in Pre-Feasibility Study Stage. The companies have engaged services of foreign firms for its engineering studies. Commercial operation is expected commence on the 2nd quarter of 2020.