What's Happening?
Guardian Metal Resources has released a Prefeasibility Study (PFS) for the Pilot Mountain Tungsten Project, marking a significant step towards developing the first new U.S.-based tungsten mining operation in over a decade. The project, located in Nevada,
is set to produce 15,916 tonnes of tungsten oxide over an eight-year mine life using conventional open pit mining methods. The PFS projects a post-tax free cash flow of $1.058 billion, with a capital payback period of one year from the start of commercial production. The net present value is estimated at $660.3 million with an internal rate of return of 59.6%. CEO Oliver Friesen emphasized the strategic importance of tungsten for U.S. defense and national security, highlighting the project's potential to support U.S. critical mineral independence.
Why It's Important?
The development of the Pilot Mountain Tungsten Project is crucial for the U.S. as it seeks to reduce reliance on foreign sources for critical minerals like tungsten, which is vital for defense, technology, and aerospace industries. The project aligns with national security interests by potentially establishing a domestic supply chain for tungsten, a metal that has not been produced domestically for over a decade. This initiative could bolster U.S. economic resilience and technological capabilities, providing a strategic advantage in global markets. The project's success could also stimulate local economies, create jobs, and contribute to the re-industrialization of the U.S.
What's Next?
The next steps for the Pilot Mountain Project include filing the mine plan of operations with the Bureau of Land Management as part of the federal National Environmental Policy Act permitting process. The project is expected to commence processing operations by the fourth quarter of 2028. Guardian Metal Resources will continue to engage with regulatory bodies to secure necessary approvals and permits. The company will also focus on finalizing technical and financial plans to ensure the project's successful implementation and operation.
