Atlantic Ltd., an Australian company based in Perth, has signed an agreement with the Institute of Mining Science & Metallurgy, under the Vietnamese Ministry of Industry and Trade, to undertake a development study for a Vietnamese bauxite extraction and supply chain industry. The Central Highlands region of Vietnam hosts significant high-quality bauxite resources, which to date are largely undeveloped. The development study will assess a “mine-rail-port” proposal submitted by Atlantic to local and national authorities.

Atlantic holds an interest in the Bao Loc bauxite project in the Central Highlands region. Atlantic describes the development study as an important step in achieving its project development objectives. Global engineering group Hatch will assist in undertaking the study.

The Central Highlands bauxite deposits are located in Lam Dong and Dak Nong provinces. They are relatively close to power, the coast, and a large population and industrial center at Ho Chi Minh City. A railway would have to be built to the coast. Alternate routes for a railway line to a possible export facility at the Port of Ke Ga are being considered.

Vietnamese evaluation of the deposits to date includes mapping, pitting, trenching, assaying and washing/concentration tests. The data have been used to generate resource and reserve estimates under the Russian classification system, but the work is not of a sufficient quality to enable resource estimates according to Australia’s JORC code.

Atlantic is proposing a large-scale bauxite mining operation, to be developed in stages, and a 260-km, third-party-access heavy haul rail line to transport mined bauxite to the coast, where bulk port infrastructure will be built. A refinery and smelting facility may be built in Vietnam at a later stage. Advanced technology and stringent environmental safeguards will be utilized for the project.

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