Medallion Resources Completes Final Testwork Program Responds to US Department of Defense Request
TSX VENTURE: MDL
VANCOUVER, British Columbia, Aug. 20, 2019 (GLOBE NEWSWIRE) -- Medallion Resources Ltd. (TSX-V: MDL; OTCPK: MLLOF; Frankfurt: MRDN) – (“Medallion” or the “Company”), pursuing smart production of rare-earth magnet metals, announces that the Saskatchewan Research Council (SRC) has successfully concluded the final major testwork program for Medallion’s rare-earth element (REE) extraction process. Medallion is developing the process and business model to quickly get to REE production in North America by processing by-product monazite sand.
“This program’s key work, conducted by the SRC, was to produce and analyze different waste streams from additional ‘crack and leach’ tests on our monazite sand feedstock,” said Kurt Forrester, PhD, Medallion’s metallurgist. "We are now engaging processors, waste management and transportation groups to determine disposal options and costs. This fits with our recently announced plans to commission trade-off studies investigating suitable North American sites for our proposed plant including transportation costs related to feedstock, re-agents and waste material."
Medallion has received funding from the federal government through the National Research Council of Canada Industrial Research Assistance Program (NRC IRAP) in support of this program.
US Department of Defense Request for Information (RFI)
The United States’ Department of Defense is conducting a wide assessment of North America’s REE supply chains, including the main barriers to market experienced by domestic business. The RFI stated, “the domestic industrial capability to provide critical materials for use in essential citizen applications is vital for national security.” The department will use the information gathered to propose recommendations for a healthy manufacturing and defense industrial base, including potential government investment in relevant projects.
Medallion has responded to the department’s RFI (which includes Canada as a “domestic” source) to put its monazite by-product processing approach as a route to achieving near-term North American production of REEs.
With China supplying approximately 80% of the world’s REEs and the US defense industry’s heavy reliance on China’s rare earth resources for important military technology, significant concerns have been raised regarding national security.
Medallion is developing a modern, safe and automated process to extract REEs from monazite tailing streams. Monazite sand is available as a by-product from heavy mineral sands mining operations and is recognized by the US Geological Survey as an important commercial source of REEs.
By-product monazite represents an important potential source of magnet metals to automakers and other industrials groups seeking alternative REE sources to offset China’s dominance of the rare earth production and processing value chain. Also, given the geopolitical sensitivity of rare earths and associated environmental issues, established mining groups are receptive to a safe and reliable outlet for their monazite tailing stream resources.
About Medallion Resources
Medallion is preparing for near-term production of rare-earth magnet materials in North America through the processing of by-product monazite sand—in a modern, clean, and automated process. Monazite sand is rich in rare-earth elements neodymium and praseodymium (also known as “NdPr”) which are critical input for lightweight and powerful rare-earth magnets. Rare-earth magnets are essential to Automotive and Robotics (electric motors), Defense (Missile Guidance Systems), and Clean Energy (Wind Turbines) industries. Given the dominance of China as a rare-earth producer and tense global trade relations, automakers and other industry groups are seeking non-China sources to meet increasing demands for NdPr. Medallion is committed to following best practices and accepted international standards in all aspects of mineral transportation, processing and safe management of waste materials. More about Medallion (TSX-V: MDL; OTCPK: MLLOF; Frankfurt: MRDN) can be found at medallionresources.com.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. Medallion management takes full responsibility for content and has prepared this news release. Some of the statements contained in this release are forward-looking statements, such as statements that describe Medallion’s plans with respect to the increase in the size of the Private Placement and the completion and the use of the proceeds of the Private Placement. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties, including the risks related to market conditions and regulatory approval and other risks outlined in the Company’s management discussions and analysis of financial results. Actual results in each case could differ materially from those currently anticipated in these statements. Also, in order to proceed with Medallion’s plans, additional funding will be necessary and, depending on market conditions, this funding may not be forthcoming on a schedule or on terms that facilitate Medallion’s plans. These forward looking statements are made as of the date of this press release, and, other than as required by applicable securities laws, Medallion disclaims any intent or obligation to update publicly any forward looking statements, whether as a result of new information, future events or results or otherwise.