• Strong economics with significant pricing leverage
• Low capital intensity
• Long-life, high-grade operation
• Globally competitive cost profile

Australian Mines Limited (ASX: AUZ) has announced the results of the SRK Scoping Study for the Flemington Scandium Project, which demonstrates a robust, long-life scandium development opportunity with strong leverage to market-aligned pricing scenarios. The Scoping Study is based on a Mineral Resource of 6.3Mt @ 446ppm Sc and a 28-year mine life, with an average feed grade of 573ppm Sc over the first 15 years. The project has a low capital intensity, with an initial estimated capital cost of US$125 million for a 60tpa scandium oxide operation, and a globally competitive cost profile, with a C1 cash cost of US$561/kg Sc2O3 and a breakeven price of US$815/kg Sc2O3. The Scoping Study shows strong economics, with a post-tax NPV8 of approximately US$860 million and an IRR of 74% at a market-aligned pricing scenario of US$3,000/kg Sc2O3. The project is located in an emerging scandium district in central New South Wales, with access to established regional infrastructure and nearby mining services.

The Scoping Study demonstrates a post-tax NPV8 of approximately US$270 million and an IRR of 32% at a mine design price of US$1,500/kg Sc2O3.

The Scoping Study confirms Flemington as a high-quality, long-life scandium development opportunity with strong underlying economics and exceptional leverage to scandium pricing. The project is well positioned to benefit from the increasing strategic importance of scandium and the growing demand for secure Western supply.