SCONI PROJECT
Advanced battery materials
The Sconi Project is a world class, low cost, 100% owned project in Queensland, Australia which is intended to be a sustainable and ethical source of advanced battery materials.
When Sconi starts commissioning, expected in 2028, it will meet surging demand through the supply of its high-quality battery-grade nickel and cobalt materials to LG Energy Solution, one of the largest producers of advanced batteries for the electric vehicle industry.
The US$1 billion project, including a 2 million tonne per annum ore processing plant for mixed nickel-cobalt hydroxide precipitate (MHP), is estimated to support 800 jobs and increase Gross Regional Product by A$2.2 billion over its 30-year life. The Sconi Project is supported by well-developed infrastructure, including easy access to the Port of Townsville. Our intention is that it will stand apart as a carbon neutral, secure and responsible raw material supply chain in a Tier-1 jurisdiction.
Sconi’s large scale, end to end MHP production will drive the Electric Vehicle Revolution
Sconi Project Advantage
Capital Cost
Estimate
US$974 million
Supply
Expected Commissioning in 2028
6-year (initial period): 71,000 dry metric tonnes of nickel and 7,000 dry metric tonnes of cobalt in the form of a mixed nickel-cobalt hydroxide precipitate (MHP)
Buyer
Binding offtake partner
LG Energy Solution (100% production; 6+5 year term), a subsidiary of LG Chem (S&P: BBB+/Stable)
Location
Queensland, Australia
Greenvale (220 km northwest of Townsville)
Infrastructure
Development ready
Access to port facilities (secured), sealed all-weather roads (site to port), power grid (on site), water, telecommunications and airport
Financials
Robust financial returns (post-tax)
NPV8%: A$817 million; IRR: 15%; Payback period: 5.8 years; Free cash flow: A$5 billion (life of mine); Operating costs: US$1.46/lb nickel (C1 cash costs, post by-product credits)
Community
Employing local, living local, buying local philosophy
Potential for battery grade critical minerals for approximately 5-6 million high performance EV’s
Significant job creation
Construction Jobs
Long Term Staff
Development of the Sconi Project will create significant social and economic benefits for Queensland's local and regional communities.
The Project is expected to create a total of 800 jobs, including 500 jobs during construction and a further 300 jobs during its operational phase (from 2028).
We are deeply committed to the communities where we operate through our employing local, living local and buying local philosophy.