Scandium International Issues Update ON Cmr Development Program with Phoenix MINE
NEWS RELEASE
TSX: SCY
November 8, 2021
NR 21-04
www.scandiummining.com
SCANDIUM INTERNATIONAL ISSUES UPDATE ON CMR
DEVELOPMENT PROGRAM WITH PHOENIX MINE
Reno, Nevada, November 8 , 20 21 – Scandium International Mining Corp . (TSX:SCY)
(“Scandium International” or the “Company”) has now begun work with Phoenix Mine staff on
an agreed joint technical program to determine both technical and economic feasibility of a critical
metals recovery (“CMR”) project at the mine site . Early work on the development program has
now confirmed the presence of significant aluminum content in both the Phoenix Mine copper
oxide ore and raffinate. This contained aluminum represents a suitable feedstock for high purity
alumina (HPA) product manufacture , and is now anticipated to play a significant role in overall
CMR project economics.
HIGHLIGHTS – HPA INCLUDED AS CMR PRODUCT TARGET
• Aluminum ore grades at Phoenix Mine indicate HPA feedstock suitability.
• HPA is now a key product target in the joint development program.
• An HPA circuit would locate inside the mine gate, and generate a final product.
• The full HPA circuit is covered by a US Patent application, filed by the Company.
• No change to US$2.7M joint development budget or timetable for HPA addition.
Key details of our Letter of Intent, outlining this joint development program , were previously
announced in a joint news release from Nevada Gold Mines (NGM) and Scandium International,
issued on June 28, 2021. That initial June news release did not specifically identify HPA as a
CMR project target, alongside other named critical metals targets, but it is now included as a
central part of the technical development work program.
The Phoenix Mine is a gold -copper producer owned and operated by Nevada Gold Mines, near
Battle Mountain, Nevada. The mine produces a copper/gold concentra te, copper cathode and
gold dore. Nevada Gold Mines is operated by Barrick Gold Corporation , and is a joint venture
between Barrick (61.5%) and Newmont (38.5%).
George Putnam, CEO of Scandium International Mining Corp. commented:
“The specific introduction of HPA into the Phoenix CMR work plan is a very positive development
for the overall project. It is an advancement of an attractive product alternative we all knew was
in our future, now brought forward in time to meet an attractive HPA market opportunity that exists
today. While we do have development work to do, we have a great partner with us , and we
believe this focus on HPA will improve the economics and the resilience of the project.”
DISCUSSION:
The Company has had a lo ngstanding interest in oxide copper project sources for HPA
manufacture. They tend to present aluminum-containing solutions in relatively pure form and at
high enough grades to form an advantageous low-cost HPA feedstock. Our project discussions
with Phoenix Mine/NGM have always included a possible HPA opportunity, so this is not a new
idea, rather one brought forward in timing. In fact, the term critical metals effectively includes
HPA, as the US Commerce 35 Critical Metals list (alphabetical) begins with aluminum.
The addition of HPA to the target product list for the Phoenix CMR Project is well accommodated
by the existing LOI and development program parameters.
• The partners’ development budget of US$2.7M is unchanged, and still shared 50:50.
• Any HPA project located fully inside the Phoenix Mine site will be shared 50:50, with
Phoenix as operator, similar to earlier agreements.
• HPA will likely become the primary pay-metal for the project.
• Economic recovery of available nickel, cobalt and scandium remains a part of the
development program work.
• Phoenix CMR product customers will continue to be battery metals customers.
• Phoenix Mine advantages from a CMR project that now includes HPA will remain in place,
including improved mine valuations, reserve life extensions, cleaner tailings, and
potentially lower reclamation expenses.
The HPA addition is also well supported by two recent patent filings by the Company that a re
directly relevant to HPA production from mine sources like Phoenix Mine. On May 27, 2021, the
Company announced that it had filed a final patent application with the US Patent Office pertaining
to the manufacture of high purity alumina products. Th at final patent application specifically
covered aluminum-containing solution feedstocks sourced from oxide copper projects, along with
other feedstock sources. Further detail on HPA products, markets, and opportunities can be
found in that previous May 2021 news release as well.
ABOUT SCANDIUM INTERNATIONAL MINING CORP.
The Company is currently pursuing a critical metals recovery opportunity under an LOI with
Nevada Gold Mines, specifically at the Phoenix Mine, where SCY proposes to employ both ion
exchange and solvent extraction technology to extract unrecovered critical metals from existing
mine process streams. This program represents a fast -track concept to make battery -grade
metals products, scandium master alloy product, and other crit ical metals, from North American
sources.
The Company also continues to work on scandium product marketing, as required for its Nyngan
Scandium Project, located in NSW, Australia. The Company filed a NI 43-101 technical report in
May 2016, titled “Feasibility Study – Nyngan Scandium Project.” The project has received all
key approvals, including a development consent and a mining lease, necessary to proceed with
project construction.
Willem Duyvesteyn, MSc, AIME, CIM, a Director and CTO of the Company, is a qualified person
for the purposes of NI 43-101 and has reviewed and approved the technical content of this press
release on behalf of the Company.
For inquiries to Scandium International Mining Corp, please contact:
Edward Dickinson (CFO)
Tel: (775) 233-7328
George Putnam (CEO)
Tel: (925) 208-1775
Email: [email protected]
Cautionary Statement on Forward-Looking Information
Certain information contained or incorporated by reference in this press release, including any
information as to the Company’s strategy, projects, plans or future financial or operating
performance, constitutes “forward looking statements”. All statements, other than statements of
historical fact, are forward-looking statements. The words “pursue”, “anticipate”, “intend”,
“partnership”, “opportunity”, “envision”, “potential”, “can”, “will”, “ambition”, “become”, “vision”,
“expect”, “could”, “would” and similar expressions identify forward-looking statements. In
particular, this press release contains forward-looking statements including, without limitation,
with respect to: the Company and its business and the potential for the Company to develop a
critical metals recovery project at NGM’s Phoenix mine pursuant to the LOI; the potential
economic and environmental benefits of this project for NGM and its applications in
transportation and communications; and the potential for the project at the Phoenix mine to
demonstrate the technology and economic viability of CMR in the copper business.
Forward-looking statements are necessarily based upon a number of estimates and
assumptions including material estimates and assumptions related to the factors that, while
considered reasonable by the Company as at the date of this press release in light of
management’s experience and perception of current conditions and expected developments,
are inherently subject to significant business, economic and competitive uncertainties and
contingencies. Known and unknown factors could cause actual results to differ materially from
those projected in the forward-looking statements and undue reliance should not be placed on
such statements and information. These risks, uncertainties and other factors include, without
limitation: risks related to uncertainty in the demand for various critical metals and potentially
other metals or products produced using the Company’s proprietary technologies such as HPA,
the possibility that results of test work will not fulfill expectations, or not realize the perceived
market utilization and potential; risks associated with projects in the early stages of evaluation
and for which additional engineering and other analysis is required; diminishing quantities or
grades of reserves; increased costs, delays, suspensions and technical challenges associated
with the construction of capital projects; operating or technical difficulties in connection with
mining or development activities, including geotechnical challenges and disruptions in the
maintenance or provision of required infrastructure and information technology systems; and
failure to comply with environmental and health and safety laws and regulations.
Many of these uncertainties and contingencies can affect our actual results and could cause
actual results to differ materially from those expressed or implied in any forward-looking
statements made by, or on behalf of the Company. Readers are cautioned that forward-looking
statements are not guarantees of future performance. All of the forward-looking statements
made in this press release are qualified by these cautionary statements. Specific reference is
made to the most recent Form 40 F/Annual Information Form of the Company for a more
detailed discussion of some of the factors underlying forward-looking statements and the risks
that may affect the Company’s ability to achieve the expectations set forth in the forward-looking
statements contained in this press release. We disclaim any intention or obligation to update or
revise any forward-looking statements whether as a result of new information, future events or
otherwise, except as required by applicable law.