Element 25 Ltd has secured the regulatory go-ahead for expansion of its Butcherbird Manganese Project in Western Australia, clearing the way for construction to commence.
Fully approved
The Western Australia Department of Water and Environmental Regulation (DWER) has granted Works Approval for the Butcherbird Expansion Project, which allows Element 25 to increase manganese concentrate production to 1.1 million tonnes per annum (Mtpa).
The project is now fully approved under the state’s mining regulatory framework.
The expansion will support Element 25’s planned high-purity manganese sulphate monohydrate (HPMSM) processing facility in Louisiana, USA.
The Butcherbird manganese concentrate will serve as the primary feedstock for the facility, which is being developed in partnership with General Motors LLC (GM) and Stellantis NV.
The company will also continue to supply the manganese alloy and steel industries.
Feasibility figures
An updated feasibility study released in January 2025 estimated a capital cost of A$64.8 million for the expansion, with a pre-tax Net Present Value (NPV) of A$561 million and a pre-tax Internal Rate of Return (IRR) of 96%.
The project is expected to generate an average of A$70.5 million in annual cash flow over an 18-year mine life.
With approvals now in place, Element 25 will finalise funding arrangements for the expansion.
The approval follows the earlier acceptance of the Mining Proposal and Mine Closure Plan by the WA Department of Energy, Mines, Industry Regulation and Safety (DEMIRS) in January 2025.
The Butcherbird Project, in the Pilbara region of Western Australia, is Element 25’s flagship asset, around which the company is building its reputation as a leading supplier of battery-grade manganese for the electric vehicle market.
The HPMSM Project has secured US$166 million in grant funding from the US Department of Energy to support its development.