Surefire Resources Attracts Further Saudi Interest To Develop Victory Bore Vanadium Project

Surefire Resources NL (ASX: SRN) continues to attract investment interest in the development of the company’s wholly-owned Victory Bore Vanadium Project.

Victory Bore is one of the largest vanadium projects in Western Australia.

Surefire has signed a second non-binding Memorandum of Understanding with a Kingdom of Saudi Arabia company.

The latest agreement is with RASI Investment, which invests in companies that have effective projects with high revenue potential.

Surefire has a development plan to mine and beneficiate the ore to produce a magnetite concentrate and then process this in Saudi Arabia.

Which would take advantage of the lower operating and capital costs, and other incentives.

A Pre-Feasibility Study for Victory Bore delivered key metrics including;

  • Pre-tax NPV at a 10% discount rate of US$1,110 million;
  • IRR 42.22%;
  • Capital cost US$498 million and;
  • Payback period of 2.4 years.

The MOU also allows the parties to explore joint participation or co-developer structures to assist in the development of the downstream processing facilities.

This is in addition to the joint venture discussions already occurring with Ajlan & Bros Mining and Metals Company for downstream processing of magnetite concentrate in Saudi Arabia.

Saudi Arabia is currently focused on transitioning to a major mining hub as it moves away from dependence on oil and gas.

Articles of Interest