Western Magnesium intends to return the manufacturing of this key strategic product to the United States.
- A world-class metallurgical technology company
- The technical team consists of world authorities in the production and research of magnesium
- Pilot plant commercialized about to start production soon
What Western Magnesium does:
The Western Magnesium Corporation () () aims to become the world’s low-cost producer of high-quality, environmentally friendly magnesium – a strategic metal.
Currently, China controls 86% of the metal market and the company has its roots a decade ago when a team came together to bring metal production back to the United States, where no new factory has only been built in the last 50 years. The United States controls 6% of the magnesium market, but the production process is outdated, has a significant environmental impact and high costs.
The company’s research and development (R&D) efforts have resulted in a proprietary technology, which can generate metallic magnesium with little labor, high automation, low power consumption and, significantly , without any toxic by-product or waste.
This continuous silicothermal process means that the company can be competitive in terms of price; can scale easily and be environmentally friendly, he says.
Magnesium has a range of uses and is a composite metal, so it is designed to use aluminum and titanium. It is essential in a range of industries including automotive, aviation, energy and military. It is 80% lighter than steel and 60% lighter than titanium and yet as strong as steel.
How are you :
On June 2, 2021, the company told investors it had taken a major milestone in its plans, revealing that it had now completed construction of the plant’s reactor.
This development, he said, had advanced the company’s previous timeline, which was that it aimed to produce the metal from the pilot plant in Canada by the end of 2021. Now the production is defined for testing, certification and distribution purposes. in the next 90 days.
The company noted that this new “furnace will be the first of its kind and a major step towards the ability to operate a silicothermal reactor system from an open atmosphere to a sealed vacuum space on a continuous basis.”
A continuously internally heated reduction furnace of this nature, in combination with the proprietary Western Magnesium condenser, will allow maximum continuous production from the metallic magnesium storage pit or stack to the end user in a timely manner. A process that assembly line manufacturers have dreamed of, he said in a statement.
The development also coincided with the opening of the company’s headquarters in Washington, DC, which will better facilitate discussions with end-user customers in various industries, to initiate the process of its metals certification, which will result in contracts for command, he added.
And on May 31 of this year, the company announced the closing of the first tranche of a previously announced non-middleman private placement for gross proceeds of C $ 679,044.
The first tranche closed on 5,223,420 units at a price of CA $ 0.13 each. The maximum bid is for gross proceeds of up to C $ 3 million. The company had previously said the product would be used for working capital and to complete the commercialized pilot plant.
Also in May, the group announced a convertible note financing in the amount of C $ 100,000. The notes bear interest at a rate of 12% per annum with a maturity of one year from closing.
And in April, the group announced it had launched a new division to lead formal sales and regulatory engagements with the public and private sectors, led by Peter O’Rourke, Washington DC veteran and current Western board member. Magnesium.
A key part of the division’s mandate is to focus on creating opportunities for Western Magnesium to build production facilities in strategic US states, in partnership with the US Department of Defense.
Regarding the construction of the commercialized pilot plant, in February, the company said industrial construction was underway and progressing well, with no incidents to report. He noted the following achievements:
- State-of-the-art security, access and networking system has been installed in the building and is functioning well
- In January of this year, the initial training of 11 new operating staff was completed
- Full staff occupancy has started, now that workspace facilities such as showers, toilets and break rooms have been completed.
- Completion of the pilot plant project
- First production
- The price of magnesium is changing
What the boss says:
In the latest reactor construction press release, Executive Chairman Ed Lee told investors, “This reactor unit is an important step forward that will allow the company to enter the market with its proprietary continuous condenser, and will secure the future of Western Magnesium for decades to come. .
“The initial metal production will allow management to work closely with end users in automotive, aerospace and environmental technology companies and the Department of Defense to assess the amount of metal needed to manufacture their assembly line. and the form in which they will need the metal. “
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