U.S. Government supported Definitive Feasibility Study delivers US$813 million after-tax NPV8, 39% IRR and US$1.9 billion after-tax free cash flow from an initial 14-year mine plan producing heavy rare earth concentrate, titanium minerals and zircon in Tennessee, U.S.A.
IperionX Limited (NASDAQ: IPX, ASX: IPX) (IperionX or Company) is pleased to announce the results of the Definitive Feasibility Study (DFS or Study) for the Company’s 100%-owned Titan Critical Minerals Project (Titan or Project), located near Camden, Tennessee, United States.
The DFS confirms Titan as a large-scale, technically robust and high-return critical minerals project designed to produce titanium, zircon and a heavy rare earth concentrate from a single domestic resource in the United States. The Study underpins an initial 14-year mine plan based entirely on Proved and Probable Ore Reserves, with no Inferred Mineral Resources included in the Production Target.
- Compelling after-tax returns: DFS delivers after-tax NPV8 of US$813 million, after-tax IRR of 39% and an after-tax payback period of 3.6 years
- Significant cash generation: Forecast life-of-mine EBITDA of US$2.8 billion and after-tax free cash flow of US$1.9 billion over an initial 14-year mine plan
- Capital-efficient staged development: Phase 1 development capital of US$228.1 million and Phase 2 incremental capital of US$153.2 million, for total development capital of US$381.3 million
- Strong scale-up to Phase 2 cash flow: Phase 2 forecast average annual EBITDA of US$226 million and average annual after-tax free cash flow of US$172 million.
- Maiden Ore Reserve: Reserves of 117 million tons at 3.2% THM, containing 3.7 million tons THM, with approximately 80% of Ore Reserves classified as Proved
- High-value critical mineral products: Multi-critical mineral platform for American supply-chains from a single domestic resource base, including rare earths, titanium minerals and zircon. Phase 2 annual production forecast of approximately 5,287 tpa HREC (Heavy Rare Earth Concentrate), 118,658 tpa ilmenite, 24,656 tpa rutile and 65,668 tpa zircon concentrate
- Heavy rare earth leverage: Titan HREC contains strategically important heavy rare earths dysprosium, terbium and yttrium (Dy, Tb, Y) and other heavy rare earth elements representing a large share of HREC basket value. The heavy rare earths are vital for U.S. supply chains for high-performance magnets, defense, advanced ceramics, aerospace, and semiconductor applications
- Titanium and zircon critical minerals: Titan is positioned as a near-term, U.S.-based critical minerals platform for titanium and zircon critical minerals for downstream domestic metal production
- Simple, modular execution pathway: Titan is a near-surface, free-dig mineral sands development with no blasting or hard-rock crushing, using industry standard wet concentration, flotation and dry mineral separation
- U.S. infrastructure advantage: Titan Project is located in west Tennessee near road, rail, barge, power, water and gas infrastructure, with access to an established regional industrial workforce
- U.S. Government-supported DFS pathway: The DFS was supported under U.S. Government IBAS-related funding, reinforcing Titan’s strategic relevance to resilient domestic critical minerals and titanium supply chains for defense, aerospace, advanced manufacturing, energy and robotics
- Strategic U.S. minerals-to-metals platform: Titan is positioned to underpin domestic critical mineral feedstock for U.S. heavy rare earth, titanium, zirconium and advanced materials supply chains, while complementing IperionX’s downstream titanium metal technologies and Virginia manufacturing platform
IperionX CEO Taso Arima said:
“The Titan DFS confirms Titan as one of the most compelling, shovel-ready rare earth and critical minerals development opportunities in the United States.
The investment case is powerful: an after-tax NPV8 of US$813 million, after-tax IRR of 39.4%, US$1.9 billion of after-tax free cash flow and a 3.6-year payback. These outcomes are underpinned by key mine-area permits already in place, a Proved and Probable Ore Reserve base, a modular staged development pathway, conventional mineral sands processing, established infrastructure and a premier U.S. critical minerals jurisdiction.
What makes Titan exceptional is the combination of strong economics, multi-critical-mineral diversity and direct relevance to U.S. supply-chain security. Titan is designed to produce a heavy rare earth concentrate enriched in dysprosium, terbium and yttrium, together with titanium minerals and zircon concentrate. These are critical feedstocks for high-performance permanent magnets, aerospace and defense systems, semiconductors, thermal barrier coatings, nuclear materials, zirconium and hafnium pathways, advanced ceramics and next-generation manufacturing.
Titan is the leading asset of Tennessee’s Big Sandy Critical Minerals Province — a large-scale, high-grade U.S. critical minerals system with the potential to become the largest domestic source of heavy rare earths, titanium and zircon minerals
For IperionX, Titan is the cornerstone asset for an integrated U.S. critical minerals-to-metals strategy, connecting Tennessee rare earth and critical mineral feedstocks with downstream rare earth processing, permanent magnets, titanium metal production and American advanced manufacturing.
Our objective is clear: to build a resilient, scalable and domestic critical minerals-to-metals platform that strengthens America’s defense industrial base, reduces reliance on foreign-controlled supply chains and creates long-term value for IperionX shareholders.”
This announcement has been authorized for release by the CEO and Managing Director.
For further information and enquiries please contact:
+1 980 237 8900
Virginia
1092 Confroy Drive
South Boston, VA 24592
Tennessee
279 West Main Street
Camden, TN 38320
Utah
1782 W 2300 S
West Valley City, UT 84119
Figure 1: Key metrics from Titan DFS.
Figure 2: Titan's projected LOM production of ilmenite and rutile and HREC are estimated to contain sufficient titanium and NdPr- material to support the production of ~37,000 Boeing 787s, ~13 million electric vehicles, and ~5.7 million humanoid robots[i].
METRIC | UNIT | PHASE 1 | PHASE 2 |
Mine life | Years | 1-4 | 5-14 |
Annual ore feed | Mt pa | 3.5 | 10 |
Ore and waste | Mt | 117.0 Mt ore; 95.6 Mt waste (strip ratio: 0.82) | |
Total development capital | US$ | $228.1M | $153.2M |
Operating costs | US$/t ore | $13.31 | $10.57 |
Total LOM EBITDA | US$ | $2.8B | |
Total after-tax free cash flow | US$ | $1.9B | |
Phase 2 avg. annual EBITDA | US$ pa | $226M | |
Phase 2 avg. annual after-tax FCF | US$ pa | $172M | |
After-tax NPV8 | US$ | $813M | |
After-tax IRR | % | 39.4% | |
After-tax payback period | Years | 3.6 | |
Phase 2 annual production | tpa | HREC: 5,287 | |
Ilmenite: 118,658 | |||
Rutile: 24,656 | |||
Zircon concentrate.: 65,668 | |||
Table 1: Summary DFS metrics[ii].
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Forward Looking Statements
Information included in this release constitutes forward-looking statements. Often, but not always, forward looking statements can generally be identified by the use of forward-looking words such as “may”, “will”, “expect”, “intend”, “plan”, “estimate”, “anticipate”, “continue”, and “guidance”, or other similar words and may include, without limitation, financial forecasts, production targets, statements regarding plans, strategies and objectives of management, anticipated production or construction commencement dates and expected costs or production outputs. Forward looking statements inherently involve known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, performance, and achievements to differ materially from any future results, performance, or achievements. Relevant factors may include, but are not limited to, changes in commodity prices, foreign exchange fluctuations and general economic conditions, increased costs and demand for production inputs, the speculative nature of exploration and project development, including the risks of obtaining necessary licenses and permits and diminishing quantities or grades of reserves, political and social risks, changes to the regulatory framework within which the company operates or may in the future operate, environmental conditions including extreme weather conditions, recruitment and retention of personnel, industrial relations issues and litigation, as well as other uncertainties and risks set out in filings made by the Company from time to time with the Australian Securities Exchange and the U.S. Securities and Exchange Commission (“SEC”).
Forward looking statements are based on the Company and its management’s assumptions relating to the financial, market, regulatory and other relevant environments that will exist and affect the Company’s business and operations in the future. The Company does not give any assurance that the assumptions on which forward looking statements are based will prove to be correct, or that the Company’s business or operations will not be affected in any material manner by these or other factors not foreseen or foreseeable by the Company or management or beyond the Company’s control. There may be other factors that could cause actual results, performance, achievements, or events not to be as anticipated, estimated or intended, and many events are beyond the reasonable control of the Company. Accordingly, readers are cautioned not to place undue reliance on forward looking statements. Forward looking statements in these materials speak only at the date of issue. Except as required by applicable law or stock exchange listing rules, the Company does not undertake any obligation to publicly update or revise any of the forward-looking statements or to advise of any change in events, conditions or circumstances on which any such statement is based.
Non-IFRS financial measures
This announcement and the DFS contain certain financial measures (such as NPV and IRR) that are not recognized under International Financial Reporting Standards (IFRS). Although the Company believes these measures provide useful information about the Company's financial forecasts, they should not be considered in isolation or as a substitute for measures of performance or cash flow prepared in accordance with IFRS. As these measures are not based on IFRS, they do not have standardized definitions and the way the Company calculates these measures may not be comparable to similarly titled measures used by other companies. Consequently, undue reliance should not be placed on these measures.
[i] Figures shown are rounded. Based on Titan’s annual Phase 2 projected and LOM projected production of titanium in ilmenite and rutile, and NdPr in HREC oxides. IPX estimates for material intensities for various end-use applications. Sources: Adamas Intelligence; Benchmark Minerals; ORNL; DoE; MDPI Minerals 2023, 13, 1274; Resources, Conservation & Recycling (2025) 107966
[ii] Units throughout the DFS are stated in metric tons