Australia

VRX Silica sees increasing demand for glass in Asia driving silica sand growth

VRX Silica Ltd (ASX:VRX) is preparing to supply the increasing demand for flat glass in the Asian construction and automobile industry from its three advanced WA silica sand projects.

Silica sand has supported human progress throughout history, being a key raw material in the industrial development of the world, especially in the glass, metal casting and ceramics industries.

Globally and particularly in Asia, silica sand is in a growth phase due to increasing demand from the construction sector as a raw material for flat glass, with both volume and value having increased worldwide.

Flat glass market outlook

Sales of silica sand experienced a compound annual growth rate of about 8.7% in value terms from 2009 to 2016, with a market value of US$6.3 billion.

The Asia Pacific flat glass market is currently experiencing high growth because of increased demand from the construction and automotive sectors.

Total investment in infrastructure in Asia Pacific

VRX silica sand projects

VRX Silicas recent bankable feasibility study (BFS) for the Muchea Silica Sand Project in WA demonstrated outstanding financial metrics.

The BFS, which outlines an ungeared net present value of $338 million based on 25 years of a potential mine life of 100-plus years, indicates that Muchea is capable of producing very high-grade silica sand products.

The companys BFS for the Arrowsmith Central SilRead More – Source