VRX Silica Limited (ASX: VRX) has achieved a significant milestone in its Arrowsmith North Silica Sand Project, with the Environmental Protection Authority of Western Australia (EPA) recommending the project’s implementation.
The EPA’s assessment report, published on January 9, 2025, outlines conditions for the project’s approval, which VRX has accepted following consultations.
The Arrowsmith North project, located 270 kilometres north of Perth, is set to become a major silica sand operation with a minimum 25-year mine life and an annual production capacity exceeding two million tonnes of high-grade silica sand.
This development is poised to address the growing silica sand shortage in the Asia-Pacific region, supplying markets for container glass, flat glass, and foundry industries.
Bruce Maluish, Managing Director of VRX Silica, commented on the achievement: “This is a significant milestone for the company, with the EPA recommending that the Arrowsmith North development proposal be implemented subject to conditions accepted by VRX following consultation with the EPA.”
He emphasised the project’s potential to create a new industry in Western Australia’s Midwest region, bringing long-term employment and economic benefits to the state.
The EPA’s recommendation triggers a three-week review period, during which time further input can be provided and any appeals addressed.
Following this period and the resolution of any appeals by an independent convenor, the proposal will be presented to the Minister for Environment for final approval under Part IV of the Environmental Protection Act.
This development comes at a time when the global washed silica sand market is projected to grow significantly, from US$6.12 billion in 2023 to US$12.13 billion by 2032, at a CAGR of 7.9 per cent.
VRX Silica’s Arrowsmith North project, along with its other silica sand projects in Western Australia, positions the company to capitalise on this growing market demand.
As the project moves closer to final approval, it represents not only a significant opportunity for VRX Silica but also a potential boost for Western Australia’s economy and its position in the global silica sand market.
