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Highilghts

  • Fast-track application lodged with NZ Environmental Protection Authority for offshore project
  • Project targets recovery of vanadium, titanium, and iron from seabed mineral sands
  • Forecast annual EBITDA of US$312 million over an initial 20-year mine life

Manuka Resources Limited (ASX: MKR), through its wholly owned subsidiary Trans-Tasman Resources Limited (TTR), has lodged a fast-track consent application with the New Zealand Environmental Protection Authority (EPA) for its proposed Taranaki VTM Project.

The application, submitted on 15 April 2025 under application number FTAA-2504-1048, seeks approval for offshore extraction of iron sands located off the coast of Taranaki. The project aims to extract up to 50 million tonnes of iron sands annually and recover approximately 5 million tonnes of heavy mineral concentrate through magnetic separation.

The concentrate will contain iron ore and critical minerals vanadium and titanium. Once separated, the remaining sand will be returned to the seafloor through a controlled process. The project has been designed to operate over an initial 20-year mine life and is forecast to generate an annual EBITDA of US$312 million. The projected cost of production is US$27.20 per tonne, with a post-tax net present value (NPV10) of US$1.26 billion and an internal rate of return (IRR) of 39%, based on an initial capital investment of US$602 million.

An economic impact assessment conducted by the New Zealand Institute of Economic Research (NZIER) estimates the project will generate more than 1,350 jobs, including over 300 direct positions in the Taranaki and Whanganui regions. The assessment also forecasts export earnings exceeding $850 million annually, placing the project among New Zealand's top 12 exporters.

The Taranaki VTM Project aligns with New Zealand’s critical mineral strategy and its broader goal of doubling mineral export value to $3 billion by 2035. Manuka and TTR now await further steps in the fast-track approval process, with final decisions expected to involve EPA-facilitated expert panel review and stakeholder engagement.