Alurion Resources Study Shows Amargosa Roads Can Handle Double the Bauxite Volume
Key Takeaways
- Road haulage for Amargosa is viable up to 11.5 wet Mtpa with no modelled road-capacity constraints, double the 5.75 wet Mtpa Scoping Study base case.
- Engimind, independent of Alurion and with fees not tied to the outcome, is the first PFS workstream to complete.
- Alurion trucks would make up less than 1% of corridor traffic at 5.75 Mtpa and 1.6% at 11.5 Mtpa on the route to the Port of Enseada.
- An 86 km road link to a proposed FIOL rail load-out could avoid a roughly 40 km rail spur, but Alurion holds no access rights or agreements.
- The PFS is targeted for mid-2027, with no Ore Reserve estimated and the Scoping Study accurate only to ±35%.
Independent study confirms road haulage up to 11.5 Mtpa for Amargosa
An independent road-logistics study has found that road haulage is viable at all tested capacities up to 11.5 wet Mtpa, with no modelled road-capacity constraints identified. That is twice the Scoping Study base case of 5.75 wet Mtpa (5 Mtpa dry) for the Amargosa bauxite project.
Alurion Resources (ASX: ALU) said the study, prepared by Engimind, is the first of the sequenced pre-feasibility study (PFS) workstreams to complete. For you as an investor, it addresses a key logistics assumption ahead of the PFS targeted for mid-2027.
Maurício Noronha, Chief Executive Officer
“The study provides independent validation for the road-capacity assumptions in Amargosa’s development planning…”
“…no modelled road-capacity constraints under any of the three haulage scenarios assessed.”
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How the study tested three haulage scenarios
What is a road-logistics capacity study?
It checks whether public roads, trucks and terminals can move a given tonnage without congestion or delays. It matters because export logistics feed directly into a project’s capital and operating costs.
Engimind measured existing road traffic, projected its future growth and added Amargosa’s truck movements under each scenario. It also simulated the full haulage cycle and loading-yard operations to assess fleet requirements, turnaround times and terminal capacity.
Scenarios and independence
Three haulage scenarios were assessed: the Scoping Study base case of 5.75 wet Mtpa, plus 8.6 and 11.5 wet Mtpa. Alurion states these are road-logistics capacity assessment scenarios, not production targets, production forecasts or statements of intent.
Engimind is a specialist transport-engineering consultancy established in 2006, with more than 3,000 projects completed. It is independent of Alurion, and its fees for the study are not contingent on the study’s conclusions or outcome.
The study identified the following parameters:
- A preferred seven-axle truck configuration with a gross combination weight of 59 tonnes
- District loading terminals, with terminal site selection under way
- Targeted local access-road upgrades
Northern route to Enseada: the base case
Road haulage to the Port of Enseada remains the base case, mostly via the BR-101 federal highway. The route uses the established highway network.
| District | Route | Distance | Destination |
|---|---|---|---|
| North District | Mostly via BR-101 | Approx. 160 km | Port of Enseada |
| Central District | Mostly via BR-101 | Approx. 220 km | Port of Enseada |
Alurion trucks are expected to represent less than 1% of total vehicles on the corridor at 5.75 Mtpa, rising to 1.6% at 11.5 Mtpa. That suggests the project would be a modest presence on the road.
Alurion is also leading engineering studies, with input from the port operator, on port configurations that could lift Enseada’s export capacity to up to 13.5 wet Mtpa. Binding port access and any capacity expansion remain subject to commercial agreement with the port operator, and the PFS will test whether higher volumes improve project economics.
The route and fleet parameters provide a basis for PFS fleet sizing and operating-cost estimates. Mine-to-port logistics capital is expected to include the haulage fleet, district terminals and access-road works, with estimates to be updated in the PFS.
Southern FIOL and Porto Sul option offers longer-term upside
The study also validated an 86 km road route from the Central District to the site of a proposed FIOL rail load-out. The findings support evaluation of a connection that could avoid the approximately 40 km dedicated rail spur envisaged in the Scoping Study, potentially reducing infrastructure requirements and capital intensity.
Indicative design capacities are approximately 60 Mtpa for FIOL rail and 40 Mtpa for Porto Sul. These figures are drawn from publicly available third-party sources and have not been independently verified by Alurion. Figure 3 in the announcement shows FIOL rail as 70% complete.
The caveat is important. Alurion holds no rights, access entitlement or capacity allocation in respect of this infrastructure and has not entered into any agreement in relation to it. Development remains dependent on completion of FIOL and Porto Sul and securing commercial access, while the Enseada base case can advance independently.
Maurício Noronha, Chief Executive Officer
“The southern connection adds a longer-term opportunity to develop more of Amargosa’s resource base, potentially with less dedicated infrastructure…”
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Next milestones toward the mid-2027 PFS
The road study feeds into mine planning, scheduling and the PFS commercial workstreams. The remaining steps are:
- Drilling, trenching and metallurgical programs scheduled from Q4 2026 onwards
- Results expected to be reported as each program is completed
- PFS integration of route, fleet, terminal and port configurations, with completion targeted for mid-2027
A defined logistics chain, with growth options, now sits behind the PFS. Keep the limits in view, though: no Ore Reserve has been estimated for Amargosa, and the Scoping Study was prepared to an intended accuracy of ±35%.
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