Darling Range Bauxite (Huntly & Willowdale) PFS: $464M NPV Over a 9-Year Mine Life
Alcoa Corporation's Darling Range Bauxite (Huntly & Willowdale) in Western Australia, Australia has a Pre-Feasibility Study (PFS) outlining an after-tax NPV of $464M. The proposed mine plan runs 9 years.
Alcoa Corporation's Darling Range Bauxite (Huntly & Willowdale) has reported Pre-Feasibility Study (PFS) results for the bauxite project in Western Australia, Australia. The study headlines an after-tax net present value of $464M at a 12.25% discount rate. It reflects Alcoa Corporation's (AA) latest disclosed economics for the asset.
Economics. The after-tax NPV is $464M using a 12.25% discount rate. Economics are based on Average LOM bauxite price assumption of $21.00/t.
Production and mine plan. The project envisions an open-pit operation. Life of mine is 9 years.
Resources and ownership. The company holds a 100% interest in the project.
These figures are extracted from Alcoa Corporation's technical disclosures and reflect the most recent PFS on file. Compare this project against other developers and producers in our project economics database, and always verify the numbers against the original technical report before making any investment decision.
Reserves & Resources
| Category | Tonnage | Grade | Contained |
|---|---|---|---|
| Proven | 145.8 Mt | 31.4% A.Al2O3, 1.2% R.SiO2 | — |
| Probable | 255.8 Mt | 32.4% A.Al2O3, 1.2% R.SiO2 | — |
| Category | Tonnage | Grade | Contained |
|---|---|---|---|
| Measured | 44.9 Mt | 31.2% A.Al2O3, 1.15% R.SiO2 | — |
| Indicated | 51.8 Mt | 31.4% A.Al2O3, 1.17% R.SiO2 | — |
| Inferred | 140.3 Mt | 32.9% A.Al2O3, 1.26% R.SiO2 | — |
Our Analysis
- NPV after-tax
- $464M
higher than 46% of 403 projects we track
- Mine life
- 9yrs
- Study price assumption
- Average LOM bauxite price assumption of $21.00/t
The 9-year mine life places this bauxite project squarely in the middle of the pack for the 403 projects we track, and that rank is the first thing an investor should weigh. A 9-year operating horizon is not a generational asset; it is a finite, depleting resource that must generate its returns within a relatively narrow window. The after-tax NPV of $464M, sitting higher than 46% of tracked projects, confirms this is a solidly average economic proposition, not a standout. For a large-cap with a market cap of US$11.94B, this project is a portfolio contributor, not a company maker. The fact that it is one of 5 tracked projects for this diversified company reinforces that this is a single piece of a broader strategy, not a bet-the-company venture.
The constraint that matters most here is time, not capital. With a market cap well above the NPV, funding is not the hurdle; the project can be financed without existential dilution. The real question is whether a 9-year mine life justifies the execution risk embedded in a PFS-stage estimate, which carries a roughly plus or minus 25% band. That band is acceptable for a production decision at a large-cap, but it means the $464M NPV is a point estimate with meaningful swing. The study's average LOM bauxite price assumption of $21.00/t is the key sensitivity: bauxite is a bulk commodity where small price movements translate directly into margin, and a 9-year horizon gives limited time to ride out any downturn.
Western Australia is a mining-friendly jurisdiction, which de-risks permitting and operational continuity, but it does not change the fundamental arithmetic. A 9-year life, a mid-pack NPV, and a PFS-level estimate combine to make this a steady, unspectacular addition to a diversified portfolio. The decisive question is whether the company can execute the build and ramp within the PFS cost band, because any slippage against a 9-year clock directly compresses the already modest window for value creation. That execution discipline, not the resource or the jurisdiction, is what determines whether this project delivers its $464M or falls short.
Our take, benchmarked against the project economics in the Mining Stocks database. Figures are estimates drawn from company technical reports — not investment advice; always verify against the source filing.