Darling Range Bauxite Operations (Huntly and Willowdale) Feasibility Study: $55M NPV Over a 9-Year Mine Life
Alcoa Corporation's Darling Range Bauxite Operations (Huntly and Willowdale) in Western Australia, Australia has a Feasibility Study outlining an after-tax NPV of $55M. The proposed mine plan runs 9 years.
Alcoa Corporation's Darling Range Bauxite Operations (Huntly and Willowdale) has reported Feasibility Study results for the bauxite (alumina) project in Western Australia, Australia. The study headlines an after-tax net present value of $55M at a 9.5% discount rate. It reflects Alcoa Corporation's (AA) latest disclosed economics for the asset.
Economics. The after-tax NPV is $55M using a 9.5% discount rate. Economics are based on Average LOM price assumption $23.19/t bauxite.
Production and mine plan. The project envisions an open-pit operation. Life of mine is 9 years.
These figures are extracted from Alcoa Corporation's technical disclosures and reflect the most recent Feasibility Study 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 | 26.1 Mt | 29.2% AL, 1.61% SI | — |
| Probable | 397.6 Mt | 30.8% AL, 1.56% SI | — |
| Category | Tonnage | Grade | Contained |
|---|---|---|---|
| Measured | 139.6 Mt | 30.4% AL, 1.77% SI | — |
| Indicated | 48.7 Mt | 30.3% AL, 1.42% SI | — |
| Inferred | 101.4 Mt | 32.4% AL, 1.20% SI | — |
Our Analysis
- NPV after-tax
- $55M
higher than 7% of 518 projects we track
- Mine life
- 9yrs
- Study price assumption
- Average LOM price assumption $23.19/t bauxite
A nine-year mine life is the first thing to weigh here, and it is short: long enough to earn back a build, not long enough to be a generational asset. That matters more than usual because this is a feasibility study, the build-ready estimate that typically carries a plus or minus 15% band, and it is already in production. The engineering risk that normally dogs a development story is largely behind it. What remains is the question of how much value nine years of bauxite can actually generate.
On returns, the honest answer is modest. The after-tax NPV of $55M ranks higher than only 7% of the 518 projects we track across all commodities, so on a like-for-like basis this sits in the bottom tier of the peer set. That is not a verdict on the operation, which is running, but it does tell an investor where the upside is not: this is not a study that will re-rate on its own numbers.
The constraint that matters most is scale, not capital. Against a US$11.08B market cap, the NPV is well below the company's value, and this is one of 15 projects we track for the company, a diversified portfolio. A project this size simply cannot move a company that large. The study's $23.19/t average LOM bauxite assumption is the swing factor, and it is the one input an investor should stress directly: the returns rest on that figure holding across the mine life. The single question is whether nine years at that assumption is enough to justify the attention.
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.
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