How Much Does It Cost to Build a Scheelite Processing Plant?

A worker is operating mineral processing equipment.

Scheelite, a mineral rich in tungsten, is a critical resource for industries like aerospace, electronics, and renewable energy. But turning raw scheelite ore into valuable tungsten products requires specialized processing—and that comes with significant costs. Whether you’re an investor, engineer, or industry enthusiast, this guide breaks down the expenses involved in setting up a scheelite processing plant, from equipment and energy to regulations and market trends.

A scheelite processing plant transforms calcium tungstate ore into high-purity tungsten, which is used to make:

1. Tungsten carbide (for cutting tools and machinery).

2. Pure tungsten metal (for aerospace components and electronics).

3. Tungsten chemicals (for coatings and energy storage).

The process involves crushing the ore, separating tungsten through physical or chemical methods, and refining it to meet industry standards.

1. Ore Quality and Processing Complexity

Scheelite ore varies in tungsten content. High-grade ore (with more tungsten) requires fewer processing steps, reducing costs. Low-grade ore needs extra steps like grinding, chemical leaching, and solvent extraction, which increase expenses. For example, processing low-grade ore might involve costly hydrometallurgical methods to achieve the purity needed for aerospace applications.

Scheelite ore pic2

2. Location of the Plant

Proximity to mines: Building near scheelite deposits cuts transportation costs. Plants in China’s Jiangxi Province, a major tungsten hub, save up to 25% on logistics.

Labor and infrastructure: Countries like Vietnam offer lower wages ($10–$20 per hour for skilled workers), while regions like North America have higher labor costs but better infrastructure. Remote locations may require building roads or power grids, adding millions to upfront costs.

3. Equipment and Technology

The machinery needed depends on the processing method:

Basic setups (crushing and gravity separation) cost $2 million to $8 million. Maybe learn more about gravity machines.

Advanced systems (high-pressure autoclaves, ion-exchange units) range from $5 million to $25 million.

Automation reduces long-term labor costs but adds $1 million to $4 million upfront.

A small plant processing 50–100 tons of ore daily might cost $15 million to build, while a large facility handling 500+ tons could exceed $60 million.

Gravity separation machine

4. Energy and Water Usage

Scheelite processing is energy-intensive, especially during grinding and chemical treatments. Energy bills can make up 30–50% of operational costs. Some plants use renewable energy (like hydropower) to lower expenses, though this requires higher initial investment.

Water is crucial for chemical processes. Recycling systems ($1 million to $3 million) reduce water use by up to 60%, saving money and meeting environmental standards.

5. Environmental and Regulatory Compliance

Strict environmental laws add to both startup and ongoing costs:

1. Waste management: Safely disposing of byproducts like arsenic costs $2 million to $10 million.

2. Emissions control: Installing scrubbers and filters adds $1 million to $5 million.

3. Permitting: Securing licenses can take 2–5 years and cost up to $2 million.

1. Upfront Costs (CAPEX)

Building the plant requires significant initial investment:

1. Land acquisition: $1 million to $5 million.

2. Equipment: $10 million to $40 million.

3. Construction: $5 million to $20 million.

4. Permits: $500,000 to $2 million.

2. Ongoing Costs (OPEX)

Running the plant involves recurring expenses:

1. Labor: $2 million to $15 million annually.

2. Energy: $3 million to $20 million per year.

3. Maintenance: $1 million to $8 million.

4. Raw materials: $5 million to $25 million for ore.

The workers are operating the gravity separation equipment.

1. Tungsten prices: Range from $30,000 to $50,000 per ton, driven by demand from EVs and renewable energy.

2. Supply chain: China produces 80% of the world’s tungsten, but new mines in Canada and Australia aim to diversify supply.

3. Risks: Price swings, regulatory changes, and competition from recycled tungsten (30% of supply).

Q: How long does it take to build a scheelite plant?

A: Typically 3–5 years, including permits, construction, and equipment setup.

Q: Can small plants compete with large ones?

A: Yes, by focusing on niche markets like tungsten chemicals or custom alloys.

Q: Is scheelite processing eco-friendly?

A: Modern plants use recycling and cleaner tech to reduce environmental impact.

The cost of a scheelite processing plant ranges from $15 million to over $60 million, depending on ore quality, location, and technology. While high-grade ore reduces expenses, advanced methods are key for high-purity outputs. Success hinges on strategic planning, energy efficiency, and adapting to market trends. With tungsten’s growing role in green tech, a well-designed plant could offer strong returns—if investors navigate risks like price volatility and regulations.

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