Orbite updates on construction of HPA facility

During the 2nd quarter of 2014, Orbite continued the development of its HPA project with its engineering partners Seneca for detailed engineering, Groupe Alphard for project management and procurement, with Outotec for the supply of its calcination system, and with CMI for the supply of the acid recovery system for the production of high purity alumina.

At its Technology Development Center (“TDC”) in Laval, Québec, the Corporation performed additional pilot trials on HPA synthesis and purification steps to optimize product quality, production yields, as well as operating costs. Equipment testing was also pursued to define operating parameters to customize product for specific applications.

At the Cap-Chat HPA facility, the Corporation ran a production campaign of aluminum hexahydrate crystals (precursor of HPA) to confirm optimum design conditions at industrial scale as well as to produce high quality intermediate for processing into customer samples for their supplier qualification processes. All results were positive and in line with expectations based on work conducted at the TDC and engineering calculations.

The Corporation also performed additional calcination trials at Outotec’s pilot center in Germany to confirm benefits of process development carried out at its TDC and provide supplier data in order to develop advanced process control logic for the Cap-Chat calcination system. Outotec’s manufacturing of the calcination system (decomposer, calciner and cooler) is progressing according to schedule. On July 14, 2014, Orbite announced that the calcinator equipment ordered from Outotec in Germany had arrived in Québec. The shipment, representing approximately 50% of the total investment in the calcination system, includes a combination of refractory and solids handling devices, as well as monitoring and control instrumentation. Also expected to arrive at the plant from Outotec’s facility in Burlington, Ontario, are pre-shaped refractory bricks. Progress on fabrication of the vessels for the calcination system at Outotec’s Burlington facility is also progressing according to schedule, with all progress and quality inspection reports being positive. The various components of the calcination system will be shipped to the Cap-Chat facility in accordance with the construction schedule.

On the engineering front, Seneca is finalizing the detailed engineering, integrating the findings of the HAZOP (hazard and operability review) as well as the latest information from the equipment suppliers.

The Corporation is advancing equipment procurement with different suppliers. It also initiated the tender process for the construction portion, refractory installation & curing, as well as for equipment fabrication. The contract for erecting the plant’s structural features was awarded, and Orbite expects to award other major construction and fabrication contracts shortly. With input from its various partners, Orbite is optimizing the construction sequence and schedule for the project. The site is presently being prepared for the arrival of construction equipment and crews, and construction is anticipated to commence in August, following the Québec construction holiday.

(The Corporation is a development stage company and has no revenues.)