A resource update for Robert Friedland-backed developer Sunrise Energy Metals’ (ASX: SRL) Syerston scandium project in New South Wales, has nearly doubled its resource and positions it among the largest and highest grade scandium projects in the world. Shares surged to a near-three year high.
The revised estimate at a 300 parts per million (ppm) cutoff now stands at 45.9 million measured and indicated tonnes grading 414 ppm scandium for 19,007 tonnes of contained scandium, representing a 98% increase in metal content compared to the previous update released at the start of the year, Sunrise reported Tuesday. At a higher 600 ppm cutoff, the contained scandium grew by 161% to 1,155 tonnes. The project’s initial resource was released in 2016. Syerston is about 450 km west of Sydney.
“Global supply remains tight since China’s export controls were imposed in April 2025, positioning Syerston as a strategically important source for future scandium supply,” Sunrise CEO Sam Riggall said in a release. “Our focus now turns to completing the feasibility study and evaluating various financing options for the project.”
Sunrise shares jumped by 13% to A$2.25 (C$2.06) apiece on Tuesday in Sydney, giving the company a market capitalization of about A$265 million.
China’s scandium hold
The resource expansion comes at a pivotal moment for the scandium market.
In April, China imposed new export licensing restrictions on the metal, a critical input in lightweight aerospace alloys, semiconductors, and advanced manufacturing.
Total world scandium production was less than 40 tonnes in 2022. Demand, meanwhile, is tipped to surpass 110 tonnes a year by 2026. Over 90% of global demand comes from the U.S., for both civilian and defence applications. Most supply is controlled by China.
‘Rebuilding supply chains’
Sunrise is positioning Syerston as a reliable Western source of scandium oxide. Australia currently has no scandium production or processing.
Attention now turns to the updated feasibility study, expected before the end of September, which will incorporate the expanded resource base.
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