The study predicted that the project could deliver approximately 13,000t of titanium dioxide and 300t of vanadium oxide per annum.
Barrambie project, which requires a capital investment of A$109m, is anticipated to have a life-of-mine of 27 years.
Reed Resources said it will now progress the continuous scale mini-pilot plant evaluation of the hydrometallurgical technology to produce titanium, subject to the receipt of a technology licence.
The company plans to proceed with a prefeasibility study (PFS), as recommended by Snowden, which is expected to be completed by September 2014.
Reed Resources noted that the scoping study had also identified several opportunities to further improve the economics of the project by optimising factors such as the scalability of the plant throughput rate, cogeneration of electricity to reduce operating costs and the production of aluminium oxide product.
The project contains total indicated and inferred mineral resources of 47.2Mt at 22.2% TiO2, 0.63% V2O5, and 46.7% Fe2O3, at a cut-off grade of 15% TiO2.
Reed Resources’ current preferred strategy is to advance the project to a suitable stage of evaluation to attract a joint venture partner to fund and operate the development.
Australia-based Reed Resources explores for iron, titanium, vanadium, lithium, nickel, silver, and zinc deposits.
The company owns a 100%-interest in the Meekatharra gold project and a 70%-interest in Mount Marion lithium project.