Quarterly Activities and Cashflow Report - December 2015
Brisbane, Jan 22, 2016 AEST (ABN Newswire) - Orocobre Limited (
ASX:ORE) (TSE:ORL) (OROCF:OTCMKTS) Quarterly Report of Operations, Activities and Cashflow Report For The Period Ended 31 December 2015
Highlights
Olaroz Lithium Facility
- Production ramp up continues with production of 1,108 tonnes of lithium carbonate during the quarter. This is an increase of 616 tonnes over the previous quarter. All reported lithium carbonate tonnes produced are saleable tonnes.
- Production rate of 20 tonnes per day achieved towards the end of December.
- January production on track to meet forecast of 600-650 tonnes forecast for the month.
- All "de-bottlenecking" projects expected to be completed by the end of January 2016 permitting the plant to enter the final stage of ramp up.
- Lithium carbonate prices are now increasing to over US$6,000/tonne with further increases expected into CY2016 and beyond as lithium market conditions continue to tighten.
- First battery market customers to be supplied with commercial quantities in Q1 with deliveries scheduled to commence in February.
- MOU signed with Bateman Advanced Technologies (BAT) to evaluate the BAT LiSXTM process.
- Competitiveness improved by devaluation of the AR$ and removal of export duties on lithium carbonate.
Borax Argentina
- Sales volume in the quarter was 10,078 tonnes which is an increase of 1,954 tonnes on the previous quarter and an increase of 1,333 tonnes on the same quarter last year (8,745 tonnes) on a comparable basis excluding sales of low value tincal ore.
- Focus remains on the product and market diversification strategy and production optimisation projects.
- Competitiveness improved by devaluation of the AR$ and removal of export duties on refined borax products.
Corporate
- Argentine Government policy changes that directly benefit the Company include removal of the "dollar clamp", floating of the Argentine peso, elimination of export duties and removal of controls on importation of goods.
- The Annual General Meeting was held on 6 November with all resolutions passed.
To view the full quarterly, please visit:
http://media.abnnewswire.net/media/en/docs/ASX-ORE-902828.pdf
To view the Investor Update Presentation, please visit:
http://media.abnnewswire.net/media/en/docs/ASX-ORE-902821.pdf
About Orocobre Limited
Orocobre Limited is listed on the Australian Securities Exchange and Toronto Stock Exchange (
ASX:ORE) (TSE:ORL) (OTCMKTS:OROCF), and is building a substantial Argentine based industrial chemicals company through its portfolio of lithium, potash and boron assets. In partnership with Toyota Tsusho Corporation (TTC) and JEMSE, Orocobre has built and is now operating the world's first commercial, brine-based lithium operation constructed in approximately 20 years.
In 2018 Orocobre announced the Stage 2 Expansion of its flagship Olaroz Lithium Facility in Argentina. The Stage 2 Expansion will add 25,000 tpa of lithium carbonate production capacity, taking full production and capacity to 42,500 tpa of lithium carbonate for sale to industrial, technical and battery markets, positioning Orocobre as one of the world's largest and lowest cost lithium chemicals producers.
Additionally, Orocobre and Toyota Tsusho Corporation have commenced construction of the 10,000 tpa lithium hydroxide plant in Naraha, Japan. The construction of the Naraha Lithium Hydroxide Plant will further cement Orocobre's position as a global lithium chemicals producer operating at the bottom quartile of the lithium cost curve. This new hydroxide plant will be the first of its kind in Japan and will provide Orocobre product diversification suitable for different battery technologies and the potential for significant margin growth on our primary lithium carbonate being converted to battery grade lithium hydroxide.
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