Lake Resources NL Stock Market Press Releases and Company Profile

View in Other Languages Lake Resources NL (ASX:LKE) Kachi PFS to Unlock Top 10 Global Lithium Brine Resource Lake Resources NL (ASX:LKE) Kachi预可行性研究将开启全球前十的卤水锂矿资源 
Kachi PFS to Unlock Top 10 Global Lithium Brine Resource
Kachi PFS to Unlock Top 10 Global Lithium Brine Resource

Brisbane, April 3, 2019 AEST (ABN Newswire) - One of the Top 10 largest lithium brine resources globally is poised for development, with Lake Resources NL (googlechartASX:LKE) announcing today the commencement of a pre-feasibility study (PFS) at its 100% owned Kachi Lithium Brine Project (Figure 2). It is located in a highly prospective area for lithium brine, being situated south of Livent/FMC's lithium production centre, which has been operating for over 20 years, and near Albemarle's Antofalla project in Catamarca Province. The region has been subject to significant corporate transactions recently involving lithium brine assets, implying an acquisition cost of US$50-$110 million per 1 million tonnes of LCE resources.

- Pre-feasibility study (PFS) commences at Lake's Kachi Lithium Brine Project following securing of new investor support.

- Kachi project ranked amongst top 10 global lithium brine resources, comprising a large lithium brine-bearing basin over 20km long, 15km wide, and 400m to 800m deep with an Indicated and Inferred Resource of 4.4 Mt LCE (lithium carbonate equivalent) (Indicated 1.0Mt and Inferred 3.4Mt).

- Phase 1 engineering study has shown great potential for operating costs in the lowest cost quartile of US$2600/t LCE, using a direct extraction technique, which has shown 85-90% recoveries and lithium brine concentrations in excess of 25,000 mg/L lithium.

Lake recently announced a maiden resource for Kachi of 4.4 million tonnes lithium carbonate equivalent (LCE) within an exploration target of 8-17 million tonnes LCE (refer ASX announcement 27 November 2018). This occurs within consolidated mining leases enlarged to cover 69,000 hectares and covers almost the entire salt lake. This places the Kachi resource amongst the top 10 lithium brine resources globally, at a time when there is an increasing demand for new lithium supply sources and constrained production from major producers.

In the coming weeks, an international engineering company will be announced to be working with Lake at Kachi on the PFS. This study will examine the project's technical and economic viability, including both conventional processing and direct extraction methods, project engineering design, product specifications, optimisation of recovery, and operating and capital costs. It is expected that there will be significant cost reductions (projected to be within the lowest quartile cash costs) and superior recoveries for direct extraction compared to evaporation ponds. As part of the project development, an on-site pilot plant is being planned to further assess the ion exchange technology developed by Lilac Solutions (refer ASX announcement 10 December 2018).

Lake is currently in discussions with a number of parties with respect to production development funding and partnership at its Kachi project that would assist with financing the feasibility study that is likely to follow on from the PFS. The Company has sufficient funds from Amvest for the PFS.

Lake's Managing Director Steve Promnitz said: "Today's announcement is a significant milestone for Lake and for the Kachi project, the most advanced of Lake's four wholly owned lithium projects in Argentina. The Kachi project has the potential to become a globally significant lithium brine resource and a major lithium producer.

"Discussions will soon be completed with various technical providers of internationally acceptable PFS studies, so that the Company can demonstrate how Kachi can be taken into production using new direct extraction methods at a competitive cost. We are keenly aware of the opportunity at Kachi and are determined to advance its development into production, together with our Olaroz-Cauchari projects. Kachi is one of the largest wholly owned lithium brine basins in the 'Lithium Triangle', responsible for half the world's lithium output and at the lowest-cost."

Summary

Lake Resources' 100%-owned Kachi Lithium Brine Project in Catamarca province, NW Argentina, covers a consolidated package of 36 mining leases recently expanded to 69,000 hectares (170,000 acres), centred around a previously undrilled salt lake within a large lithium brine-bearing basin. Kachi is one of the few salt lakes in Argentina with substantial identified lithium brines fully controlled by a single owner, Lake.

The Kachi project's maiden JORC Mineral Resource estimate released in late November 2018 is 4.4 million tonnes of contained Lithium Carbonate Equivalent (LCE) in Inferred and Indicated Categories extending to 400m below ground level in porous permeable sediments. This contains 1 Mt LCE as Indicated resources, and 3.4 Mt of LCE as Inferred resources, with a resource depth of 400m for both areas (see Table 1) at an average grade of 211 mg/L lithium and Mg/Li ratio of 4.7. In total, this comprises 1,092,500 tonnes of lithium metal (4.4 million tonnes of lithium carbonate), and 30 million tonnes of potassium chloride. This is within the top 10 lithium brine projects globally and a similar size to major lithium brine producers in Argentina and Chile. Brine-bearing sediments remain open at depth and laterally, with the opportunity for resource expansion through additional deeper drilling and extending the exploration footprint.

The Phase 1 engineering study completed with technology partner Lilac Solutions showed the potential for lithium production costs to be US$2600/tonne (+/-30%), which is in the lowest quartile of the cash cost curve, using Lilac's direct extraction process on the Kachi brines. Lilac's extraction technology also offers the potential for a reduced environmental impact due to the removal of evaporation ponds, helping preserve an aqueous resource in an arid environment.

High lithium recoveries of 85-90% were confirmed from multiple brine samples, with lithium concentrations greater than 25,000 mg/L produced from ~300 mg/L lithium brine. An on-site pilot plant is under discussion for 2019. The pre-feasibility study (PFS) is a precursor to full-scale commercial project offering rapid, low-cost production with low environmental impact. The planned approach is to produce a concentrate of purified lithium brine on site and then convert to lithium carbonate at a location with more established infrastructure and workforce. Most reagents are easily sourced locally, except for proprietary materials.

To view figures, please visit:
http://abnnewswire.net/lnk/733666EB


About Lake Resources NL

Lake ResourcesLake Resources NL (ASX:LKE)  (OTCMKTS:LLKKF) is a clean lithium developer utilising state-of-the-art ion exchange extraction technology for production of sustainable, high purity lithium from its flagship Kachi Project in Catamarca Province within the Lithium Triangle in Argentina among three other projects covering 220,000 ha.

This ion exchange extraction technology delivers a solution for two rising demands - high purity battery materials to avoid performance issues, and more sustainable, responsibly sourced materials with low carbon footprint and significant ESG benefits.

https://twitter.com/Lake_Resources https://www.linkedin.com/company/lake-resources/ abnnewswire.com 


Contact

Steve Promnitz
Managing Director
Lake Resources N.L.
T: +61-2-9188-7864
E: steve@lakeresources.com.au



ABN Newswire
ABN Newswire This Page Viewed:  (Last 7 Days: 6) (Last 30 Days: 41) (Since Published: 4870) 

View in Other Languages 48704114 (8984)

googlechart