https://www.miningweekly.com

DFS opens door for Keliber to advance Finland lithium project

15th June 2018

By: Creamer Media Reporter

     

Font size: - +

Exploration and development firm Keliber has published the results of a definitive feasibility study (DFS) for its lithium project, in Finland, confirming its financial and technical feasibility.

The DFS endows the lithium project with a net present value, using an 8% discount, of €295-million, a pretax internal rate of return of 24% and a payback period of 5.5 years.

The study establishes a capital expenditure estimate of €255-million for the mine, concentrator and chemical plant.

Keliber will use the DFS to qualify the lithium project for construction financing. The company reports that it is progressing negotiations for a combination of debt and equity funding for the project.

The DFS estimates that the project has potential to generate total life of operations revenue of €2.28-billion and operating cash flow €1.21-billion.

Based on current ore reserves, the life-of-mine is 13 years. The project is extended to 20 years by purchasing spodumene concentrates from third parties for seven years after the mine is exhausted.

"The successful completion of the DFS is a crucial milestone and will form a strong base for the company to become the first vertically integrated European lithium producer located near the fast-developing European lithium markets.

“The market for lithium products is extremely strong and demand is forecast to grow rapidly throughout the next decade. At the beginning of the 2030s, lithium consumption is estimated to be seven times higher than current consumption,” says Keliber Oy CEO Pertti Lamberg.

Keliber’s flowsheet selection for the project is a conventional spodumene concentrator, conversion of alpha to beta spodumene in a rotary kiln and a soda pressure leach process to produce lithium carbonate.

The 600 000 t/y concentrator plant will be located in Kalavesi Kaustinen and the chemical plant for lithium carbonate production will be in Kokkola Industrial Park and will produce 11 000 t/y.

The soda pressure leaching process for the lithium carbonate production enables production of battery grade (over 99.5%) lithium carbonate.

The lithium carbonate production process will deliver two by-products, analcime sand and quartz-feldspar sand, which could potentially have a commercial value.

The clean-tech soda pressure leaching process is planned and designed in close cooperation with Outotec.

“Our planned investment is one of the biggest investments in Central Ostrobothnia for decades. Our future production will directly employ about 140 people, with the multiplier effect on employment being even greater,” says chief production officer Manu Myllymäki.

Edited by Creamer Media Reporter

Comments

Latest News

Kropz Elandsfontein
Kropz secures R170m loan facility
27th March 2024 By: Darren Parker

Showroom

Rentech
Rentech

Rentech provides renewable energy products and services to the local and selected African markets. Supplying inverters, lithium and lead-acid...

VISIT SHOWROOM 
Showroom image
Alcohol Breathalysers

Supplier & Distributor of the Widest Range of Accurate & Easy-to-Use Alcohol Breathalysers

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Hyphen, Eva mine, ferrochrome price make headlines
Hyphen, Eva mine, ferrochrome price make headlines
27th March 2024
Resources Watch
Resources Watch
27th March 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.19 0.222s - 88pq - 2rq
Subscribe Now