Name of the Project
Keliber lithium hydroxide project.

Location
Central Ostrobothnia, Finland.

Project Owner/s
Keliber Oy. Sibanye-Stillwater owns a 85% stake in Keliber.

Project Description
The project will include the Kokkola refinery at the Kokkola industrial park.

The project comprises four initial opencast and three underground, highly mechanised mining operations – Syväjärvi and Rapasaari, with Emmes, Outovesi, and Länttä situated across the municipalities of Kaustinen, Kokkola and Kronoby respectively.

The mining operations will supply ore to the Päiväneva concentrator, which will be situated close to the Rapasaari mine. Concentrate produced at the Päiväneva concentrator is planned to be trucked about 66 km to the Kokkola refinery, which is forecast to produce about 15 000 t/y of battery-grade lithium hydroxide monohydrate.

Openpit and underground ore reserves of 12.7-million tonnes (0.92% lithium oxide), and mineral resources of 17-million tonnes (1.02% lithium oxide) support an estimated life-of-mine of 16 years at a forecast average milling rate of about 800 000 t/y.

Potential Job Creation
The project is expected to employ about 150 people.

Net Present Value/Internal Rate of Return
The updated definitive feasibility study (DFS) has estimated a pretax net present value, at an 8% discount rate, of €510-million, compared with the €295-million estimated in the 2018 DFS.

The pretax internal rate of return has also increased from 24% in the 2018 DFS to 28% in the 2019 updated DFS.

The payback period for the project has decreased from 5.5 years to 3.7 years.

Capital Expenditure
Sibanye-Stillwater approved capital expenditure (capex) of €588-million for the project in November 2022, of which the refinery’s capital cost is €359-million.

Planned Start/End Date
Keliber aims to start production at the chemical plant in 2024.

Latest Developments
Sibanye-Stillwater has announced that it will proceed with construction of the Kokkola lithium hydroxide refinery, on the west coast of Finland, as part of the overall Keliber lithium project.

This comes after Sibanye increased its interest in the Keliber project to 85% in October and approved capex of €588-million for the project.

Construction of the Kokkola refinery, which is the longest lead-time component of the Keliber project, will ensure optimal scheduling of the other key project components, ensuring the timeous ramp-up of the project to deliver into and capitalise on forecast looming lithium deficits and elevated lithium prices.

Construction of the refinery marks the first phase in the development of the Keliber project, with the other components of the project comprising development of the Syväjärvi openpit mine, followed by the Rapasaari mine, and the Päiväneva concentrator, which will be situated close to the Rapasaari mine.

The Syväjäri mine is fully permitted, while the environmental permits for the Rapasaari mine and Päiväneva concentrator are still outstanding. Should the permits be appealed, it could add between six and 36 months to the overall project timeline.

Should the Kokkola refinery be completed ahead of the permitting of the mines and concentrator, the refinery will be able to profitably beneficiate third-party spodumene until it can use its own mines’ supply.

Keliber has engaged with third parties to supply spodumene concentrate to the refinery should the permitting of the Rapasaari mine and the Päiväneva concentrator be delayed, and extensive work and analysis has been completed to ensure the feasibility of the Kokkola refinery as a standalone operation.

Key Contracts, Suppliers and Consultants
Metso Outotec (sustainable soda pressure leaching technology).

Contact Details for Project Information
Keliber Oy, tel +358 10 567 0600 or email info@keliber.fi.