Name of the Project
Maricunga lithium brine project.

Location
Northern Chile.

Project Owner/s
Minera Salar Blanco (MSB), a subsidiary of Lithium Power International.

Project Description
Maricunga is regarded as one of the highest-quality preproduction lithium brine development projects globally.

The project has mineral resources of 2.07-million tonnes of lithium carbon equivalent.

The study’s mineral reserve estimate of 742 000 t of lithium carbon equivalent supports the 20 000 t/y projected for the project over its 20-year mine life.

The study is based on an average of 173 ℓ/s of brine throughout the project’s mine life, with a peak extraction rate of 300 ℓ/s during the first two years of the project to allow for the ponds to fill. Brine will be extracted from a minimum of 12 individual wells, pumping through two central collection ponds to the evaporation ponds.

Concentrated lithium brine from the evaporation ponds will be pumped to the reservoir ponds, which will feed a salt removal plant. The concentrated lithium brine obtained from the plant will be fed to the lithium carbonate plant, where purification, solvent extraction and filtration remove remaining impurities, including calcium, magnesium and boron. Thereafter, the concentrated lithium brine will be fed to a carbonation stage, where the lithium carbonate precipitates through the addition of soda ash.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has a leveraged net present value, at an 8% discount rate, of $1.3-billion and an internal rate of return of 29.8%, with a payback of 3.5 years.

Capital Expenditure
Total capital expenditure is estimated at $563-million.

Planned Start/End Date
Construction of the mine and lithium plant is expected to begin in 2020, with first production of lithium expected in 2023.

Latest Developments
Lithium Power plans to raise A$12.4-million through a share placement to sophisticated and institutional investors.

The company will place 47.69-million shares, at 26c each, with the offer price representing a 10.3% discount to the company’s last closing price, and a 12.9% discount to its five-day volume weighted average share price.

Funds raised in the placement will be used for the development of the Maricunga lithium brine project, and for renewed exploration programmes at Lithium Power’s Western Australian operations, including its Greenbushes project and other targets.

“We are working with a number of large, international institutions to partner us in the final development of Maricunga. The quality of these potential partners is very encouraging,” CEO Cristobal Garcia-Huidobro has said.

Key Contracts, Suppliers and Consultants
WorleyParson (definitive feasibility study) and GEAMesso (produc­tion process design and future supply contract for the equipment and production plant).

Contact Details for Project Information
Lithium Power International, tel +61 2 9276 1245 or email info@lithiumpowerinternational.com.