Name of the Project
Cauchari-Olaroz lithium project.
Location
Jujuy, Argentina.
Client
The project is wholly owned by Minera Exar, a 50/50 joint venture (JV) between junior lithium firm Lithium Americas and Sociedad Qumica y Minera de Chile (LAC).
Project Description
Cauchari-Olaroz is believed to be the world's third-largest lithium brine resource and is fully permitted for immediate construction and development.
The JV is targeting a production capacity of about 40 000 t/y of lithium equivalent in its upcoming development plan investigations.
Since its inception in 2009, Lithium Americas has invested more than C$80-million in a resource exploration and project development programme, which includes resource definition, advanced modelling, about 10 000 m of drilling, testing and pumping wells and National Instrument 43-101 technical studies, including a definitive feasibility study (DFS) completed in 2012.
The 2012 DFS was based on a production capacity of 20 000 t/y lithium carbonate.
Jobs To Be Created
Not stated.
Net Present Value/Internal Rate of Return
The 2012 DFS estimated a post-tax net present value of $464-million.
Value
Not stated.
Duration
The project is expected to start production in 2019.
Latest Developments
The Argentina government has reaffirmed its support for the construction of the project.
Meanwhile, Minera Exar is proceeding with the development of the project and early construction activities.
Development activity is ongoing and is focused on campsite construction, added hydrological tests, drilling campaigns and testing pond liner materials at the site. The construction team is developing the detailed design and working with the evaluation of the first construction packages.
The construction of the first stage of 25 000 t/y of lithium carbonate production capacity is expected to be completed in 2019.
Key Contracts and Suppliers
None stated.
On Budget and on Time?
None stated.
Contact Details for Project Information
LAC investor relations, tel +1 778 656 5820 or email ir@lithiumamericas.com.