Name of the Project
Thacker Pass lithium project.
Location
The project is located in Humboldt County, Nevada, in the US.
Client
Lithium Americas.
Project Description
The project has a proven and probable reserve estimate of 179.4-million tonnes of ore, with an average grade of 3 283 parts per million lithium containing 3.1-million tonnes of lithium carbonate equivalent.
The prefeasibility study (PFS) envisages a large-scale lithium project, with a design capacity of 60 000 t/y of battery-grade lithium carbonate. Phase 1 production is estimated at 30 000 t/y, increasing to 60 000 t/y in Phase 2.
The project will be developed as an openpit mining operation using conventional continuous mining equipment.
Given the soft nature of the deposit, minimal blasting and crushing are expected.
The ore will be processed in a leaching circuit using sulphuric acid to liberate the lithium from the claystone.
Following the leaching process, the lithium-bearing solution will be purified using crystal-lisers and reagents to produce battery-grade lithium carbonate.
The mine plan contemplates mining 509.8-million tonnes of material, comprising 330.4-million tonnes of waste rock and 179.4-million tonnes of ore (delivered to plant) over a 46-year mine life.
With the reliance on sulphuric acid, the project will involve the construction of a 5 280 t/d (Phase 1 – 2 640 t/d ) conventional sulphuric acid plant site. The plant will convert molten sulphur into low-cost sulphuric acid, reducing transportation costs and providing a low-cost source of power.
Excess acid will be sold locally to large consumers in the region. In addition, the sulphuric acid plant proposes a cogeneration facility, providing enough carbon-free electricity to power the entire project, with excess power being sold to the grid.
Additional infrastructure in Phase 2 includes:
doubling the sulphuric acid capacity by building a second acid plant;
increasing capacity in ore preparation, leaching, filtration, crystallisation and reagent storage; and
construction of a rail line with service directly to the plant.
The production process is designed to use conventional and commonly available equipment, arranged to take advantage of the distinctive qualities of the high-grade ore. The process comprises a series of steps to concentrate, separate and produce battery-grade lithium carbonate.
Potential Job Creation
Not stated.
Net Present Value/Internal Rate of Return
The project has a pretax net present value, at an 8% discount rate, of $3.9-billion and an internal rate of return of 36.6%.
Value
Initial capital costs, including a 19% contingency, are estimated at $581-million for Phase 1 and at $478-million for Phase 2.
Duration
The PFS envisages initial Phase 1 production capacity of 30 000 t/y of battery-grade lithium carbonate starting in 2022. Phase 2 construction is projected to start in 2025, with added production entering the market by 2026.
Latest Developments
Lithium Americas is contemplating a smaller Phase 1 operation at its Thacker Pass project, with its production plan cut by one-third.
The company has started a definitive feasibility study (DFS) for a Phase 1 production capacity of 20 000 t/y of battery-quality lithium carbonate-equivalent (LCE).
This compares with the 2018 PFS’s planned Phase 1 production of 30 000 t/y at a capital cost of $581-million, as part of a larger 60 000 t/y operation that will cost $1.06-billion.
The DFS should be completed by mid-2020. A formal financing process, including a potential joint venture partner, will start next year.
The scaled back plan for Thacker Pass comes as lithium prices have crashed in recent months. Propelled by strong demand from the lithium-ion battery industry and uncertainty over future supply, prices exploded between 2016 and 2018, prompting widespread interest and investment in lithium projects.
Key Contracts and Suppliers
None stated.
On Budget and on Time?
Too early to state.
Contact Details for Project Information
Lithium Americas, email info@lithiumamericas.com.