Name of the Project
Bougouni lithium project.

Location
The project is located in southern Mali.

Project Owner/s
Kodal Minerals.

Project Description
A scoping study has confirmed the project’s outstanding potential.

The study has evaluated the technical and potential economic viability of an openpit mine development at the project’s Goulamina deposit, where a maiden mineral resource of 15.5-million tonnes at a grade of 1.48% lithium oxide has been defined.

Various processing options have been considered to optimise throughput capacity and recoveries. The current preferred option is to develop Goulamina as a one-million-tonne-a-year, high-grade openpit mine to supply material to a conventional dense-media separation plant (DMS) in Stage 1.

The scope has been defined to transition the processing plant to treat medium-grained material by DMS and flotation in later years (Stage 2).

Stage 2 will comprise the addition of a 450 000 t/y grinding and flotation concentrator to process fines and secondary DMS floats that contain economic lithium grades from finer-grained, spodumene-bearing rock. Subject to further detailed studies, the project could deliver average yearly production of about 190 000 t of 6% lithium oxide concentrate over an initial 13-year life-of-mine.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
Not stated.

Capital Expenditure
Initial startup capital has been estimated at $47.2-million and includes associated project infrastructure.

Stage 2 capital costs have been estimated at $36.2-million, which could potentially be funded by Stage 1 cashflow.

Planned Start /End Date
Not stated.

Latest Developments
As travel restrictions are impacting on Kodal Minerals employees to conduct or participate in necessary meetings, the company has advised that it cannot say when its financial and Ministerial review meeting or the overall mining licence application process for the Bougouni project will take place.

The company expects fieldwork at the project to be limited this year.

Kodal has a budget prepared for work on the project to restart, but this will not be before September.

Kodal is, however, continuing an engineering review and studies focused on improving the proposed mining operation at Bougouni using in-house and external consultants. This workload is also limited and the company has reduced payments to consultants accordingly.

It is also reducing corporate overheads and board fees.

Meanwhile, Kodal has decided that a financing facility is needed to provide sufficient monthly funding for the company.

The company has entered into a financial facility comprising a subscription for 1.4-million ordinary shares at 0.035p apiece in the company, effectively raising £500 000.

Key Contracts and Suppliers
Zivvo (consultant).

On Budget and on Time?
Not stated.

Contact Details for Project Information
Kodal Minerals, tel +61 418 943 345.