Name of the Project
Pilgangoora lithium/tantalum project – Stage 3.

Location
Pilbara, Western Australia.

Project Owner/s
Pilbara Minerals.

Project Description
A scoping study has demonstrated the Pilgangoora project’s significant scale; long-life, high-quality products; and expected low cost of operations, supporting its continued expansion pathway and Pilbara Minerals’ downstream participation strategy.

The Stage 3 study is based on the current reserves of 108-million tonnes. The project will increase the project’s processing capacity to 7.5-million tonnes a year to deliver average pro­duction of about 12-million tonnes a year of SC6.0 spodumene concentrate and about 1.1-million pounds a year of 30% tantalite con­centrate over an estimated 15-year mine life.

The Stage 3 project will build from the current Stage 1 operation and the proposed Stage 2 project, through the construction of a parallel processing train. While the key process steps will remain unchanged, the build will involve the construction of an additional 2.5-million-tonne-a-year crushing circuit to complement the combined Stage 1 and 2 circuits processing five-million tonnes a year.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has a pretax net present value, at a 10% discount rate of A$3.73-billion.

Capital Expenditure
The project is estimated at A$225.8-million. This is in addition to the previously announced Stage 2 capital expenditure of A$231-million.

Planned Start/End Date
It is currently estimated that construction of Stage 3 could start late in the second quarter if 2020, with commissioning starting early in the second quarter of 2021.

Latest Developments
The Stage 3 project final investment decision and delivery schedule will be determined by the progress of further feasibility studies, market demand analysis, customer requirements, the timing of any associated chemical conversion facility and project funding outcomes. A further consideration is the development timeline of any proposed chemical facilities that may be linked to Stage 3 offtake.

Key Contracts and Suppliers
Roskill Consulting Group (market analysis); Trepanier (geology and resources); DRA (process plant and infrastructure); ATC Williams (tailings management facility) and HydroConcept (water supply).

On Budget and on Time?
Too early to state.

Contact Details for Project Information
Pilbara Minerals, tel +61 8 6266 6266 or email pilbaraminerals.com.au.