PERTH (miningweekly.com) – ASX-listed Core Lithium has flagged the possibility for additional revenues at its Finniss lithium project, in the Northern Territory, after receiving expressions of interest from a number of parties regarding the purchase of additional fine lithium from the project.
Core on Tuesday noted that between 200 000 t/y and 250 000 t/y of fine lithium would be produced at Finniss as a by-product of the lithium operation. With indicative pricing of between $50/t and $75/t, the fine lithium sales had the potential to add significant revenues to the project, at high margin.
A previously completed definitive feasibility study, which did not take fine lithium production into account, had previously estimated that a one-million-tonne-a-year openpit operation would produce up to 180 000 t/y of high quality lithium concentrate over an initial mine life of three-and-a-half years.
The high-grade lithium project is expected to generate revenues of around A$501-million.
“The addition of fine lithium to the suite of saleable products is likely to materially improve the economics of what is already a very good project,” said Core MD Stephen Biggins.
“We are already mining and partially processing this material anyway, as we produce spodumene concentrate. There is little extra work that needs to be done to add significant revenues to the project.”
Biggins noted that Core is well advance in its discussions with debt financiers to fund the A$73-million project, in addition to finalising offtake terms in the coming months.