First production from Canada Lithium’s plant delayed

23rd April 2013 By: Henry Lazenby - Creamer Media Deputy Editor: North America

TORONTO (miningweekly.com) – Quebec lithium project developer Canada Lithium on Monday said it expected delivery times for the first lithium carbonate from its Québec lithium mine, near Amos, in western Quebec, was being rescheduled as a result of Canadian Standards Association (CSA) inspections of its hydrometallurgical circuit.

Canada Lithium said commissioning activities were ongoing after the CSA visit, which meant the entire hydrometallurgical circuit could now be tested and that limited lithium carbonate production would start.

An inspector from the CSA completed the latest stage of the CSA inspection protocol on Friday and the next stage of the process was for the company to relocate a flow-meter instrument, replace some manual operating valves and monitoring equipment and then issue updated process drawings and documentation.

Canada Lithium said all of the required equipment was readily available in Canada. After the work had been completed, which would require a partial shutdown of the kiln this week, the CSA would return to site for a final inspection.

The company said it had expected that first lithium carbonate production would occur in late March and that first deliveries to its Chinese offtake partner, commodities trader Tewoo ERDC, would be achieved by late this month. However, owing to the CSA inspection process, delivery times will be set back and are currently being rescheduled.

Canada Lithium said it was working with the kiln designers, suppliers and CSA to expedite this approval process.

The company’s stock declined by 5% to close at C$0.57 apiece on the TSX on Monday.