PERTH (miningweekly.com) – ASX-listed Mineral Resources (MinRes) is hoping to produce up to 118 000 t/y of lithium hydroxide within the next five years.
In an investor presentation released to market on Monday, the company noted that the Mt Marion operation could contribute 40 000 t/y, while the Wodgina operation could produce 70 000 t/y, assuming that a final investment decision was taken on Train 1, and each of the trains were delivering at 1 000 t/y spodumene production capacity.
The Kemerton Train 1 and 2 operation is also anticipated to provide 7 500 t/y of production, MinRes said.
MinRes told investors that the A$120-million two-stage expansion of Mt Marion to 900 000 t/y mixed grade was on track for December, while Train 3 at Wodgina was nearing the commissioning stage. A decision to construct Train 4 was expected in the near term, the company added.
The production target follows MinRes in early September confirming that it was considering the potential listing of its lithium business, as part of efforts to evaluate various strategic options to maximise shareholder value.
MinRes on Friday also, for the first time, provided a mineral resource and reserve estimate for the Mt Marion and Wodgina deposits.
The company announced that Wodgina had an indicated and inferred mineral resource of 259.2-million, and 1.17% lithium oxide, and an ore reserve of 147-million tonnes at 1.2% lithium oxide.
Mt Marion for its part, has an indicated and inferred mineral resource of 51.4-million tonnes, at 1.45% lithium, and an ore reserve of 17.2-million tonnes, at 1.56% lithium.
“We are pleased to report 164-million tonnes of ore reserves and more than 310-million tonnes of mineral resources, across the Mt Marion and Wodgina deposits. The high quality and scale of these Tier 1 assets in Western Australia underpin MinRes’ position as a leading global lithium producer,” said MD Chris Ellison.
“We are ideally placed to continue the major expansions at both projects to ramp up spodumene concentrate output for lithium hydroxide conversion for many decades to come.
“Significant opportunity exists to further expand the mineral endowment at both operations through near mine exploration activities.”