PERTH (miningweekly.com) – Lithium developer Pilbara Minerals has completed the first draw-down from its $100-million senior secured bond, advancing the Pilgangoora lithium/tantalum project, in Western Australia.
The company has now drawn down nearly 50% of the total $100-million bond issue, having satisfied all conditions including a cost-to-complete test and project equity being fully spent on the Pilgangoora project.
“This is another significant milestone for the development of the Pilgangoora lithium/tantalum project as we continue to advance rapidly towards project commissioning and the start of production next quarter,” said Pilbara MD Ken Brinsden.
“The bond proceeds provide all of the funding now required for the completion of construction, plant commissioning and first production at Stage 1 of Pilgangoora, ensuring that we remain on track to achieve our timeline with the construction and delivery of this world-class project.”
Plant commissioning at Pilgangoora is expected to start in the second quarter of 2018 and production of first spodumene concentrate is planned for late in the second quarter of 2018.
The Stage 1 project at Pilgangoora will be a two-million-tonne-a-year operation, producing an average of 314 000 t/y of 6% spodumene concentrate and 321 000 lb/y of tantalite, over 36 years.