Name of the Project
VSPC lithium ferrophosphate (LFP) project.
Location
India.
Project Owner/s
VSPC, a subsidiary of Lithium Australia.
Project Description
A prefeasibility study (PFS) has confirmed robust project economics for the manufacture of VSPC's LFP cathode powder, with production to ramp up to 10 000 t/y over three years.
The plant will be built in two phases over two years and is expected to operate for 13 years.
India was selected as the most favourable choice among the countries evaluated, which included Vietnam and Australia, owing to the large emerging market for electric vehicles and energy-storage applications employing lithium-ion batteries.
Potential Job Creation
Not stated.
Net Present Value/Internal Rate of Return
The project has a net present value, at an 8% discount rate, of $253.4-million and an internal rate of return of 33%, with a payback of five years.
Capital Expenditure
The plant will require an investment of $113.4-million in two stages over three years.
Planned Start/End Date
Construction is scheduled to start in July 2022.
Production is expected to start in October 2023 and reach full capacity in July 2025.
Latest Developments
Lithium Australia plans to seek approval from the board to advance the project, and select and secure a site in India for the development of the project.
The company plans to approach potential investors to secure funding for a definitive feasibility study on the project, with the study expected to start in July 2021 and be completed in March 2022.
Key Contracts, Suppliers and Consultants
None stated.
Contact Details for Project Information
Lithium Australia, tel +61 8 6145 0288 or email info@lithium-au.com.