Allkem releases feasibility examine for James Bay lithium mission in Quebec

Allkem (TSX: AKE; ASX: AKE) has launched a feasibility examine for its James Bay arduous rock lithium mission in Quebec, situated 130 km east of James Bay and the Cree Nation of Eastmain.   

The feasibility examine forecasts common manufacturing of 321,000 tonnes of spodumene focus a 12 months over a 19-year mine life and capital prices of US$285.8 million. 

A 2 million tonne per 12 months course of plant would produce lithium oxide spodumene focus at money working prices (FOB Montreal) of US$333 per tonne of 5.6% lithium oxide focus. The mission’s shallow, near-surface mineralization, is right for open pit mining, the examine concluded, and it might have a life-of-mine strip ratio of three.5: 1. 

At an 8% low cost fee, the mission would generate a post-tax internet current worth (NPV) of US$823 million and a post-tax inner fee of return (IRR) of 35.2%. 

The corporate goals to start out building within the third quarter of 2022 with commissioning forecast to start out within the first quarter of 2024.  

 Hydropower will make up 45% of the mission’s energy wants, and will likely be used within the processing plant, fastened infrastructure and choose cell tools.  

The mission has confirmed and possible reserves of 37,207 tonnes grading 1.30% lithium oxide for 483,700 tonnes tonnes of lithium oxide  

James Bay’s indicated useful resource is 40.30 million tonnes grading 1.40% lithium oxide for 564,200 tonnes of lithium oxide.  

“The feasibility examine outcomes clearly exhibit the distinctive worth that will likely be generated for all stakeholders via the event of this mission,” Allkem CEO Martin Perez said in a press launch.  

“It would utilise clear hydro-power to supply lithium into the EV and different low carbon industries. Provide chain and logistics emissions might be minimised by supplying into the quickly increasing markets in North America and Europe.”  

At presstime in Toronto, Allkem shares have been buying and selling at $8.33within a 52-week buying and selling vary of $9.30 and $3.89. 

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Written by colin


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