The Herald (Zimbabwe)

Lithium mine targets exports by December

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Business Reporter

PROSPECT Resources PLC, developer of the Arcadia lithium project near Harare, intends to commence lithium sample shipments in the second half of this year, when it completes an accelerate­d staged developmen­t plan for the fledgling lithium initiative.

Lithium is an integral element of the Government’s target of building a US$ 12 billion mining industry by 2023 with lithium shipments anticipate­d to top half a billion United State dollars by then.

Mining is one of Zimbabwe’s largest foreign currency earners and it generates nearly three quarters of the country’s annual foreign currency receipts.

Following the strategy to assess a staged developmen­t plan of 1,2 million tonnes per annum ( Mtpa) to 2,4Mpta, Prospect said it was moving swiftly to begin an optimised feasibilit­y study for Arcadia lithium project.

Prospect said the strategic view had recommende­d constructi­on of a smaller, commercial- scale petalite pilot plant at the Arcadia Lithium Mine.

At Arcadia, Prospect has huge deposits of both technical grade ( petalite) and chemical grade ( spodumene) lithium, but wants to rapidly progress the technical grade lithium through a low risk, low cost near- term production under the staged developmen­t plan.

Prospect said it had appointed Perth based engineerin­g consulting group, Lycopodium to lead and complete the Feasibilit­y Study.

The Australian company was deemed a good fit given its past relationsh­ip with Prospect and the Arcadia project, as well as being a leader in designing, costing process plants and implementi­ng projects across a wide range of commoditie­s, including lithium.

Prospect’s managing director Sam Hosack said: “We believe that Lycopodium is the perfect partner for Prospect to align with on the Arcadia Project.

“Their broad capabiliti­es, technical rigour, team of highly skilled engineers and designers, and track record in Australia, Africa and Zimbabwe provide a highly valuable service offering to Prospect Resources.

“We are very pleased with the progress that the Company is making towards delivering on its plan to build and operate a pilot plant to rapidly move Arcadia through optimised feasibilit­y and into developmen­t.

“Prospect is determined to deliver on a clear developmen­t pathway in as short a timeframe as possible, whilst still ensuring that the technical and economic risks are fully understood and addressed.”

Lycopodium’s primary Scope of Work is the supervisio­n of metallurgi­cal test work, optimisati­on of the staged 1.2 Mtpa to 2.4 Mtpa flowsheet, design for the process plant, as well as related infrastruc­ture including site power reticulati­on and on- site water treatment and distributi­on, Prospect said in recent a statement.

Mr Hosack said that the staged developmen­t plan reduced time to production by leveraging lower capital expenditur­e and funding requiremen­ts and also enabled clear expansion in line with market growth.

“This developmen­t strategy allows project execution and market integratio­n risks to be minimised whilst accelerati­ng the pathway to first cash flow.

“Critically, Prospect maintains the ability to go direct to a plant capacity of 2.4Mtpa should market conditions and funding activities allow. We look forward to providing regular market updates on the progress of the Optimised Feasibilit­y Study over the coming months,” he said.

The lithium prospectin­g company said it believes that the use of a tier one engineerin­g firm for the optimised feasibilit­y study should assist in the process of securing requisite funding for the project.

Prospect will also continue to retain the ability to go direct to plant capacity of 2.4Mtpa, should market conditions and funding activities allow.

Prospect is in discussion­s with its existing offtake partners and institutio­nal financiers with respect to financing pathways for the staged developmen­t of Arcadia.

It is also in early- stage discussion­s with strategic partners regarding joint developmen­t structures.

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