Drilling at Kodal's Bougouni lithium project, in Mali
Aim-listed Kodal Minerals has announced a maiden mineral resource estimate of 17.3-million tonnes, at 1.20% lithium for its Bougouni lithium project, in southern Mali.
The maiden mineral resource found 17.3-million tonnes at 1.20% lithium in the inferred category.
Kodal’s three most advanced prospects, which comprise the maiden mineral resource, are Sogola-Baoule, with 10.4-million tonnes at 1.18% lithium; Ngoualana, with 4.7-million tonnes at 1.34% lithium; and Boumou, with 2.2-million tonnes at 1.01% lithium.
Kodal CEO Bernard Aylward commented that the maiden mineral resource estimate is a major milestone in the advancement of the Bougouni project, as it confirms the potential for future mining development.
“The fact that the estimate is supported by initial engineering studies showing potential for a minimum ten-year mine life with low capital costs and robust economics is encouraging.
“The mineral resource estimate places the project in the top 15 hard-rock lithium projects worldwide. We have secured an offtake partner and we have strong commitments of support within Mali for future mining development.”
Moreover, preliminary pit optimisation studies were undertaken to identify key areas for further drill testing and definition of the pegmatite hosted mineralisation.
Mineralisation captured within these conceptual openpits total 13.2-million tonnes at 1.2% lithium. The company stated that this is not an ore reserve estimate, but it highlights areas where the optimised shells are resource constrained and these areas will be the focus for future drilling campaigns.
Meanwhile, Kodal has commissioned a processing review by independent engineering consultants Wave International, based on the ongoing metallurgical testwork for the Bougouni mineralisation. This is considered an order of magnitude study.
The review indicates a capital cost of A$14-million for a one-million-tonne-a-year dense media separation plant component. A full plant will require a crushing circuit and additional materials handling components.
The processing review further indicates a potential production cost of $400/t of spodumene concentrate, which compares with a current market selling price of between $800/t and $900/t.
Exploration and definition drilling for resource expansion and continued testing of new target areas is under way.
Aylward said the next stages of work at Bougouni will be upgrading the mineral resource estimate to indicated status, continued study on the openpit optimisation to reduce mining costs, and continued metallurgical studies to optimise the processing plant.