Name of the Project
Bougouni lithium project.

Location
The project is located in southern Mali.

Project Owner/s
Kodal Minerals.

Project Description
A scoping study completed on the Bougouni project has confirmed its outstanding potential.

The study has evaluated the technical and potential economic viability of an openpit mine development at the project’s Goulamina deposit, where a maiden mineral resource of 15.5-million tonnes at a grade of 1.48% lithium oxide has been defined.

Various processing options have been considered to optimise throughput capacity and recoveries. The current preferred option is to develop Goulamina as a one-million-tonne-a-year, high-grade openpit mine to supply material to a conventional dense-media separation plant (DMS) in Stage 1.

Scope has been defined to transition the processing plant to treat medium-grained material by DMS and flotation in later years (Stage 2).

Stage 2 will comprise the addition of a 450 000 t/y grinding and flotation concentrator to process fines and secondary DMS floats that contain economic lithium grades from finer-grained, spodumene-bearing rock. Subject to further detailed studies, the project could deliver average yearly production of about 190 000 t of 6% lithium oxide concentrate over an initial 13-year life-of-mine.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
Not stated.

Capital Expenditure
Initial start-up capital has been estimated at $47.2-million and includes associated project infrastructure.

Stage 2 capital costs have been estimated at $36.2-million, which could potentially be funded by Stage 1 cash flow.

Planned Start /End Date
Not stated.

Latest Developments
The Joint Ore Reserves Committee- (Jorc-) compliant mineral resource estimate for the Bougouni lithium project has increased by 23%.

Kodal published the results of an updated resource estimate at the end of February, which incorporates the results of all definition and extension drilling completed from October to December 2018 and, importantly, has enabled the company to classify a major portion of the minerals resource estimate – 55% – as indicated resource.

The updated and increased mineral resource estimate has enabled Kodal to classify a large portion of the mineral resource estimate as an indicated resource, which is fundamental for our ongoing mine development study.

The drilling focused solely on the three prospects with existing resources – Sogola-Baoule, Ngoualana and Boumou.

The overall Joint Ore Reserves Committee-compliant mineral resource has increased to 21.3-million tonnes at 1.11% lithium oxide, with 11.6-million tonnes at 1.13% lithium oxide in the indicated category and 9.7-million tonnes at 1.08% lithium oxide in the inferred category.

Moreover, a mine development study at Bougouni is advancing, with the environmental- and social-impact assessment nearing completion and engineering consultants having been appointed to advance mine planning.

Key Contracts and Suppliers
Zivvo (consultant).

On Budget and on Time?
Not stated.

Contact Details for Project Information
Kodal Minerals, tel +61 418 943 345.