Name of the Project
Cinovec lithium project.

Location
The project is located in the Krusne Hory mountains, which straddle the border between Czechia and the state of Saxony, in Germany.

Project Owner/s
The project is a joint venture (JV) between EMH and power distribution company CEZ.

Project Description
Cinovec is the biggest hard rock lithium deposit in Europe and the fourth-biggest nonbrine deposit in the world.

EMH has updated the process flowsheet previously developed for the project to allow for lithium hydroxide production.

The project has total indicated and inferred mineral resources of 695.9-million tonnes grading 0.195% lithium, 0.014% tungsten and 0.04% tin. Studies are based on only 9.3% of indicated mineral resource and a mine life of 21 years, processing an average of 1.68-million tonnes a year of ore.

The geometry of the payable ore is largely flat or shallow-dipping and massive enough to mechanise using longhole open stope mining.

The mine will be accessed through a twin decline system.

A conveyor will be installed from the underground primary crusher on 590 m elevation to the surface in the conveyor decline. The second decline will be used as a service decline for workers and material, and as an intake airway.

The project aims to produce about 25 267 t/y of battery-grade lithium oxide.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has an after-tax net present value, at an 8% discount rate, of $1.11-billion and an internal rate of return of 28.8%.

Capital Expenditure
The project is estimated at $482.6-million.

Planned Start/End Date
The project is expected to take two years to complete.

Latest Developments
EMH has raised A$7.1-million through a share placement to institutional and sophisticated investors to further assist in developing its Cinovec lithium/tin project.

The company has received firm commitments for the placement of about 6.45-million chess depositary interests at an issue price of A$1.10 each.

“We are very pleased to complete this capital raising at this time and to add cornerstone shareholders to our register who we believe will be very valuable to the company as we move into our full project funding,” executive chairperson Keith Coughlan has said.

Key Contracts, Suppliers and Consultants
Widenbar and Associates (resource estimation); Bara Consulting (mine design and scheduling); Ausenco (front-end comminution and beneficiation); and Hath Associates (lithium carbonate and hydroxide plants).

Contact Details for Project Information
European Metals Holdings, tel + 61 8 6245 2050.