Name of the Project
Clayton Valley lithium project.

Location
Esmeralda County, Nevada, in the US.

Project Owner/s
Cypress  Development Corp.

Project Description
The Clayton Valley lithium deposit is a salty groundwater brine, with high levels of lithium contained in a series of aquifers. The brine is ‘mined’ by drilling boreholes into the aquifers and pumping the brine to surface for lithium removal.

A positive prefeasibility study (PFS) envisages a mine with an average production of 15 000 t/d to produce 27 400 t/y lithium carbonate equivalent over a mine life of more than 40 years.

Production is based on probable mineral reserves of 213-million tonnes, averaging 1 129 parts per million lithium carbonate equivalent.

In March 2021, Schlumberger New Energy announced its plans to develop a lithium extraction pilot plant at the Clayton Valley project through its wholly owned subsidiary NeoLith Energy.

The Bureau of Land Management (BLM) approved the plan of operations after completion of the required engineering design, environmental studies and public comment period. Additional permit applications are in progress, with the Nevada Division of Environmental Protection, and the Bureau of Mining Regulation and Reclamation (NDEP-BMRR).

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The PFS estimates an after-tax net present value, at an 8% discount rate, of $1.03-billion and an internal rate of return of 25.8%, based on a price of $9 500/t for lithium carbonate, with a payback of 4.4 years.

Capital Expenditure
Preproduction capital is estimated at $493-million.

Planned Start/End Date
Not stated.

Latest Developments
Cypress Development has closed its previously announced upsized bought deal offering, raising C$18.14-million to fund ongoing work, development and permitting activities at its Clayton Valley lithium project.

Cypress issued 9 058 000 units of the company at C$2 each and 142 000 warrants at C$0.1598 each to raise the proceeds.

Cypress is advancing Clayton Valley towards the production of high-purity lithium hydroxide suitable for battery usage.

Key Contracts, Suppliers and Consultants
Continental Metallurgical Services (PFS).

Contact Details for Project Information
Cypress Development Corp, tel +1 604 608 6611 or email info@pureenergyminerals.com.