Photo by: Lake Resources
Name of the Project
Kachi lithium brine project.
Location
Catamarca, Argentina.
Project Owner/s
Lake Resources (80%) and Lilac Solutions (20%).
Project Description
Kachi has the potential to deliver high-purity product – based on a sustainable and scalable process – required by battery makers.
The project envisages the construction of two plants with a capacity of 25 000 t/y using direct lithium extraction technology based on ion exchange.
Potential Job Creation
Not stated.
Net Present Value/Internal Rate of Return
The project has a pretax net present value, at an 8% discount rate, of $1.05-billion and an internal rate of return of 25%, with a payback from first product delivery of five years.
Capital Expenditure
The project entails an investment of $544-million.
Planned Start/End Date
Production is targeted for 2027.
Latest Developments
Lake Resources is embarking on a quest for strategic partnerships to propel the project to new heights.
The company is looking for a partner to provide equity capital and assist in mobilising third-party project financing to fund development capital expenditures.
Lake Resources has engaged Goldman Sachs as financial adviser to explore strategic options.
The Phase 1 definitive feasibility study is targeted for completion in December 2023. The company is shifting its focus to the strategic delivery of the project.
Lake Resources recently upgraded the Kachi resource estimate, increasing the measured and indicated resources from 2.9-million tonnes to 7.3-million tonnes of lithium-carbonate equivalent. The updated total resource estimate exceeds 10.6-million tonnes of lithium carbonate equivalent.
Key Contracts, Suppliers and Consultants
Lilac Solutions (lithium extraction testwork); Hatch (engineering and design services); and Citi and JP Morgan (finance coordinators of the project).
Contact Details for Project Information
Lake Wells, tel +61 2 9299 9690 or email hello@lakeresources.com.au.