Page 47 - pd279-Feb20-mag-web_Neat

PILGANGOORA ALTURA WODGINA
Location: Pilbara, Western Australia Location: Pilbara, Western Australia Location: Pilbara, Western Australia
Company: Pilbara Minerals Ltd Company: Altura Mining Ltd Company: Mineral Resources Ltd/
Status: In production, processing but Status: In production Albemarle
mining suspended Comment: Mine next door to Pilgangoora Status: On care-and-maintenance
Comment: Operating since mid-2018. officially opened in September 2018. Comment: Upon completing a JV and sale
Curtailed production in June due to Plant performance failed to meet agreement with Albemarle in November,
lower than expected customer demand. expectations in the early stages of Mineral Resources stunned the market by
Delivered first shipment to China’s Great operations but finished 2019 on a high announcing it was mothballing operations
Wall Motor Company last August, pursuant following record production in October in the wake of challenging conditions for
to the new offtake agreement for 20,000 and record shipments in November. lithium globally. Only 30 of the 270-strong
mtpa over six years. JV with POSCO for workforce was retained for care-and-
participation in South Korea’s lithium ion maintenance activities. JV is now focused
battery market in the coming months. on the Kemerton hydroxide facility, south
of Perth.

Australia

GOULAMINA BALD HILL MT MARION
Location: Mali Location: Goldfields, Western Australia Location: Goldfields, Western Australia
Company: Mali Lithium Ltd Company: Alita Resources Ltd Company: Mineral Resources Ltd/Ganfeng
Status: DFS due Q1 2020 Status: On care-and-maintenance Lithium Co Ltd
Comment: A new-look board and Comment: Fell from grace as quickly as Status: In production
management team, led by former Altura it rose to prominence. Alita – the product Comment: Chris Reed’s Neometals Ltd
Mining Ltd chief operating officer of a merger between former iron ore progressively sold down its stake in the
Chris Evans, arrived at Mali Lithium explorer Tawana Resources and Singapore- project to give life to an operation now
in early 2019 with a clear mandate to listed Alliance Mineral Assets – entered producing about 350,000 tpa spodumene
see the project through to production. administration 13 months after commercial concentrate. In December 2018, the
Chinese state-owned construction and production was achieved at Bald Hill. China company sold its remaining 13.8%
engineering company China Henan Hydrogen Energy Ltd has emerged as the interest to its JV partners which now have
International Cooperation Group Co likely buyer, having entered into a binding an even share of the asset. Neometals
(CHICO) and Changsha/Minmetals $70 million loan facility agreement. pocketed a handy $104 million from the
Corporation of China are in the frame sale but remains in the lithium game as a
potential EPC, offtake and project MT HOLLAND prospective downstream player.
funding partners. Location: Goldfields, Western Australia
Company: Wesfarmers Ltd/Kidman KATHLEEN VALLEY
Resources Ltd Location: Western Australia
Status: DFS completed November 2019 Company: Liontown Resources Ltd
Comment: One of the country’s largest Status: PFS released December 2019
undeveloped hard rock lithium deposits Comment: DFS work under way following
helped Kidman secure two of the biggest confirmation the maiden reserve of 50.4mt
lithium deals of the past three years. @ 1.2% lithium oxide would support 26
Chile’s SQM was first to the party with years of open-pit mining operations.
a lucrative 50:50 JV in 2017 before Underground opportunities also currently
conglomerate Wesfarmers sealed a $776 being assessed. Key financials from the
million takeover of Kidman last September. recent PFS include LOM free cash flow of
A final investment decision on an $1.94 billion, post-tax NPV of $507 million,
integrated mine and concentrator is IRR of 25% and payback within four years.
expected in Q1 2021. Capex is estimated at $240.5 million.

aUSTRaLIa’S PaYDIRT FeBRUaRY 2020 Page 47