Quarterly Activities Report
Brisbane, May 1, 2020 AEST (ABN Newswire) - Lake Resources NL (
ASX:LKE) (LK1:FRA) (LLKKF:OTCMKTS) is an exploration and development company, developing its flagship 4.4mt LCE resource Kachi Lithium Brine Project in Argentina, to produce sustainable high purity lithium carbonate using an efficient, disruptive and low cost direct extraction technology from our partner, Lilac Solutions, in California. The pilot plant module is operating in California to produce sample for potential offtake partners using brines from the Kachi Project, and after completion, a full pilot plant will be constructed and transported for operation later in the year on site at Lake's Kachi Lithium Brine Project.
HIGHLIGHTS
- Compelling and robust Pre-Feasibility Study (PFS) results for Kachi Lithium Brine Project in Argentina, show project capable of producing sustainable high-purity lithium carbonate to attract premium pricing.
- Long life, low cost operation with 25,500tpa LCE using Lilac Solutions' innovative sustainable direct extraction method at competitive operating and capital costs.
- Post-tax NPV8 of US$748 million (A$1,180m) and IRR of 22% with high margin EBITDA of US$155 million (A$245m) in first full year of production
- High purity battery grade lithium carbonate samples (99.9%) demonstrated from Kachi Project brines with more samples for off-takers in coming months.
- 20,000 litres of brines from Kachi to Lilac's pilot plant module in California, with additional 20,000 litres in transit to meet demand from potential off-takers.
- Technology partner, Lilac Solutions, announced US$20m backing from Breakthrough Fund and MIT's The Engine fund.
- Discussions continue for debt funding of US$10m to US$25 million for DFS, permitting and lithium pre-production for the Kachi Project.
- Capital raising completed with a A$3.4m private placement and a Share Purchase Plan. The A$1.96m convertible securities facility was paid out.
- Limited impact from restrictions imposed due to COVID-19; operations continuing with increased personal protection and heightened security based on government guidelines.
To view the full quarterly report, please visit:
https://abnnewswire.net/lnk/TF0W8FX7
About Lake Resources NL
Lake Resources NL (ASX:LKE) (OTCMKTS:LLKKF) is a clean lithium developer utilising state-of-the-art ion exchange extraction technology for production of sustainable, high purity lithium from its flagship Kachi Project in Catamarca Province within the Lithium Triangle in Argentina among three other projects covering 220,000 ha.
This ion exchange extraction technology delivers a solution for two rising demands - high purity battery materials to avoid performance issues, and more sustainable, responsibly sourced materials with low carbon footprint and significant ESG benefits.
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