Name of the Project
Goulamina lithium project.

Location
Southern Mali, about 50 km west of Bougouni.

Project Owner/s
Chinese lithium giant Ganfeng Lithium Group.

Australian lithium hopeful Leo Lithium announced its exit from the Goulamina project in May 2024, with the sale of its remaining 40% interest to joint venture partner Ganfeng Lithium.

Project Description
The project is one of the world’s biggest lithium developments.

Stage 1 spodumene concentrate production is estimated at 506 000 t/y, increasing to a peak of 880 000 t/y in Stage 2. The DFS envisages a standard openpit mining operation.

The flowsheet will comprise:

• three-stage crushing to a P₈₀ of 6.2 mm, with a fine-ore bin and overflow dead stockpile;
• closed-circuit ball milling and screening to an estimated P₈₀ of 180 µm, based on a closing screen P₁₀₀ of 212 µm;
• two-stage magnetic separation;
• three-stage flotation (roughing, cleaning and recleaning);
• concentrate dewatering, filtration and storage;
• separate flotation and process tailings thickening, with common tailings pumped to a tailings storage facility;
• reagent mixing and distribution;
• separate flotation and process water circuits; and
• air services.

The DFS update proposes the construction of a 2.3-million-tonne-a-year throughput plant, incorporating in the design the infrastructure and equipment for the construction of a Stage 2 expansion to increase plant throughput to four-million tonnes a year.

The project is expected to have a minimum mine life of 23 years, producing 15.6-million tonnes of spodumene concentrate over that period.

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 $4-billion and an internal rate of return (real) of 97.8%.

Capital Expenditure
Not stated.

Planned Start/End Date
Full production is expected in 2025.

Latest Developments
Leo Lithium has confirmed receipt of the final proceeds from the sale of its interest in the project, raising $177.6-million, including interest.

The company received $171.2-million from Chinese lithium giant Ganfeng Lithium Group for the Tranche 2 payment pertaining to its 40% stake in Mali Lithium, the holding company for the project. The final figure includes $6.4-million in interest.

The second-tranche proceeds follow Leo Lithium’s exit from the Goulamina project in late 2023, having failed to reach an agreement with government over issues pertaining to the project. In November last year, Leo Lithium received $161-million, from which $44.7-million in capital gains tax, payable to the Mali government, has been deducted. 

With Goulamina sold, Leo has been scouring the market for merger and acquisition (M&A) opportunities. The company told investors that M&A remained a priority and that decisions on capital return would depend on deal outcomes.

“Any decision on the return of Tranche 2 funds to shareholders will be made in connection with M&A activity  . . . being undertaken by the company,” Leo Lithium said in a July 3 ASX statement.

Key Contracts, Suppliers and Consultants
Lycopodium (updated DFS, and engineering, procurement and associated project management services contract); and Corica Mining Services (mining contractor).

Contact Details for Project Information
Gangfeng Lithium media cooperation, Evan Sun, email sunyifan@ganfenglithium.com.