Name of the Project
Kachi lithium brine project.

Location
Catamarca, Argentina.

Project Owner/s
Lake Resources.

Project Description
A prefeasibility study (PFS) has demonstrated Kachi’s potential to deliver high-purity product required by battery makers, based on a sustainable and scalable process.

The PFS envisages a long-life, low-cost operation with a production target of 25 500 t/y of battery-grade lithium carbonate using direct lithium extraction technology based on ion exchange, which, in turn, is based on an indi­cated resource of one-million tonnes lithium car­bonate equivalent.

The process involves the treatment of about 23-million cubic metres a year of brine at 250 g/ℓ lithium, with an overall plant recovery of 83.2%. The eluate from the process is further concentrated and purified, and then fed into a conventional lithium carbonate plant.

No solvent extraction plant is required to remove boron.

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
Not stated.

Latest Developments
Lake Resources has struck a deal with US-based lithium-extraction technology company Lilac Solutions to partner on technology and funding to develop the Kachi project.

Under the terms of the partnership earn-in, Lilac could earn a 25% equity stake in the Kachi project, with certain corresponding project funding obligations, while providing its technology to advance the project.

Lilac’s first 10% interest in the project will be the result of funding the cost of completing the testing of its technology at the project within an agreed timeline. A further 10% interest will be earned on satisfying all agreed testing criteria using a demonstration plant.

A further 5% in the project could be earned on the refined lithium chemical product from Kachi achieving the highest-agreed qualification standards with certain potential offtake partners.

“With the Lilac technology, we can efficiently deliver the large volumes of high-quality lithium chemicals needed by battery makers,” Lilac CEO Dave Snydacker has said.

“Importantly, this will be done in a way that is environmentally friendly. We’ve worked extensively with this brine, generating the data needed for engineering studies, and it is a fantastic fit for the Lilac technology.

A definitive feasibility study on the Kachi project is due in the second quarter of next year.

Key Contracts, Suppliers and Consultants
Lilac Solutions (lithium extraction testwork) and Hatch (engineering and design services).

Contact Details for Project Information
Lake Wells, tel +61 2 9299 9690 or email hello@lakeresources.com.au.