Name of the Project
Keliber lithium hydroxide project.

Location
Central Ostrobothnia, Finland.

Project Owner/s
Sibanye-Stillwater owns about 84.96% of the Keliber project, while Finnish Minerals Group holds 13.90% and other remaining minority shareholders 1.14%.

Project Description
The Keliber project had an attributable (84.96%) mineral resource of 14.5-milllion tonnes grading at 1% lithium oxide (Li2O) as at December 31, 2022, containing 366 100 t of lithium carbonate equivalent (LCE); and mineral reserves of 8.2-million tonnes grading at 1% Li2O, containing 193 600 t of LCE. 

The project entails the development of four opencast and three highly mechanised underground, mining operations – Syväjärvi and Rapasaari, which have a combined mine life of 16 years, will be developed first. Development of the Emmes, Outovesi, and Länttä operations will follow towards the end of the project life. These operations are situated across Kaustinen, Kokkola and Kronoby.

Ore mined will be fed to the Päiväneva concentrator, which will be situated close to the Rapasaari mine. The concentrator will have an estimated capacity of 200 000 t/y of spodumene concentrate. Concentrate produced at the Päiväneva concentrator is planned to be trucked about 66 km to the Kokkola refinery, at the Kokkola Industrial Park, which is forecast to produce about 15 000 t/y of battery-grade lithium hydroxide monohydrate.

Potential Job Creation
By the end of the fourth quarter of 2023 the employee headcount had reached 70.

Net Present Value/Internal Rate of Return
The 2019 updated definitive feasibility study (DFS) has estimated a pretax net present value, at an 8% discount rate, of €510-million, compared with the €295-million estimated in the 2018 DFS.

The pretax internal rate of return has also increased from 24% in the 2018 DFS to 28% in the 2019 updated DFS.

The payback period for the project has decreased from 5.5 years to 3.7 years.

Capital Expenditure
The project is estimated at €656-million (2023 real terms), previously €588-million (2022 real terms), of which the refinery’s capital cost is €418-million, on the back of amended water treatment technology to ensure compliance with more stringent effluent water quality conditions, and to increase lithium refinery recovery.

The green loan package of €500-million – announced on August 22, 2024 – completed the full project financing requirement.

Capital expenditure for the third quarter of 2024 was €85-million, bringing the year-to-date total to €218-million.

Planned Start/End Date
Construction of the Keliber project started in the first quarter of 2023 and concentrator earth works in the fourth quarter of 2023.

Latest Developments
Construction of the refinery is at an advanced stage, with main equipment installations under way. 

The second phase, involving the construction of the Päiväneva concentrator and development of the Syväjärvi openpit mine, is progressing as planned after starting in late 2023. 

Sibanye-Stillwater has reported that the engineering and procurement contracts are nearing completion.

During the third quarter, 13 drill holes were completed, covering 2 295 m at major exploration targets. Several significant intercepts have been reported. 

The seasonal regional exploration, which included boulder mapping and till sampling, was concluded by the end of August 2024. 

Several new exploration permits were received from the authorities.

Key Contracts, Suppliers and Consultants
Metso Outotec (sustainable soda pressure leaching technology).

Contact Details for Project Information
Keliber Oy, tel +358 10 567 0600 or email info@keliber.fi.