Name of the Project
North American Lithium (NAL) expansion project.

Location
Abitibi-Témiscamingue region of Quebec, Canada.

Project Owner/s
North American-focused mineral exploration and development company Elvera Lithium, formerly Sayona Mining.

Project Description
NAL was successfully restarted in March 2023 and is permitted for the production of 4 500 t/d of lithium. 

Elevra has identified a revised, staged development pathway for the expansion, which is expected to bring forward additional spodumene concentrate production by about two years while reducing upfront capital requirements and lowering unit operating costs.

The company said on January 12 that further refinement of the NAL expansion programme had highlighted a route to stage permitting, construction and capital investment, addressing permitting constraints that had previously been on the critical path for the project.

By leveraging additional permitting information received since the publication of the scoping study, together with permits already in place, the company has identified a development sequence that allows for production increases to be staged through a series of debottlenecking steps.

The proposed approach is expected to incrementally increase production above current levels, shorten the timeframe to reach the expanded life-of-mine (LoM) average production rate of 315 000 t/y, and allow for capital expenditure to be spread over a longer period.

Under the revised plan, Elevra expects an initial 15% to 20% increase in yearly spodumene concentrate production – above current levels – from mid-2027, within the existing milling permit limit of 4 500 t/d. This phase is expected to deliver an incremental reduction in unit operating costs.

A second phase would expand downstream milling, flotation and filtration capacity to 6 500 t/d, supported by a temporary mobile crushing circuit operating alongside the existing crusher. This is expected to lift concentrate production to 315 000 t/y from early 2028, with further cost reductions.

The final phase would replace the temporary and existing crushing circuits with a new crushing and ore-sorting circuit capable of supporting the expanded LoM production profile. This step is targeted for completion in early 2029 and is expected to deliver additional crushing and ore-sorting efficiencies.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The expansion project provides a total project after-tax net present value, at an 8% discount rate, of C$1.28-billion and an internal rate of return of 24.6%, with a payback of 46%.

Capital Expenditure
C$366-million.

Planned Start/End Date
Construction is scheduled to be completed by the end of 2029.

Latest Developments
Elevra Lithium has signed a nonbinding memorandum of understanding (MoU) with Mangrove Lithium for the supply of spodumene concentrate from the project.

Under the proposed agreement, Elevra could supply up to 144 000 t/y of spodumene concentrate to Mangrove at market-related prices, subject to a floor-and-ceiling mechanism. The initial term would be five years from 2028, with volumes ramping up to the full rate by 2030.

The agreement remains subject to Mangrove's making a final investment decision by June 2027 on the construction of a lithium conversion facility, in eastern Canada, and finalisation of commercial terms. Mangrove’s proprietary electrochemical refining platform is designed to convert a range of feedstocks into battery-grade lithium hydroxide while eliminating solid waste byproducts and reducing reliance on conventional processing routes.

Mangrove plans to process the spodumene into battery-grade lithium hydroxide, supporting the development of a domestic battery supply chain in Canada. The proposed facility would have capacity to produce about 20 000 t/y of battery-grade lithium.

Mangrove has demonstrated its lithium conversion process through a pilot plant in Delta, Canada, and is undertaking testwork on NAL material, with results expected in the third quarter of 2026. The company has also commissioned a commercial electrochemical lithium refining plant with capacity of 1 000 t/y.

Elevra has said the MoU could deliver strategic benefits, including reduced freight and logistics costs, improved pricing stability through a floor-and-ceiling framework, and potential support for increased output from the expansion.

The proposed partnership also aligns with federal and provincial strategies aimed at strengthening Canada’s battery materials ecosystem by encouraging domestic processing and reducing emissions linked to long-distance transport.

Key Contracts, Suppliers and Consultants
Not disclosed.

Contact Details for Project Information
Elvera Lithium, tel +61 7 3369 7058