Anson Resources (ASX:ASN) reports that it has completed a Definitive Feasibility Study (DFS) for phase one of its Paradox Lithium Project in Utah, US.
The results from the recently completed DFS confirm potential for the project to become a major supplier of high purity battery grade lithium carbonate in the US electrical vehicle market.
The project is expected to produce an initial amount of 13,074 tonnes of high purity lithium carbonate per annum over an initial 10 years of project life, with a total revenue of US$5,080m forecast over 23 years of operations.
Addressing the DFS, Anson’s Executive Chairman Bruce Richardson commented: “We are very excited to deliver the Paradox Lithium Project phase one DFS to market. The DFS confirms the technical and financial viability of a major new source of high purity Lithium Carbonate available for the rapidly growing US market.
“THE DFS confirms the technical and financial viability of a major new source of high purity lithium carbonate available for the rapidly growing us market.”
The Project delivers industry leading ESG credentials based on direct lithium extraction utilising Sunresin technology using lower energy and water consumption, adn with spent brine being reinjected back into the Paradox.
Significantly, there remains material upside beyond the DFS announced today based on future Mineral Resource upgrades associated with the recently completed drilling campaign at Crane Creek and the future Western Expansion drilling campaign, as well as incorporating Bromine production into stage 2.”
The company also notes that phase one economics are solely based on the existing Indicated Mineral Resource of 239,000 tonnes, however, future DFS economics will be updated as future Mineral Resources continue to be upgraded.
In addition, the estimated capital expenditure is estimated to be at US$495 million, with the lithium carbonate plant expected to use Sunresin patented, proven Direct Lithium Extraction (DLE) technology.
ESG credentials for the Project have also been based on Sunresin DLE technology, therefore requiring lower energy and water consumption.
The Paradox Lithium Project is located in Utah, USA and covers a total land package of 95km-square which is prospective for lithium carbonate mineralisation and utilises direct lithium extraction processes. The project currently boasts a JORC Mineral Resource Estimate (MRE) of 186,000 tonnes LCE and is well positioned to avail of the push into electric vehicles and battery storage from local sources in the US.
With the DFS for phase one of the Paradox Lithium Project now complete, Anson Resources announces that it will move forward with phase two of development to further increase the lithium and bromine production capacities.
Commencement of the high purity lithium carbonate production is targeted for 2025.
Images: Anson Resources Ltd
