http://www.*.com.au/companies/news/...-of-schedule-as-shares-run-higher-176261.html
Argosy Minerals ahead of schedule as shares run higher
10:00 11 Apr 2017
Shares in Argosy are trading up 150% in 2017, currently priced at $0.073.
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Argosy is completing its Stage 1 work schedule at Rincon to earn 50%
Argosy Minerals (
ASX:AGY) is progressing ahead of schedule for its Stage 1 development works at the Rincon Lithium JV Project located in the “Lithium Triangle” or Argentina.
The goal of Stage 1 is to produce a laboratory scale quantity of up to 150 tonnes of lithium carbonate equivalent (LCE) product.
Following the recent completion of the excavation works on the first set of evaporation ponds, totalling an area of 1.2 hectares, Argosy has commenced the pond lining installation works.
Argosy is confident that the Rincon Lithium Project has a clear conceptual pathway to lithium production.
Jerko Zuvela, managing director, commented: “The company is delighted at the rate of progress on the Stage 1 development works and looks forward to continuing our aggressive development strategy to fast-track toward production of LCE product.”
Development works update
The company has commenced installation of the pond lining material and the two initial ponds are expected to be completed within the next week.
Argosy has also completed the excavation of an additional two smaller evaporation ponds alongside the two main evaporation ponds, which will also have lining installed.
Several smaller brine pumping ponds are currently being excavated which will be used to pump brine from these ponds into the four current evaporation ponds.
Pumps and associated equipment have been purchased to commence pumping of lithium brine into the evaporation ponds during the next week.
Stage 2 funding update
Recently, Argosy has signed two memorandums of understanding (MOUs) after conducting several strategic meetings with significant tier one companies in the Chinese lithium battery sector.
Argosy has made progress towards formalising an investment proposition for the Stage 2 funding and executing a binding investment agreement with the MOU parties.
The MOU parties are currently conducting their due diligence process and reviewing the dataroom established for this purpose.
The MOU parties have expressed a desire to progress this as quickly as possible.
Rincon Lithium Project
Argosy is earning up to a 90% interest in the Rincon joint venture lithium project located in Argentina.
The company plans to produce a laboratory scale quantity, targeting up to 150 tonnes of LCE product from the project.
Argosy will earn a 50% interest by completing its proposed Stage 1 work schedule:
- Environmental studies and regulatory approvals/permits (December quarter 2016);
- Pond construction and associated works, including contractor tendering (March quarter 2017);
- Pond lining and associated works (June quarter 2017);
- Brine extraction, pumping, storage and transportation works (September quarter 2017);
- Pilot plant construction and test-work (December quarter 2017); and
- Pending success of the Stage 1 development, product LCE product (March quarter 2018).
