Is WR1 an economically viable project?, page-24

Alright, I went back through my notes to see why I thought that DMS-only was a possible (but not guaranteed) option for Adina (also assuming my optimism bias).

It was based the assumptions below (one or all of which may be incredibly stupid to a knowledgeable person or geologist). You are welcome @dtab or others to ridicule as you see fit (I can only learn stuff):

Assumptions:
- DMS-only operations are possible at above 70% recoveries (of course this depends on market conditions and a lot of other factors, and the Li price was a lot higher at the time)
- HLS recoveries approximated the ultimate DMS recoveries *
- The very limited testing of the Adina deposit metallurgy for HLS gave a recovery rate of 68.4% (for SC6)

Therefore:
- If further met work predicts a recovery rate of around the 70% or just below (very borderline), do we:
1) starting with DMS + flotation (and associated high capex), or
2) just do DMS first, stack the tailings and build a flotation circuit a few years later, or
3) perhaps get away with DMS-only ??

I thought #3 DMS-only might be possible assuming:
- recoveries of just below 70% for SC6 equivalent possible
- strong lithium prices- market willing to accept less than SC6 i.e. market accepting 5.3% at the moment (and lower in some circumstances)
- the lower capex would make it worth it

If #3 not possible, then we could go with #2, particularly if we started mining the higher grade sections of the deposit.

Obviously I realise (as mentioned before) that a lot of met work needs to be done before the PEA.

* Also, looking back at my notes now I think that I was too quick to equate HLS and DMS recoveries, so that is probably the flaw in how I remember these results.

All feedback welcome.