The "industry benchmark" for SC6 is 6% Li, 0.5% Fe. As our local sealion Rasputin admitted in another thread, he doesn't know what the iron impurity actually means.
Grant Harman ("one of the world’s foremost lithium metallurgists") has written about this, available online. In short, iron decreases recoveries in the calcine stage: "The molten minerals form clinker (lumps). These clinker lumps can become a headache for converters in the operation of their plant as well as lowering the amount of lithium that can be extracted in the subsequent leach." He cites 1.5-1.9% Fe of "other concentrates" (competing companies) as being too much.
In my view, then, this is a matter of competing recoveries and margins. The concentrator needs to get the iron down to an acceptable level so that recoveries at the calcine stage remain profitable, while doing so at an affordable ore processing cost for themselves. This is obviously a balancing act to recover the desirable mineral while disposing of the deleterious at lowest cost - you could spend more to improve it, but may end up losing overall. AVZ uses a larger grind but at lower Li recovery, FFX uses a smaller grind but better Li recovery. Horses for courses.
Given that FFX's SC6 is a bee's d!ck from 0.5% Fe at 0.56%, and a long way from 1.5-1.9%, the various smart heads contracted to do the studies obviously felt that the method to attain that level of iron, and the consequences of those methods, were congenial to the recoveries and profitability of both the concentrator and the calciner. That's easier to assume than them risking their industry credibility on trying to fool shareholders to pump a stock. Ockham's razor.
Regarding particle size, this is simply a matter of roaster design. Harman explains that a plant designed for large feed will struggle to roast 'dusty' feed and vice versa. Small particles heat up faster which translates to energy savings, but may "elutriate" (blow out) if the roaster is not properly set up. Harman's Talison had a mixed feed from 75 microns to 3mm.
To conclude I don't think FFX's 0.56% Fe and 100-150 micron grind size is something to lose sleep over (Rasputin), nor the moisture level which is stated above to be perfect for transportation. Every downstream processor will need to tweak their plant to maximise their recoveries and profitability, which is why the relationships take a while to establish: ideally they last a long time. Whoever contracts to process Goulamina ore under current specs could enjoy lower energy costs than some competitors.
FFX Price at posting:
18.5¢ Sentiment: Buy Disclosure: Held
