To be perfectly transparent, there's a reason for my confidence on Prairie Lithium project despite still waiting on PFS. It's because there's a PFS (aka PEA in Canada for other readers who may not be aware) already out there recently released 25/May/2023.
Not far from the cost provided, OPEX $6,807/tonne LHM. 80% recovery...
LithiumBank, recently listed on TSX has their Alberta project with 5.8MT LCE using only 50mg/L, achieve $2.7B NPV8 at 21.6% IRR pre-tax. As always this is expectedly will only increase and get better over time. Look it up.
It's not much to imagine if that was calculated based on 100 mg/L (as opposed to a measly 50 mg/L). Even better post PLIX at what I reckon would be 2,000 mg/L lithium chloride. Yes 2k with >90% recovery. That's just the preliminary.
It's also worth noting that LithiumBank (CVE: LBNK) has set up shop and also acquired permits quite literally next to Prairie Lithium Project and they quote Prairie often. They've barely done drilling in Saskatchewan but it goes to show they've also caught on to this area of Duperow. Personally I want them starved of capital so I can acquire them for cheap (as well), if able. Pretty sure I'm not the only one, but for me I would use my voting rights for M&A with Prairie. In the future though because it's always better for multiple parties doing multiple drillings all at one. It's faster that way. One can never underestimate the cost of time (as we can clearly see on Big Sandy faux pas but I digress).
Here's a map of Duperow formation and why the shown study area is the study area by choice - best flow rate and Li concentration. It's an open secret now but as I mentioned Prof Ben Roston chose to partner with Maurer rather than other explorers (now developers) for a reason.
Also important to note, just how cheap it is to acquire land, rent, get permit and lease, etc. Crown land can be acquired for 8 yrs rent, cost just $2 per ha for first 5yrs then $5 per ha for last 3yrs. You can drill to your hearts content and if spent enough $$$ can apply for production lease. Tax incentives, and if important enough such as DLE on lithium get funding from Govt on "research", hence I keep saying "practically tax free" to explore, develop and mine.
I'd also point out the airport in Estevan. You don't need a chopper to see where the mine is or could be unlike some other resource in Canada.
So if yo I ask me, I'd bet Prairie Lithium would be in full production by Q3 2025.
Hence yes, there are merits and numbers as to why I'm bullish about Prairie. It's not just hopes and prayers.
Of course it's not all green pastures but it is exciting, not long to go for our own PEA. Perhaps I should use "pee" for brine? Trying to end with a laugh.
(20min delay)