Awesome For WA and Share Holders!!!
What’s charging the Pilbara?
WA’s biggest new lithium mine is getting ready for business.
The new lithium mine at Pilgangoora is likely to generate up to 500 jobs – between construction and operations – according to Pilbara Minerals CEO Ken Brinsden.
Last month, WA’s biggest new lithium mining venture called on engineering and construction groups to put their hands up to build and design a $100 million-plus mineral processing plant in the Pilbara region, 120km south of Port Hedland.
Pilbara Minerals plans to soon ask for bids on early contracts, including road civil works and camp mobilisation and installation, Brinsden says.
“My hope is that they can be done before the end of the year,” he says.
“And from there, 2017 is the bulk of the construction and the key to that is the plant itself — that’s nominally $120 million-worth of process plant.
“We are collecting information from interested parties now with a view to short-listing and launching into the tender process within the next couple of months.
“The idea is to ensure that the detailed design is progressing in the second half of this year while we’re finalising the last round of financing and waiting for the final projects approval to come through.”
The big picture
The plant at Pilgangoora will be designed to process and concentrate lithium-rich “spodumene” ore over a 15-year mine life.
“We’ve already been fielding calls left, right and centre and welcoming them, really, because we’d like to get a sounding from the market as to who’s involved,” Brinsden says.
Though relatively small by Pilbara standards — production is forecast at about 330,000 tonnes of concentrates a year grading 6.5 per cent lithium — Pilgangoora will provide a valuable diversification to Port Hedland businesses struggling with the iron ore downturn, Brinsden believes.
The raw concentrates will be processed mainly in China, which sees Western Australia as a key emerging supplier of lithium, used in batteries that power mobile devices and, increasingly, cars and buses.
WA already boasts the world’s biggest single lithium mine at Greenbushes, in the south west, while two other mines, Mt Marion near Kalgoorlie and Mt Cattlin near Ravensthorpe, are due to come on line this year.
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