It seems the data used for the PFS comes from the testing done on a smaller scale at ILiAD's building in California in March 2023. So does that mean the "greater than expected results" from our pilot plant (prev ann) haven't been factored in but to be used in the DFS H12024?
Results are currently exceeding the most optimistic expectations. The purity of the DLE concentrate has considerable potential to reduce downstream processing and conversion costs.
Which means the conversion cost of $2,606 per tonne LCE in PFS would be reduced. From E3 announcements tweaking the operating parameters of DLE can greatly improve the economics. Which our current pilot plant might allow us to do.
Also, from PFS:
13.0 Recommendations and Future Considerations
The financial sensitivity analysis indicates that initial CAPEX is a major factor in determining internal rate of return. Design development during the study revealed significant potential for reducing initial CAPEX, particularly related to the general arrangement between tanks and process equipment. Begin the next stage of design development with a focus on CAPEX reduction and reducing overall material take-offs and construction indirect cost.
Project comparison:
Thacker Pass Capex: $2.3b for 40ktpa ( 57.5 million per 1ktpa) Opex: $7,198/t NPV based on LCE price of $24k
Prairie Capex: $290m for 6ktpa ( 48.3 million per 1ktpa) Opex: $5425 /t NPV based on LCE price of $21k
"AZL is pointing the way, in theory, to Canadian lithium production from oil brine. It’s pointing the way for others, who will succeed because of lower overhead costs. AZL might make some money from selling them its claims, though."
AZL has the largest land holding across the duperow area and 43% of SK is thriving farm land. We run the SK show.
AZL Price at posting:
3.1¢ Sentiment: Buy Disclosure: Held
(20min delay)