Proactive Investors - Atlantic Lithium (LON:ALLA) said it had started work on the scoping study for a flotation plant at Ewoyaa in Ghana for fines material and following up on the recent definitive feasibility study
Results from this study, which is for secondary, by-product material and would be downstream from the main plant, are expected in the final quarter of 2023.
DRA Global (ASX:DRA) has been appointed to carry out the work.
Keith Muller, who has just taken over as chief executive, also gave further details about DFS and mine plan in a statement alongside its latest quarterly cash update,
“The [processing] plant has been designed to maximise metal recovery, enhancing NPV and generating robust margins over the life of the mine, aiming to withstand potential downturns in the market," he said.
“Ewoyaa's favourable mineralogy enables a simple flow sheet and a low energy and water-intensive conventional Dense Media Separation plant from open pit mining.
"The mine plan outlined in the DFS considers 94% of the ore processed over the Life of Mine as Reserves, with Inferred Resources excluded from the first five years of operations, providing greater confidence in the viability of the project.
"Deployment of a Modular DMS unit, processing 450,000t of ore while construction of the main plant gets underway, represents both a means of risk mitigation and a source of early revenue.
“Of the total US$185mln capex outlined in the DFS, we expect [partner] Piedmont will fund c70%, comprising US$70 million of initial sole funding and 50% of capex thereafter.
"Atlantic Lithium is in a desirable position as a near-term spodumene producer in having 50% of the Project's offtake still available."
Muller added he hoped the mining lease from the Minerals Commission will be granted in the current quarter,
Atlantic Lithium has cash on hand of A$15.3mln t the end of the June quarter