The corporate was granted a optimistic federal determination on August 11, 2021, and has now obtained all principal environmental authorizations enabling it to maneuver ahead with the Rose mission. It additionally acquired the approval of the rehabilitation and restoration plan by the MNRF on Could 13, 2022.
“We’re excited in regards to the prospect of transferring ahead with our plans within the James Bay Eeyou Istchee area. Rose is a crucial mission inside the Eeyou Istchee James Bay territory, and I wish to thank all events concerned and particularly all of the Eeyou Istchee Cree Nation for his or her dedication and onerous work over the previous 10 years to attain this milestone,” CEO Jean-Sébastien Lavallée mentioned in a media launch.
The Rose property is positioned in northern Quebec’s administrative area on the territory of Eeyou Istchee James Bay. All the property covers over 24,600 hectares of land, geologically positioned northeast finish of the Archean Lake Superior Province of the Canadian Defend.
As its first mission to be superior for spodumene manufacturing, Essential Components has selected a low-risk method characterised by easy open-pit mining and traditional lithium processing applied sciences on the Rose mission.
A new feasibility examine launched earlier this yr envisioned a 17-year operation that will excavate a complete of 26.3 million tonnes of ore grading 0.87% Li2O (lithium oxide) and 138 ppm Ta2O5 (tantalum pentoxide). These mineral reserves, all categorized as possible, are estimated from 17 mineralized zones on the Rose property.
Every year, the proposed mill will course of 1.61 million tonnes of ore to supply an annual common of 224,686 tonnes of technical and chemical grade spodumene concentrates, plus 441 tonnes of tantalite focus.
The examine pegs the lithium mining operation at an after-tax web current worth of over $1.91 billion (at 8% low cost fee) with an inside fee of return of 82.4%. The preliminary capital value is estimated at $357 million. Variable prices embrace common working prices of $74.48/t milled and $540/t focus (all focus manufacturing mixed).
It’s anticipated that building of the mine will take about 21 months. The Rose property is presently accessible by highway through the Route du Nord, usable all yr spherical from Chibougamau, and is surrounded by current mine operations and infrastructure.
Shares of Essential Components Lithium jumped 8.7% to C$2.18 by midday ET on the TSX Enterprise Change, having hit a brand new 52-week excessive of C$2.39 earlier. The lithium miner has a market capitalization of C$457.2 million ($335.2m).
