Reported Earlier, Elevra Lithium's NAL Expansion Study Raises Post-Tax IRR To 41.8% And NPV To C$969M ($718M) With US$270M CAPEX And 25-Month Payback
Process plant design feed rate increased to the permitted average annual 4,500 tonnes per day (tpd) in Stage 1 and 6,500 tpd in Stage 2; average Life of Mine (LOM) recovery of 71.2%; spodumene concentrate at grade of 5.4% Li2O.
The updated Scoping Study improves the incremental post-tax NPV(8%) of the expansion project from C$479M (US$355M)2 in the previous study1 to C$969M (US$718M)2 or a 102% increase. Approximately 51% of the increase in post-tax NPV is attributable to staging/throughput and other assumption changes while 49% is attributable to the increase in Li2O price from the previous study.
The expansion project provides a total NAL project post-tax NPV(8%) of C$3,112M (US$2,305M)2, with a post-tax IRR of 41.8% and payback of 25 months.
The expanded production rate is increased to 338 thousand tonnes per annum (ktpa) (nominal SC5.4, post ramp up), up from 315 ktpa in the prior scoping study1.
Average LOM C1 unit cost of C$847/t (US$628/t)2 and AISC of C$922/t (US$683/t)2 once the expansion is fully operational similar to the prior study1.
Stage 1 CAPEX of C$96M (US$71M)2; Stage 2 CAPEX of C$81M (US$60M)2; Stage 3 CAPEX of C$188M (US$139M)2. Total CAPEX of C$366M, (US$270M)2.
Stage 1 incremental production ramp up will commence in mid-CY27 and Stage 3 construction is forecast to be completed by mid-CY29.
The Company's existing NAL Ore Reserves solely underpin the NAL Expansion production profile with a revised life of mine of 21 years.
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