Zulu lithium project energised
PREMIER African Minerals Limited says its Zulu Lithium and Tantalum Project in Insiza District, Matabeleland South, has been energised by recent forecasts suggesting extended shortages of spodumene and prices projected at current levels through to 2025.
The firm says the forecasts dovetails with target production commencement in early 2023. Spodumene is a rock that has very high mineralisation of lithium. Lithium is increasingly becoming a key mineral worldwide with its demand surging for use in the ceramics industry, mobile phone manufacturing and making of automotive batteries.
In an update on the pilot project, chief executive officer, Mr George Roach, noted that work is progressing well in relation to the pilot plant installation and remains on target for hot commissioning in the first quarter of next year.
“At the same time, recent forecasts suggesting extended shortages of spodumene and prices projected at current levels through to 2025, are both encouraging and supportive of the approach we have taken to target production early in 2023,” he said.
“Of particular interest is that our ongoing resource development is strongly supportive of the use of sensor-based ore sorting and we remain confident that this is likely to see wider utilisation of the available resource, particularly, lower grade sections and potentially an overall lower production cost.”
However, Mr Roach said although a large number of outstanding results remain, they are both a concern and an opportunity. Recently, the mining firm said it secured US$35 million pre-funding to enable the construction and commissioning of a large-scale pilot plant at the project.
Upon the signing of the agreement, US$3 450 000 has been availed to Premier to secure the pilot plant.
Suzhou TA&A Ultra Clean Technology company, a China-based company principally engaged in the research, development, production, and sale of anti-static ultra-clean products provided the funding.
The funds will allow Premier to establish a large-scale pilot plant at the Zulu Lithium and Tantalum Project. The mining firm says the pre-payment is expected to fully fund the construction phase and is interest-free provided first shipment occurs by 31 March next year.
According to the pre-payment agreement, Suzhou TA&A agreed to provide a pre-funding totalling $34 644 385 with the balance to be paid in one lump sum following completion of the transaction documents. The group has a diverse portfolio of projects, which include tungsten, rare earth elements, lithium and tantalum in Zimbabwe and lithium and gold in
Mozambique, encompassing brownfield projects with near-term production potential to grass-roots exploration.
Premier African Minerals Limited is a multi-commodity mining and natural resource development company focused on Southern Africa with its RHA tungsten and Zulu lithium projects in Zimbabwe.-chronicle.co.zw
