Brisbane-based Sayona Mining has raised production forecasts for its Authier hard rock lithium project in the Canadian province of Quebec, hoping to provide further impetus for its attempt to acquire the operations of nearby North American Lithium (NAL) that went into administration this year.
Sayona said in a revised definitive feasibility study that it now expects Authier to produce 114,116 t/yr of lithium concentrate over a 14-year period, up from a previous forecast of 87,400 t/yr. The net present value of the project has been increased to C$216mn ($164mn) from C$184mn with a payback period of 2.7 years. The operating cash cost is estimated at C$400/t.
Sayona last month made a bid to the Quebec Superior Court for the assets of NAL, which halted production at its La Corne mining and processing operation in February. NAL produced 114,000t of concentrate in 2018 compared to its nameplate capacity of 180,000t. The bidding outcome will be known early next year.
Authier has a proven and probable ore reserve of 12.1mn t grading 1pc lithium oxide. Sayona said it is an ideal feedstock source for the suspended NAL mine and concentrator and can contribute to the Quebec government's strategy of becoming a meaningful player in the lithium value chain. Downstream processing options are also being considered to create an end-to-end lithium hub in Quebec.
