Andrada Mining Ltd (AIM:ATM, OTC:AFTTF) has reported the completion of its first bulk lithium concentrate from its pilot project near the town of Uis in Namibia.
The company, in a statement, said potential offtake partners have indicated that this concentrate composition represents a desirable lithium product.
It will now be used by the potential offtakers to test, Andrada noted.
Chief executive Anthony Vijoen described it as a “huge step forward” toward realising the value of its mineral assets in Namibia.
"We are extremely pleased to announce the production of our first saleable bulk lithium concentrate.
“This milestone follows the previously reported successful laboratory scale test work and we believe it moves us one step closer to full-scale lithium production. With the completion of the on-site pilot plant imminent, we intend to expedite bulk pilot test work on all our mineral licenses.”
He added: "Simultaneously, we plan to increase pilot-scale production of lithium concentrate for testing with potential offtakers to achieve initial lithium sales."
Andrada, meanwhile, added that on-site construction of a lithium pilot plant is on schedule with completion due next month.
This addition is expected to allow Andrada to expedite bulk pilot test work and increase pilot production of lithium concentrate.
On the financing front, the company told investors that its senior debt facility from Development Bank of Namibia is expected to reach contractual close at the end of this month with the potential first drawdown in June.
Meanwhile, it noted that the conclusion of the Orion Global Resource facility is contingent on an inter-creditor agreement between Orion and the senior lenders Development bank of Namibia and Standard Bank.