Piedmont Lithium Ltd (ASX:PLL) (OTCMKTS:PDDTF) (FRA:PL4) has kicked off its definitive feasibility study (DFS) for its integrated North Carolina lithium hydroxide operations which will include Metso Outotec’s innovative alkaline pressure leach technology aimed at lowering the carbon footprint and improve economics.
The integrated DFS, which will incorporate the work currently underway at its concentrate operations, with Metso Outotec joining its technical team, is expected to be completed in the third quarter of 2021.
The DFS will include initiatives to further improve the ESG profile of its North Carolina operations.
At nexus of three mega-trends
Piedmont president and chief executive officer Keith D Phillips said: “Demand for locally and ethically-sourced battery raw materials is accelerating and Piedmont is engaging in multiple initiatives to meet this opportunity in the most sustainable way possible.
“With the backdrop of new executive orders supporting domestic battery supply chains, we are very pleased to launch an integrated definitive feasibility study to advance our North Carolina operations.
“In adopting the innovative Metso Outotec process, we hope to deliver enhanced DFS economics while also positioning the Piedmont Lithium Project to have a lower environmental impact than any of the lithium hydroxide projects currently operating and under construction around the world.
“As the only spodumene-to-hydroxide lithium project in the United States, Piedmont is at the nexus of three important mega-trends – the ‘electrification of everything,’ the ‘localisation of supply chains’, and ‘the decarbonisation of the economy’.
“As our DFS progresses, we will continue to engage in discussions with prospective customers and strategic investors to optimally position our North Carolina operations for development later this year.”
Shares higher
Shares have been as much as 10.4% higher this morning to A$1.07, approaching the new record high of A$1.085 set earlier this month while the company's market cap has grown to $1.097 billion.
Growth in market cap and share price will see the company added to the S&P/ASX 300 Index on March 22, which is a double promotion as PLL has also been added to the All Ordinaries list.
Metso Outotec’s technology
Metso Outotec will join Piedmont’s technical team which currently includes Primero Group and Marshall Miller and Associates.
Using Metso Outotec’s technology, which omits the acid roasting step of conventional spodumene conversion, air emissions from the chemical operations are expected to be reduced compared with its prior studies, and importantly, consumption of sulphuric acid and sodium sulfate waste products will be eliminated.
DFS
The DFS will also evaluate enhancements to its Carolina operations, including the installation of solar generating capacity, in-pit crushing systems, and elimination of haul trucks from its operations plan, all of which are expected to improve both carbon emissions and project economics.
Given the integrated nature of the business model, Piedmont will not publish a standalone DFS for the concentrate operations.
The company will update investors with a preliminary economic assessment of the integrated business, including the Metso Outotec technology, as well as the updated mineral resource estimates within the second quarter of 2021.