European Metals Holdings Ltd said its 49%-owned Cinovec lithium project in the Czech Republic is moving rapidly towards a final investment decision, having now been significantly de-risked.
Strong prices for lithium are likely to continue in the foreseeable future it said, while work on the Definitive Feasibility Study continues, albeit with some minor coronavirus-related delays.
Steady progress has been made on locked cycle testwork, permits and the Measured Resource drilling programme.
The project's ESG credentials have also been boosted significantly, said EMH, and “Cinovec is emerging as a project with not only very robust economic parameters, but one with a strong ESG profile relative to its peers,” it said.
"We will continue developing this aspect of the project over the coming year and expect to be able to present a positive Life Cycle Assessment (LCA) to the market shortly.
"The LCA will demonstrate the project's anticipated life-time carbon emissions, which we expect to be comparatively very attractive.
Losses for the year to end June were A$3.96mln, with the company having cash and equivalents of A$7.9mln at the period end.
Cinovec is the largest hard-rock lithium deposit in Europe, the fourth largest non-brine deposit in the world and a globally significant tin resource.