Atlantic Lithium Limited (AIM:ALL) has revealed details of an updated scoping study for its Ewoyaa lithium project in Ghana.
The scoping study update incorporates the recently increased JORC resource of 21.3mln tonnes, resulting in a significant improvement in project economics and life of mine.
The study makes the case for a two million tonnes per annum operation with life of mine revenues exceeding US$3.43bn.
The operation would run for over 11 years, producing an average 300,000 tonnes per year of 6% Li2O spodumene concentrate.
There would also be a saleable direct shipping ore Fines product and a saleable feldspar by-product.
The post-tax net present value rings in at US$789mln, with the IRR running at 194% over 11.4 years.
Capital costs amount to US$70mln.
"Today's landmark update regarding the company's exceptional scoping study confirms that Ewoyaa is an industry-leading asset and transformational for Atlantic Lithium,” said Vincent Mascolo, chief executive of Atlantic.
"The project leverages existing infrastructure, including directly adjacent HV power, a major highway within one kilometre of the site, and the major port of Takoradi 110 kilometres away. Few hard-rock lithium projects worldwide can boast the proximity to existing operational infrastructure, lithium grade and a simple DMS-only process route that separates Ewoyaa from its peers. With the benefit of adjacent infrastructure and without the need to include expensive milling and flotation circuits, the project benefits from a very low upfront capital expenditure.”