An Ausenco preliminary economic assessment on Alpha Lithium Corporation’s proposed Tolillar lithium brine project in Argentina’s Salta Province has put a US$1.5 billion after-tax net present value on a $777 million venture able to produce lithium carbonate at similar rates to large established Lithium Triangle neighbours.
Alpha Lithium says its proposed project, 10-15km from Livent’s 20,000 tonnes per annum lithium carbonate Fenix operation, could produce 25,000tpa lithium carbonate from known well resources in the Tolillar and Hombre Muerto Salars.
“The study does not include contribution from wells drilled since mid-2022, which management believes represent meaningful, unquantified, upside potential,” the company says.
“Alpha intends to soon incorporate drilling completed since mid-2022, and anticipates an expanded resource could potentially support a longer mine life and a second 25,000tpa phase.”
The PEA NPV uses an 8% discount rate, US$6301/tonne projected cash cost and $22,990/t average Li2CO3 price over 25 years. The proposed project generates a 25.1% IRR in the initial study.
Alpha has more than $30 million cash in the bank and a current market value of circa-$111m.
