The Optimised Root Lithium Project, announced by Green Technology Metals Limited (ASX: GT1), reveals promising economic enhancements following a recent Preliminary Economic Assessment (PEA). This revised assessment showcases a strong project outlook for the Root Lithium Project in Ontario, focusing on a blend of open pit and underground mining techniques, underpinned by an innovative processing method to produce 5.5% Spodumene Concentrate.
Key highlights of the optimised PEA include a notable increase in Net Present Value (NPV) to US$668 million, alongside reduced pre-production capital expenses driven by lower pre-stripping costs. The project’s material movement has decreased, and although there is a projected longer payback period due to conservative pricing, the overall project remains resilient with a lower strip ratio of 8.1:1, enhancing operational efficiency.
The Root Lithium Project is pivotal to GT1’s vertically integrated strategy, poised to feed into the planned Lithium Conversion facility in Thunder Bay. The company aims to progress permitting and initiate the Pre-Feasibility Study (PFS), reinforcing its commitment to establishing a robust lithium supply chain in Ontario. GT1’s Managing Director, Cameron Henry, remarked on the project’s significance, highlighting the economic benefits present in this region’s infrastructure and government support for the electric vehicle supply chain.
Green Technology Metals Limited has announced enhancements to the Root Lithium Project through an optimised PEA, revealing increased NPV, lower capital costs, and a resilient project framework. The study highlights a composite mining methodology aimed at sustainably feeding the company’s conversion facility in Thunder Bay, while advancing permitting and the Pre-Feasibility Study.
In conclusion, the Optimised Root Lithium Project’s latest PEA reveals strengthened economic foundations, showcasing a robust path forward with favourable NPV and reduced capital costs. As GT1 ventures toward further development, the project stands as a cornerstone in the North American supply chain for lithium, aligning with the broader goals of sustainable energy and electric mobility initiatives.
Original Source: investingnews.com
