- 01DIA granted; Kachi enters FEED for 25kt LCE.
- 02200m lagoon exclusion; protects water; reserves unchanged.
- 03US$1m to Catamarca Royalty Fund for local infra.
Lake Resources (ASX: LKE) has been granted an environmental impact declaration from the Catamarca Ministry of Mining for its flagship Kachi lithium brine development in Argentina, enabling the project to advance to front-end engineering and design (FEED).
The Declaración de Impacto Ambiental (or DIA) marks the conclusion of Kachi’s comprehensive environmental and social impact assessment application by confirming the project’s engineering design, resource management plan, and sustainability profile comply with the region’s strict standards.
In accordance with its social responsibilities, Lake has committed US$1 million to the Mining Royalty Trust Fund of Catamarca to support key infrastructure projects in the province that directly benefit local communities.
The DIA adopted a 200 metre surficial exclusion zone surrounding the lagoon shoreline as part of Kachi’s environmental management framework to define the spatial and operational boundary between project activities and the lagoon ecosystem.
Lake is now working on an updated mineral resource estimate to account for the exclusion zone, which is not expected to affect the existing ore reserve estimate or wellfield development plan supporting the planned production profile.
FEED Stage Components
Kachi’s FEED stage will build on an extensive definitive feasibility study and engineering work delivered alongside engineering firm Hatch and technology partner Lilac Solutions.
It will comprise engineering definition and optimisation to refine key civil, structural, mechanical, and electrical packages for Phase 1 of a 25,000-tonnes-per-annum lithium carbonate equivalent commercial facility, along with securing long-lead equipment packages and advancing commercial terms with critical suppliers.
It will also include early works, construction logistics, modular assembly schedules and operational risk mitigation plans for the Kachi site, as well as the compilation of detailed technical documents required by lead financial advisors, export credit agencies, prospective offtake partners, and strategic project equity firms to support ongoing negotiations.
The commencement of FEED represents the last engineering step prior to a final investment decision for the Kachi project, targeting first lithium in 2027.
Fully Permitted Status
Lake managing director David Dickson said securing the environmental impact declaration was the most important milestone in the company’s history.
“It moves Kachi into fully permitted status, making the project shovel-ready and validating the world-class scientific foundation of Lilac’s direct lithium extraction model, which was chosen specifically because it protects local water resources by returning over 99% of processed brine to the aquifer,” he said.
“Having this DIA elevates our position in ongoing commercial negotiations with potential strategic partners, offtakers and export credit agencies as we work toward commercial execution.”
The Kachi project is focused on the production of consistent battery-grade (>99.5% purity) lithium carbonate on-site, without the need for further refining or processing, to meet the growing demand from global markets.
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