Piedmont and Sayona herald successful re-start of North American Lithium operation
Initial annual production from NAL is expected to be 226,000t of lithium concentrate.
After announcing first lithium concentrate earlier this month from North American Lithium (NAL), joint venture parties Piedmont Lithium (ASX: PLL) and Sayona Mining (ASX: SYA) have officially reported the successful re-start of the operation in Quebec.
NAL is a hard rock spodumene lithium mine and processing operation and was brought back online for a low capital expenditure outlay of US$80 million.
Redevelopment of NAL was completed on time and on-budget, and it will be the only major source of new spodumene production in North America in the next two years.
Initial annual production is targeted at 226,000 tonnes of 6% lithium concentrate with first commercial shipments expected early in the third quarter of this year.
All-up four consignments totalling 120,000t of concentrate are planned to be shipped from NAL by the end of the year and will be supplied to key battery and electric vehicle manufacturers, including LG Chem and Tesla.
Piedmont president and chief executive officer Keith Phillips said the joint venture parties “applauded” the work of the NAL team in bringing the restart to fruition.
“This marks an exciting milestone not only for Piedmont and Sayona, but the North American market for which we are working to supply critical lithium resources.”
“NAL is positioned to be a key contributor to the electric vehicle and battery supply chains as demand for lithium continues to rapidly expand along with the electrification economies in both Canada and the US.”
Sayona Quebec joint venture
Piedmont owns 25% of Sayona Quebec, while Sayona Mining holds the other 75%. In addition to its 25% interest in Sayona Quebec, Piedmont has a 15% holding in Sayona.
Sayona Quebec owns NAL and the two nearby Abitibi Hub projects.
The Abitibi Hub, which are expected to provide additional ore to support NAL.
NAL is powered by renewable hydroelectricity and the Sayona Quebec projects have access to rail, highway and port infrastructure.