This news release should be read in conjunction with
All amounts are in
Highlights
Construction activities at Cauchari-Olaroz continue to advance in accordance with the 40,000 tonne per annum ('tpa') of battery-quality lithium carbonate development plan.
Currently, there are more than 1,000 construction personnel on site, including 286 full-time employees in Jujuy,
Construction is approximately 36% complete, as of the end of
As of
Contracts associated with the 33 kV powerline and the 13.2 kV distribution lines were awarded, the contractors were mobilized and the development activities have commenced.
The gas pipeline contract was awarded, and the contractor commenced development activities at site.
The construction camp has close to 1,000 beds available and completion of the remaining bed modules is expected by the end of Q1 2020.
Earthworks for the carbonate plant site have been completed.
98% of the total planned earthworks for the 12 square kilometer evaporation pond layout are completed and approximately 38% of the liner has been installed.
The concrete foundation for the boron solvent extraction plant is approximately 60% complete.
Construction of buildings for storage of soda ash, reagents, finished products and other warehouses is 99% complete.
The development plan contemplates that construction will be substantially mechanically complete by the end of 2020; however, several major pieces of equipment for the chemical plant are being fabricated in
Permitting continues as planned, with the Mine Plan of Operations accepted by the
Over 10,500 kg of high-quality lithium sulphate has been produced at the process testing facility in
Third-party vendors are engaged to engineer and design lithium carbonate and lithium hydroxide evaporator and crystallizer as well as provide performance guarantees and product samples.
A definitive feasibility study ('DFS') is being completed with an initial targeted production capacity of 20,000 tpa lithium hydroxide and approximately 2,000 tpa lithium carbonate ('Phase 1'); the DFS is on track to be complete by mid-2020.
Project permitting and DFS costs are expected to be fully funded from available cash on hand.
The Company is exploring financing options, including the possibility of a joint venture partner at Thacker Pass.
Corporate
As at
As at
In
As at the date of this news release, the Company has total available credit and loan facilities of
As previously announced, on
On
The Company is closely monitoring the impact of the COVID-19 virus and is prepared for potential short-term impacts on its projects. The Company has appointed a team with overall responsibility for COVID-19 response planning, which includes senior management of the Company. The Company is putting a particular focus on the health and safety of all its employees and contractors as well as its host communities. In addition, the Company is conducting a careful review of various areas that may impact the timing of the Company's projects.
Financial Results
Following closing of the
Net income for the year ended
About
Contact:
Tel: 778-656-5820
Email: ir@lithiumamericas.com
Web: www.lithiumamericas.com
Forward-Looking Statements
This news release contains 'forward-looking information' and 'forward-looking statements' (which we refer to collectively as forward-looking information) under the provisions of applicable securities legislation. All statements, other than statements of historical fact, are forward-looking information. Examples of forward-looking information in this news release include, among other things, statements related to: development of the Cauchari-Olaroz and Thacker Pass projects, including timing and budget, completion of construction activities, anticipated productions, and results thereof; discussions with vendors and freight forwarders, and results thereof; the expected benefits from, and approvals related thereto, of the
Forward-looking information is based upon a number of factors and assumptions that, if untrue, could cause the actual results, performances or achievements of the Company to materially different from future results, performances or achievements expressed or implied by such information. Such information reflects the Company's current views with respect to future events and is necessarily based upon a number of assumptions that, while considered reasonable by the Company today, are inherently subject to significant uncertainties and contingences. These assumptions include, among others, forecasted demand for lithium products, including pricing thereof, the Company's ability to fund, advance and develop the Cauchari-Olaroz project and the Thacker Pass project into production, including results therefrom and timing thereof, accuracy of mineral resources, including whether such mineral resources can ever be converted into reserves, reliability of technical data, accuracy of current budget and construction estimates, ability to achieve commercial production, general economic conditions, maintenance of a positive business relationship with Ganfeng, timely responses from governmental agencies responsible for reviewing and considering the Company's permitting activities, the Company position in a competitive environment, and a stable and supportive legislative, regulatory and community environment.
Forward-looking information also involve known and unknown risks that may cause actual results to differ materially, these risks include, among others, inherent risks in development of capital intensive mineral projects (including as co-owners), variations in mineral resources and mineral reserves, global demand for lithium, recovery rates and lithium pricing, risks associated with successfully securing adequate financing, changes in project parameters and funding thereof, risks related to growth of lithium markets and pricing for products thereof, changes in legislation, governmental or community policy, political risk associated with foreign operations, permitting risk, including receipt of new permits and maintenance of existing permits, title and access risk, cost overruns, unpredictable weather and maintenance of natural resources, unanticipated delays, intellectual property risks, currency and interest rate fluctuations, operational risks, health and safety risks, and general market and industry conditions. Additional risks, assumptions and other factors are set out in the Company's management discussion analysis and most recent annual information form, copies of which are available on SEDAR at www.sedar.com.
Although the Company has attempted to identify important risks and assumptions, given the inherent uncertainties in such forward-looking information, there may be other factors that cause results to differ materially. Forward-looking information is made as of the date hereof and the Company does not intend, and expressly disclaims any obligation to, update or revise the forward-looking information contained in this news release, except as required by law. Accordingly, readers are cautioned not to place undue reliance on forward-looking information.
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