Bacanora Lithium expects to complete fundraising for Sonora project in H2

Writer, Stock Market Wire
Wednesday, February 13, 2019 - 09:29

Bacanora Lithium said Wednesday it would finalise the funding package for its Sonora project and complete the feasibility study for its second lithium project at Zinnwald in the second half of the year.

During the first half of the year, the lithium explorer had secured $240m as part of the Sonora lithium project financing package to construct an initial 17,500 tonnes per annum lithium carbonate operation.

The company confirmed it was in talks to secure funding to double the carbonate operation to a 35,000 tonnes per annum lithium carbonate in the second half of the year. 

The ongoing work towards a feasibility study into a battery grade lithium product operation at Zinnwald was on track for completion in second quarter of 2019, the company said.

Over the course of the last six months, the company announced a resource upgrade and the successful production of battery-grade samples of lithium fluoride from Zinnwald concentrates. 

The company completed a resource estimate showing Zinnwald contained of 124,974 tonnes of lithium, up 30% from the previous resource estimate. First production of lithium fluoride samples showed 99% purity from concentrates at Zinnwald, providing proof of concept that battery grade lithium products can be produced.

'In tandem with the Feasibility Study, we are evaluating the possibility of listing our German subsidiary later this year as part of our efforts to fund the development of a lithium fluoride operation at Zinnwald,' the company said.

The update comes as battery grade lithium carbonate spot prices, cost insurance and freight China, steadied in the US$13,000 - 15,000 per tonne range by the end of December 2018, after falling in June.

Contract prices had remained strong in the fourth quarter 2018, maintaining a premium to spot.

At 9:29am: (LON:BCN) Bacanora Minerals Ltd Ord Npv di share price was 0p at 21.75p

Related content

Ganfeng takes 30% stake in Bacanora Lithium following regulatory approvals

Bacanora Lithium said Ganfeng had completed its strategic investment in the company after receiving the last of the relevant approvals.

Completion of the last of...

Mon, 14/10/2019 - 09:42

Bacanora Lithium director Derek Batorowski resigns

Bacanora Lithium said that Derek Batorowski had resigned as a director of the company, effective from 12 Sep 2019.

At 8:50am: (LON:BCN) Bacanora Minerals Ltd...

Fri, 13/09/2019 - 08:50

Bacanora Lithium nears final Chinese regulatory nod for Ganfeng Lithium deal

Bacanora Lithium said its investment and sales agreement with Ganfeng Lithium was close to getting final regulatory approval in China.

The first of the required...

Tue, 20/08/2019 - 14:11

Bacanora Lithium says Zinnwald project in German could cost €159m to develop.

Bacanora Lithium said a feasibility study indicated that its Zinnwald project in Germany would cost €159m to develop.

The estimate included mining, processing plant, infrastructure,...

Wed, 05/06/2019 - 14:18

Bacanora Lithium agrees to sell 30% stake in company to China's Ganfeng

Bacanora Lithium said it had signed a non-binding agreement for China's Ganfeng Lithium to buy a 30% interest in the company for around £14.4m and...

Mon, 20/05/2019 - 15:01