Green Technology Metals (GT1.AX) has released an updated resource calculation for its flagship Seymour lithium project. The resource calculation now shows a total consolidated resource of 24.9 million tonnes at 1.13% LiO2across the Root and Seymour projects of which 15.5 million tonnes are part of the indicated resource category. The Seymour project by itself now contains 10.3 million tonnes (of which 6.1 million tonnes are in the indicated resource category) at an average grade of 1.03% Li2O.
The Seymour update is calculated based on the data from just over 15,200 meters of the in excess of 34,000 meters of drilling. The drill program is currently ongoing and hopefully this will add more tonnes to the existing resource base.
The Root project, which contains 14.6 million tonnes of rock at an average grade of 1.21% Li2O is located approximately 200 kilometers away from Seymour. Although that’s pretty far, it could potentially be doable to truck the rock from one project to another for processing. And perhaps an initial screening or pre-concentrate plan could already boost the average grade before anything gets trucked.
In any case, it was interesting to see how this resource would impact an economic study, and Green Technology Metals announced an after-tax NPV8% of C$1.2B using a spodumene price of US$2,029/t FOB Thunder Bay and a lithium Hydroxide price of US$25,460/t, also on a FOB Thunder Bay basis. We will discuss the results of the PEA in a separate article.
Disclosure: The author has no position in Green Technology Metals. Please read the disclaimer.
