In addition to the main “Hombre Muerto West” project, the Candelas lithium project is now officially the second promising mining project in Argentina for the Australian mining company Galan Lithium Ltd.
The results of the Preliminary Economic Assessment now certify that the Candelas Lithium Project is a highly long-lived and prospective mining project that should provide the Australian company with the best positioning prospects in the commodity market.
Excellent study results
Just a few days ago, the results of the preliminary economic assessment (PEA) for the “Candelas” lithium brine project in Argentina were published. The quite excellent figures certify the Australian mining company Galan Lithium Ltd. exceedingly attractive prospects.
Thus, according to the study results, about 14000 tons of best quality lithium carbonate could be extracted annually in Candelas for at least 25 years. A pre-tax net present value of $1225 million was calculated for the project with an interest rate of 27.9 percent.
This should make the Candelas project extremely lucrative alongside the main “Hombre Muerto West” project, which should also please investors.
Important facts about the Candelas project
Candelas is located only about 40 km from the main project of the Australian company Galan Lithium in the Puna Plateau of the Andes and is part of one of the most productive salt plains in the world.
The project area covers an area of approximately 24072 hectares for which a total of 14 exploration permits have been obtained. There, in a basin about 15 km long and 4 km wide, there are a lot of sediments containing lithium brine.
According to the current planning, the brine wells are to be drilled in the northern part. The brine is to be pumped from there to the east of the site into appropriate pre-concentration and precipitation ponds.
Since the nearby Rio De Los Patas river does not have to be included in the lithium extraction process, environmentally friendly lithium extraction is possible in the Candelas area. Resource estimates from 2019 indicated a lithium carbonate equivalent of 685000 tonnes for the Candelas project.
Long-life mine production and best lithium quality
The official PEA review results regarding the Candela Project longevity forecast indicated that approximately 14 kilotons of lithium carbonate could be produced per year for at least 25 years.
Lithium recovered from the Candelas prospect, like lithium from neighboring Hombre Muerto West, is considered to be of high quality with high grades of lithium in the brine as well as low impurities.
Environmentally friendly extraction would also involve only low CO2 emissions in Candelas. The project is therefore already classified as one of the most environmentally friendly and cost-effective lithium projects.
For Galan Lithium Ltd. the Candelas project is therefore more than promising. Further optimizations already planned could also make lithium production in Argentina even more lucrative.