Sayona Mining Ltd (ASX:SYA) has revealed recoveries over 80% and concentrate grades greater than 6% lithium have been achieved from a metallurgical testing program at the company's Authier lithium project in Canada.
The objective of the metallurgical testing was to improve the process recoveries and concentrate grades, and reduce processing operating costs.
This has been a success when compared to the February 2017 Pre-Feasibility Study (PFS) assumptions of recoveries at 80% and concentrate grades of 5.75% lithium.
The results will be incorporated into the updated PFS, along with the new JORC Resource and results of the geotechnical program.
This has the potential to significantly enhance the value and return outcomes for the Authier project.
Following this Sayona will commence the Definitive Feasibility Study, and pilot scale metallurgical testing programs.
The potential of Authier
Authier is located in an infrastructure rich region of Canada.
Sayona believes Authier is one of the most advanced new hard-rock spodumene development projects in the world, and has a strategy to move into production quickly.
This has the potential to be done by constructing a relatively low capital expenditure operation and capitalising on the projected high price environment for spodumene concentrates over the next five to ten years.
Cash flows from concentrate sales could then potentially be applied to funding the equity required to construct the downstream processing plant or an expansion of the concentrate operations.