Proactive Investors - Run By Investors For Investors

European Metals shares lifted as it updates on Cinovec project

The miner said in an update that improved recoveries meant lithium carbonate production was predicted to increase to 22,500 tonnes per annum from 20,800 tpa previously
Mining helmets
The company has also received drilling permits for a definitive feasibility study

European Metals Holdings Limited (LON:EMH ASX:EMH) saw its shares rise in early trading Wednesday after it updated on its Cinovec project in the Czech Republic.

The miner said in an update for the third quarter that additional roast optimisation test work had been completed and sustained improved recoveries meant lithium carbonate production was predicted to increase to 22,500 tonnes per annum (tpa) from 20,800 tpa previously.

WATCH: European Metals secures key permits as Cinovec project advances

The raised production forecast also meant that projected cash margins would be around 10%, with the company adding that the preparation of 2 tonnes of lithium concentrate via magnetic separation for lithium carbonate pilot plant trials was almost complete.

EMH also said in the update that work had commenced on an update of the preliminary feasibility study to model the production of higher value lithium hydroxide due to its increasing use in lithium ion batteries, with permits granted for geotechnical drilling at Cinovec.

The company had also received resource drilling permits for a definitive feasibility study, with the first 4 geotechnical drill holes at the proposed site of the mine portal completed.

Testing of a revised lithium hydroxide product flowsheet at Dorfner Anzaplan in Germany had also commenced on schedule.

In a separate announcement, the firm said it had used A$1.1mln in net cash in the third quarter, with its cash and cash equivalents at the end of the period at A$1.1mln.

EMH also estimated that total estimated cash outflows for the next quarter would total A$863,000.

Shares were up 2.9% at 26p.

View full EMH profile View Profile

European Metals Holdings Timeline

Related Articles

mineral sands
June 27 2019
Dundas currently has a resource estimate of 117mln tonnes at 6.1% ilmenite in-situ.
Process plant
May 16 2019
AfriTin Mining Limited (LON:ATM) is developing the Uis tin project in north-west Namibia Phase 1 will see process 500,000 tonnes of ore per annum processed This will produce 60 tonnes of tin concentrate per month. Phase 2 will see capacity rise to 3mln tonnes per annum, producing the 5,000 tonnes of tin concentrate
May 16 2019
Could Stonepark end up hosting one of Ireland's next generation of zinc mines?

© Proactive Investors 2019

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use