Lake Assets and Ford Motor Firm signal non-binding MoU to barter for lithium offtake from the Kachi Undertaking
Australia-based Lithium developer Lake Assets has signed a non-binding Memorandum of Understanding (MoU) with Ford Motor Firm for the offtake of roughly 25,000 tonnes each year (tpa) of lithium from the Kachi Undertaking.
Kachi contains 705 sq km of leases and lease purposes over a brine-bearing basin 20km lengthy, 15km huge, and 400-800m deep centered.
As we’ve shared, Ford is sourcing deeper into the battery provide chain. That is considered one of a number of agreements we’re exploring to assist us safe uncooked supplies to help our aggressive EV acceleration.
—Lisa Drake, Ford’s vp, EV Industrialization
Each Lake and Ford see this as a possibility for a possible long-term settlement with the power to scale up environmentally accountable manufacturing and take part in Lake’s different initiatives to make sure high-quality lithium merchandise can be found to Ford. This MoU with Ford helps Lake’s technique to be a key unbiased provider into international lithium provide chains and make sure the safety of provide to prospects.
—Steve Promnitz, Lake’s Managing Director
Lake’s Kachi Undertaking is positioned in Argentina’s Catamarca Province on the southern finish of the Lithium Triangle, a world-renowned province liable for 40% of world lithium manufacturing.
Utilizing direct extraction know-how offered by Lake’s know-how companion Lilac Options, Lake plans to supply at Kachi a sustainable, high-purity lithium carbonate product.
Lilac has developed and patented a brand new ion alternate know-how to extract lithium from brines with out the necessity for evaporation ponds. Lilac produces its ion alternate beads and delivers these beads to brine initiatives worldwide. The beads are loaded into tanks, brine is flowed by the tanks, and because the brine percolates by the beads, the beads take up lithium out of the brine.
As soon as the beads are saturated with lithium, hydrochloric acid is used to flush out the lithium, yielding lithium chloride. Lithium chloride is the “crude oil” of lithium—the usual middleman in each lithium brine undertaking right now. The lithium chloride is then processed on-site with typical course of tools to yield a completed product.
In April 2020, Lake introduced pre-feasibility research (PFS) outcomes for Kachi, exhibiting its potential to change into a long-life, low-cost operation with an annual manufacturing goal of 25,500 tonnes of battery-grade lithium carbonate utilizing direct extraction know-how. The outcomes confirmed a excessive margin undertaking, with an EBITDA margin of 62%, along with aggressive capital and working prices.