Lake’s flagship Kachi Project is located in Argentina’s Catamarca Province at the southern end of the Lithium Triangle, a world-renowned province responsible for 40% of global lithium production.
Using direct extraction technology provided by Lake’s technology partner, Lake plans to produce at Kachi a sustainable, high purity lithium carbonate product capable of attracting premium pricing from battery/cathode makers.
Importantly, the direct extraction process is an environmentally friendly technology since virtually all the water (brine) is returned to its source, offering the EV and battery industry a sustainable and consistently high quality source of lithium for their supply chains.
Kachi comprises 705 sq km of leases and lease applications over a brine-bearing basin 20km long, 15km wide, and 400-800m deep centred.
In November 2018, Lake announced a maiden JORC resource at Kachi of 4.4 million tonnes (Mt) of contained lithium carbonate equivalent (LCE), and an exploration target ranging between 8-17Mt of LCE. This ranks Kachi as one of the world’s top 10 brine resources.
In April 2020, Lake announced compelling pre-feasibility study (PFS) results for Kachi, showing its potential to become a long life, low cost operation with an annual production target of 25,500 tonnes of battery grade lithium carbonate using direct extraction technology. The results showed a high margin project, with an EBITDA margin of 62%, together with competitive capital and operating costs.
The next steps for Kachi include delivering product samples from Lilac’s pilot plant to potential off-takers; targeting lower upfront and operational costs, such as through using environmentally friendly solar power; and further resource development to extend the project’s life, in addition to financing and off-take discussions.