Anson Resources (ASX:ASN) - Executive Chairman and CEO, Bruce Richardson
Executive Chairman and CEO, Bruce Richardson
Source: Anson Resources
Market Herald logo

Subscribe

Be the first with the news that moves the market
  • Anson Resources (ASN) updates its preliminary economic assessment for the Paradox Brine Project after another engineering study was conducted
  • ASN says the additional study resulted in improvements in the sodium bromine production process and more accurate capex and opex estimates
  • Specifically, the production cash cost has reduced by 67 per cent and the production of lithium has been reduced by 47 per cent
  • The Utah-based asset’s total capital expenditure increased by 14.7 per cent to US$203 million (A$277.3 million) due to an ESG review
  • Shares in Anson Resources are up 3.19 per cent at 9.7 cents each

Anson Resources (ASN) is updating its preliminary economic assessment for the Paradox Brine Project after another engineering study was conducted.

The additional study was carried out by a third party as part of a pre-feasibility
study for the project in Utah, US.

ASN said pleasingly, it resulted in improvements in the sodium bromine production process and more accurate capex and opex estimates.

Specifically, the production cash cost has reduced by 67 per cent to US$377 (A$515.4) per net tonne of by-product revenue.

While the production of lithium has been reduced by 47 per cent to US$2431 (A$3323.4) per net tonne of by-product revenue.

Additionally, the sales price in the preliminary assessment has been increased to US$15,000 (A$20,490) per tonne to reflect the rising demand for lithium carbonate.

However, the project’s total capital expenditure increased by 14.7 per cent to US$203 million (A$277.3 million) due to an environmental, social and governance review.

Paradox’s net present value post-tax now sits at US$468 million (A$639.4 million) with an internal rate of return of 31 per cent.

Anson believes it will take three years of permitting, detailed engineering, and construction prior to the commissioning and phase one operations at Paradox.

The company aims to recover valuable chemicals from a unique salt brine resource at the site, as well as targeting the supply of lithium chemicals to the rapidly growing battery market.

Shares in Anson Resources were up 3.19 per cent at 2.7 cents each at 12:17 pm AEST.

ASN by the numbers
More From The Market Herald
The Market Herald Video

" Ora Gold (ASX:OAU) obtains unsecured $500k loan facility

Ora Gold (ASX:OAU) has obtained an unsecured $500,000 loan facility from Ioma to assist with general…
Blaze Minerals (ASX:BLZ) - Managing Director, Simon Coxhell

" Blaze Minerals (ASX:BLZ) sees early drill success at Earaheedy, WA

Blaze Minerals (ASX:BLZ) has seen early success at its Earaheedy Basin project in Western Australia after…
The Market Herald Video

" Cannindah Resources (ASX:CAE) raises $2m to continue Mt Cannindah drilling

Cannindah Resources (ASX:CAE) completes a $2 million capital raising to continue its drilling program at Mt…

" Austral Gold (ASX:AGD) robbed of gold precipitate in armed robbery at Guanaco, Chile

Austral Gold (ASX:AGD) reported an armed robbery incident at its Guanaco refinery at Taltal in the…