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- Jindalee Resources (JRL) signs memorandum of understanding (MoU) with Korean steel-making giant POSCO
- Both parties will undertake joint research concerning Jindalee’s wholly-owned McDermitt lithium project in the United States
- POSCO will fully-fund the metallurgical test work on McDermitt ore, which is expected to take six months and cost around $2 million
- Jindalee and POSCO will look into commercialisation of the project at the conclusion of the testing
- JRL shares were up 7.5 per cent, trading a $2.58 at 4:40 pm AEDT
Jindalee Resources (JRL) has signed a non-binding memorandum of understanding (MoU) with Korean steel-making giant POSCO.
The MoU will see both parties undertake joint research involving Jindalee’s wholly-owned McDermitt lithium project in the United States.
It aims to optimise the flowsheet for processing ore from the project, with Jindalee offering a large composite sample for testing at POSCO’s research facility in Korea.
The latest MoU follows the analysis of a smaller sample of McDermitt ore carried out by POSCO in 2022.
Based in Pohang, South Korea, POSCO is the world’s sixth-largest steelmaker in terms of production, producing 42.96 million tonnes in 2021, according to the World Steel Association.
Jindalee Chairman Justin Mannolini said the MoU is a significant step towards developing McDermitt further in 2023.
“I am delighted that Jindalee has been able to sign a MOU with POSCO Holdings, a leading Korean company and lithium producer as well as supplier of cathode active materials to major US auto maker General Motors,” he said.
“This arrangement will allow Jindalee to further examine the potential of the McDermitt lithium project in Oregon, a very large and strategically important domestic source of lithium for the US battery industry.”
POSCO will fund the metallurgical test work on the McDermitt ore, which will assess three seperate processes.
The test work is estimated to cost around $2 million and will take around six months.
Jindalee and POSCO will look into commercialisation of the project at the conclusion of the testing.
JRL shares were up 7.5 per cent, trading a $2.58 at 4:40 pm AEDT.
