- Lithium chemical developer Lepidico (LPD) is in discussions with multiple lithium hydroxide consumers as well as consumers of caesium and rubidium
- One potential customer expects to soon complete its analysis of a lithium hydroxide monohydrate sample which will pave the way for offtake discussions
- The company hopes the discussions will lead to long-term supply agreements to support project financing and a final investment decision in the June quarter
- Lepidico also plans to dispatch more lithium hydroxide samples over the next few weeks for other consumers to analyse
- These discussions align with Lepidico’s goal of producing lithium carbonate equivalent at its phase 1 lithium chemical plant from 2023
- Lepidico ended the day 40 per cent in the green, trading at 1.4 cents
Lepidico (LPD) has announced it’s in confidential discussions with up to six lithium hydroxide consumers and three caesium/rubidium consumers.
Pleasingly, one prospective customer has advised that its analysis of a lithium hydroxide monohydrate sample should be completed early this year, which will allow offtake discussions to advance.
Further lithium hydroxide samples will be dispatched over the next few weeks from the company’s existing inventory for other consumers to analyse.
“Offtake discussions for the high-value lithium, caesium and rubidium products to be produced form Lepidico’s phase one project are expected to gain momentum in January 2021,” Managing Director Joe Walsh said.
Lepidico hopes the discussions will lead to long-term supply agreements to support project financing and a final investment decision in the June quarter.
Discussions with potential caesium and rubidium consumers are significant as it’s expected there’ll be supply issues for the critical minerals.
Lepidico is a prospective producer of lithium chemicals and has developed its own technology which may potentially complement the lithium market by supplying low-cost lithium carbonate from alternative sources.
The L-Max Process is being incorporated into the company’s phase one lithium chemical plant which is aiming to commercially produce 5000 tonnes of lithium carbonate equivalent for 2023.
Feed to the phase one plant is planned to be sourced from Lepidico’s 80 per cent-owned Karibib Project in Namibia.
Lepidico ended the day 40 per cent in the green, trading at 1.4 cents.