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- Prospect Resources (PSC) has nearly doubled its petalite recovery at the Arcadia Lithium Project in Zimbabwe
- Petalite is a preferred material used for ceramics and black glass
- The company has recently completed its flotation work at Arcadia, which has recorded significant improvements to the project
- In December, the definitive feasibility study estimated a net present value (NPV) of US$710 million, with a petalite recovery of 31 per cent
- Now, the company is expecting to increase its recovery to 60 per cent
- With this increase in petalite recovery, further work will now be taken to understand the full economic benefits for this increase
- Prospect is up 3.70 per cent on the market this morning, trading for 14 cents per share
Prospect Resources (PSC) has nearly doubled its petalite recovery at the Arcadia Lithium Project in Zimbabwe.
Petalite is a preferred material used for ceramics and black glass. It has a zero-thermal expansion, which means the glass can expand and contract without the crystalline structure failing.
Prospect has the potential to be the first petalite producer and lithium mineral producer to sell into the clear glass market, which has been traditionally supplied by lithium carbonate.
The company has recently completed its flotation work at Arcadia, which has shown significant improvements to the project.
Following the definitive feasibility study (DFS) in November, Prospect has been focused on improving the petalite recovery to meet the demand from premium glass-ceramic customers.
In December, the DFS estimated a net present value (NPV) of US$710 million, with a petalite recovery of 31 per cent. Now, the company is expecting to increase its recovery to 60 per cent.
The testwork was able to achieve a product specification that is superior from Dense Media Separation. Individual flotation tests were able to achieve a higher lithia content of 4.5 per cent lithium oxide, while also containing a lower iron oxide or iron oxide level of 0.02 per cent.
The higher the lithia and ultra-low iron oxide content of the petalite flotation, product helps increase the ease of use for glass and ceramics customers.
The premium pricing in the clear glass market is expected to be higher than the ceramics and black glass markets due to its higher lithia content.
With this increase in petalite recovery, further work will now be taken to understand the full economic benefits for the increase.
“With Prospect’s ability to nearly double its petalite recovery, our operating cost per tonne of petalite and spodumene is expected to drop. Further work is required to quantify this saving,” Managing Director, Sam Hosack said.
“If we apply the expected tantalum credit and the premium-priced petalite credit against the cost of spodumene production, then we can confidently aim to be the lowest cost spodumene producer in the world,” Sam said.
Prospect is up 3.70 per cent on the market this morning, trading for 14 cents per share at 11:35 am AEST.
