Frontier Lithium Inc. Awards Contract for Definitive Feasibility Study for the PAK Lithium Project
SUDBURY, ON, Nov. 1, 2023 /CNW/ - Frontier Lithium Inc. (TSXV: FL) (FRA: HL2) (OTCQX: LITOF), a leading Canadian lithium exploration and development mining company, is pleased to announce the commencement of the first phase of the Definitive Feasibility Study (DFS) for the PAK lithium project ("Project") and the award of the mine and mill scope to DRA Americas Inc., a fully-owned subsidiary of DRA Global (DRA). DRA Global is an international multi-disciplinary engineering, project delivery, and operations management group primarily focused on the mining, minerals, and metals industry.
Following the encouraging results from the Company's Preliminary Feasibility Study (PFS) on the Project, as described in the press release dated July 17,2023. The Company is excited to be moving forward with the next stage of project engineering. The fully integrated mine, mill, and refinery flowsheet demonstrated in the PFS will be studied in two distinct scopes at the DFS level with the mine and mill scope set to conclude in the next 12-18 months.
It is projected that a mine and milling facility with an estimated output of 200,000 metric tonnes of spodumene concentrate per annum will be brought online in two stages:
- Stage 1 – Winter Road Access: The existing winter road will be used for the construction of the first concentrator line targeting the high purity PAK deposit and facilitating the production of up to 100,000 metric tonnes per annum of premium spodumene concentrates. Stage 1 aims to leverage the winter road for transportation to market to facilitate rapid market penetration with the Company's premium spodumene concentrates.
- Stage 2 – All Season Road Access: The development and ramping of the second mill line into production will be completed concurrent with the targeted completion of an all-season access-road to the region. This expansion will enable the export of additional premium spodumene concentrates, to enhance Frontier's market presence.
Implementing this phased construction approach serves to mitigate project risks, capitalize on existing infrastructure, and focuses the Company on short-term concentrate production goals. Additionally, this strategy will aim to minimize potential delays associated with all-season road construction, and to provide a more streamlined path with options for operational success.
Frontier remains fully financed for the successful completion of the Phase 1 DFS, reinforcing its commitment to driving sustainable lithium solutions in the Canadian mining industry.
About DRA GLOBAL
DRA Global Limited (ASX: DRA | JSE: DRA) (DRA or the Group) is an international multi-disciplinary engineering, project delivery and operations management group, predominantly focused on the mining, minerals and metals industry. The Group has an extensive track record spanning almost four decades across a wide range of commodities and have delivered more than 8,000 projects, studies, and managed services solutions, and currently operate more than a dozen sites through its operations and maintenance division. DRA has strong expertise in the mining, minerals and metals processing industries, as well as related non-process infrastructure such as, water, and energy solutions and focusses on sustainability and assisting mining companies to achieve their Environmental, Social and Governance goals. DRA covers all major mining centres with offices across Africa and the Middle East, North and South America, and Asia-Pacific.
Frontier Lithium Inc. (TSX-V: FL) (FRA: HL2) (OTCQX: LITOF) is an exploration and development mining company with headquarters and assets in Northern Ontario, a tier-one mining jurisdiction. The Company's PAK Project represents the largest land position in a new, premium lithium mineral district, with a proven high-grade, large tonnage and pure lithium resource. Strategically located in Ontario's Great Lakes region near the United States Border, Frontier is developing the first fully integrated lithium mining-and-processing operation in Ontario with an aim is to become a significant supplier of spodumene concentrates and battery-grade lithium hydroxide to the growing electric vehicle and energy storage markets across North America.
The PAK lithium project contains North America's highest-grade lithium resource and is the largest in Ontario by size. The project encompasses close to 27,000 hectares and remains largely unexplored; however, since 2013, the Company has delineated two premium spodumene-bearing lithium deposits (PAK and Spark), located 2.3 kilometres apart. Exploration is continuing on the project through two other spodumene- bearing discoveries: the Bolt pegmatite (located between the PAK and Spark deposits), as well as the Pennock pegmatite (25 kilometres northwest of PAK deposit within the project claims). A 2023 Pre-Feasibility Study titled ""National Instrument 43-101 Technical Report PFS PAK Lithium Project"" authored by BBA E&C Inc., delivered a 24- year project life, at a post-tax NPV(8%) of US$1.74 billion and internal rate of return of 24.1% as per the press release disseminated on May 31, 2023 , and was filed on www.SedarPlus.com.
This press release contains statements that constitute "forward-statements." Such forward looking statements involve known and unknown risks, uncertainties and other factors that may cause the Company's actual results, performance or achievements, or developments to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Although the Company believes, in light of the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them because the Company can give no assurance that they will prove to be correct. When used in this press release, the words "estimate", "project", "belief", "anticipate", "intend", "expect", "plan", "predict", "may" or "should" and the negative of these words or such variations thereon or comparable terminology are intended to identify forward-looking statements and information. The forward-looking statements and information in this press release include information relating to the prospectivity of the Company's mineral properties, the mineralization and development of the Company's mineral properties, the Company's exploration program and other mining projects and prospects thereof. Such statements and information reflect the current view of the Company. Risks and uncertainties that may cause actual results to differ materially from those contemplated in those forward-looking statements and information. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. The forward-looking information contained in this news release represents the expectations of the Company as of the date of this news release and, accordingly, is subject to change after such date. Readers should not place undue importance on forward-looking information and should not rely upon this information as of any other date. The Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.
Readers are cautioned that any such forward-looking statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, please review the Company's public filings available on SEDAR+ at www.sedarplus.com.
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SOURCE Frontier Lithium Inc.
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