Mt Marion Lithium Project
MRL has a track record of investing in projects with strong returns
The Mt Marion lithium project is located approximately 40km south west of Kalgoorlie, Western Australia and is jointly owned by Mineral Resources Limited (43.1%), Neometals Ltd 13.8%) and one of China's largest lithium producer, Jiangxi Ganfeng Lithium Co., Ltd (43.1%).
Demonstrating MRL’s innovative cost cutting and MRL’s Mount Marion Lithium Project has made substantial progress over the 2016 Financial Year, transforming from a Greenfields site to being ready to commence operations.
The beneficiation process is also nearing completion. Civil construction activities are well advanced with mining, crushing and processing plants, storage and handling facilities and associated infrastructure complete.
During the Financial Year, the Group purchased a further 13.1% of the project, lifting its equity interest to 43.1%. In addition to being a substantial equity holder, MRL is the mine operator, servicing the project with a life-of-mine, BOO contract for the entire mining, processing and supply chain activities from mine to the customer’s door in China.
In July 2016, MRL released a revised Mineral Resource Estimate, a 160% increase to 60.5 million tonnes, at 1.36% Li2O and 1.09% Fe, at a cut-off grade of 0.3% Li2O, compared to previous estimates of 23.2 million tonnes at 1.39% Li2O, at a cut-off grade of 0% Li2O.
MRL has once again deployed its OneMRL strategy at this site, with MRL’s Kwinana workshop undertaking substantial manufacture and assembly of key on-site equipment for the processing plant and other structures.
The Group has installed its first gas power generation system at Mount Marion comprising five gas generators.
Shipping and storage arrangements for spodumene concentrate are advanced with Fremantle Port Authority, to provide an export pathway at KBT2 co-located with MRL’s Yilgarn iron ore stockpiles and export facilities.
Annual production of an initial 400, 000 tonnes per annum is planned. The Group will look to divest its shareholding in the project (whilst retaining its life of mine, BOO contract) in the future.environmental credentials, LNG power generation facilities are being developed to meet the remote demand for power on MRL’s crushing, processing and commodity sites and to fuel the transport fleet. The first LNG power generation facility is expected to be installed to power the Mt Marion lithium project.
Mt Marion on Channel 7 News click here