Altura is building a leading position in the independent supply of lithium raw materials, with a world class lithium project at Pilgangoora ready to set the platform and be the first new hard rock supplier in 2017. The Altura team has a track record of delivering mining projects with Pilgangoora the most advanced stage, near term producing lithium project; solid offtake partners and a market providing substantial growth opportunities to ensure positive shareholder returns.
Following completion of the Feasibility Study (FS) in Q1 2016, the Company is focussed on completion of the Definitive Feasibility Study in Q3 2016, with construction of the mine planned to start in Q4 2016. Production is forecast to commence in Q3 2017.
Key outcomes of the FS included a project Net Present Value (NPV) of $382 million over an initial 12+ year mine life based on the current ore reserve estimate of 18.4 million tonnes, a Life of Mine (LOM) cash cost of A$298 per tonne of spodumene concentrate, an attractive capital estimate of A$129 million including deferred capital and a payback period of 1.7 years.
Altura’s Pilgangoora deposit will be extracted by open pit methods enhanced by the shallow and thick mineralisation allowing spodumene ore to be mined from the commencement of mining. The FS has highlighted a very attractive LOM strip ratio of 2.7:1 providing Altura with a very low operational mining cost.
Altura has an extensive tenement holding in Pilgangoora and believes there is considerable upside for the project. The Company has recently commenced a new drilling program at Pilgangoora with the immediate focus to deliver additional spodumene ore feedstock for additional metallurgical testing and geotechnical assessment to support the mine.