VANCOUVER, British Columbia,
April 30,
2024 /CNW/ -- Lithium South Development
Corporation (the "Company" or "Lithium South") (TSX-V:
LIS) (OTCQB: LISMF) (Frankfurt: OGPQ) is pleased to announce it has
today filed on SEDAR plus, its Preliminary Economic Assessment
("PEA report') following the summary results previously announced
March 03, 2024. The report titled,
N.I. 43-101 Preliminary Economic Assessment Hombre Muerto North
Lithium Project, Salta, Argentina, was completed by Knight Piesold
Consulting and JDS Energy and Mining Inc., both industry leading
independent engineering consulting firms.
The PEA Report provides support for Lithium South to proceed
with development plans for a 15,600 tonnes per year lithium
carbonate plant, located at its wholly owned, Hombre Muerto North
Lithium Project ("HMN Li Project") in Salta, Argentina. The extraction and recovery process
for the project is based on conventional solar evaporation of the
well brine, magnesium removal with slaked lime and lithium
carbonate precipitation using soda ash, which is an industrial
proven method of lithium production.
The financial model shows a Net Present Value after tax of
US$938 million, an after-tax Internal
Rate of Return of 31.6%, and a 2.5-year payback.
Company Founder President and CEO, Adrian F. C. Hobkirk is quoted, "We are very
pleased to have achieved this important milestone for the HMN Li
Project. The robust economics and room for expansion indicate a
promising future for Lithium South."
About Lithium South
Lithium South owns 100% of the HMN Li Project located in Salta
and Catamarca Provinces, Argentina, in the heart of the lithium
triangle. The Salar del Hombre Muerto has a history of
lithium production, with Arcadium Lithium (as a result of the Alkem
and Livent merger) in operation for over twenty-five years, in an
area just south of the HMN Li Project. The HMN Li Project is
surrounded by a US$4 billion lithium
development under construction by POSCO (Korea) and the Sal de Vida
Project under development by Arcadium. Exploration work to date has
delineated a National Instrument 43-101 compliant 1,583,200 tonne
Lithium Carbonate Equivalent ("LCE") Resource (Note 1) on the Alba
Sabrina, Natalia Maria, and Tramo
claim blocks, three of five non-contiguous blocks that make up the
HMN Lithium Project. With pumping well installation underway,
Lithium South is transitioning from being a lithium explorer to
becoming a lithium developer.
Qualified Person Statements
Peter Ehren is an independent
Lithium Consultant. He has more than two decades of experience in
the industry. He started his interest in the lithium business
during his master's thesis at Technical University of the Delft
where he investigated for BHP Minerals the recovery of lithium
from geothermal brine (Salton Sea),
applying a Direct Lithium Extraction ("DLE") technology. After his
thesis he worked for SQM as a process engineer and R&D
manager till 2007. Since 2007 he started to work as independent
consultant in the lithium, boron and potassium industry. He is a
world expert in solar evaporation systems, phase chemistry and
process developments. Additionally, his experience covers product
applications, OPEX and CAPEX estimation, process simulations,
engineering, R&D and product development. He has worked
in lithium basins and production facilities worldwide. He is
a Chartered Professional (AusIMM) and QP for NI 43-101 and
JORC.
Dr. Mark King, Ph.D., F.G.C.,
P.Geo., of Groundwater Insight, Inc., is the QP for resource
estimation components of the PEA., as such term is defined by NI
43-101. Dr. King has extensive experience in salar environments and
has been a QP on numerous lithium brine projects, ranging from
early exploration to production. Dr. King is independent from the
Company and has reviewed and approved the technical information
mentioned in this press release.
Richard Goodwin, P.Eng., Project
Manager for JDS Energy and Mining, Inc., is independent of Lithium
South and a QP as defined under Canadian National Instrument
43-101. Mr. Goodwin is a mining engineer and study manager with
over 30 years of experience managing mining operation and projects
in various commodities such as base metals, precious metals, PGMs,
and diamonds in various domestic and international locations. Mr.
Goodwin is responsible for the PEA results, participated directly
in the production of this press release, and directly related
information in this press release, and approves of the technical
and scientific disclosure contained herein.
On behalf of the Board of Directors
Adrian F. C. Hobkirk
President and Chief Executive Officer
Investors / Shareholders call 855-415-8100 / website:
lithiumsouth.com
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release. The TSX Venture Exchange has not reviewed the content
of this news release and therefore does not accept responsibility
or liability for the adequacy or accuracy of the contents of this
news release.
Note 1: A report titled, Updated Mineral Resource Estimate –
Hombre Muerto North Project, NI 43-101 Technical Report Catamarca
and Salta, Argentina,
Mark King, PhD, PGeo, Peter Ehren, M.Sc, MAusIMM, September 5th, 2023.
This news release contains certain "forward-looking statements"
within the meaning of Section 21E of the United States Securities
and Exchange Act of 1934, as amended. Except for statements of
historical fact relating to the Company, certain information
contained herein constitute forward-looking statements.
Forward-looking statements are based upon opinions and estimates of
management at the date the statements are made and are subject to a
variety of risks and uncertainties and other factors which could
cause actual results to differ materially from those projected in
the forward-looking statements. The reader is cautioned not to
place undue reliance on forward- looking statements. We seek safe
harbor.
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SOURCE Lithium South Development Corporation
