Galan Lithium Limited Announces On-Schedule Progress of HMW Phase 1 Construction for 2025 Production Start

Key Updates on HMW Phase 1 Construction

Galan Lithium Limited (ASX: GLN) has provided a progress update on its Hombre Muerto West (HMW) Phase 1 lithium brine project. The construction activities are on track, aiming for lithium chloride production in the first half of 2025.

Current Construction Milestones

• Pond 1 construction is progressing as planned, currently at 65% completion.
• Liners for Pond 1 have arrived on-site, with installation slated to begin in late December 2023.
• The filling of Pond 1 is expected in the first quarter of 2024, with the evaporation process scheduled to start this summer.
• Preparation for Ponds 2 and 3 is underway, involving topsoil removal.
• The new camp and associated infrastructure are advancing well, with final modules substantially in place.
• Technical due diligence by Glencore has begun.

HMW Project Phases and Targets

The HMW project is divided into four production phases. Phase 1's Definitive Feasibility Study (DFS) focuses on producing 5.4ktpa LCE of lithium chloride concentrate by H1 2025, as per approved production permits. Subsequent phases include Phase 2 targeting 21ktpa LCE in 2026, Phase 3 aiming for 40ktpa LCE by 2028, and finally, Phase 4 with a goal of 60ktpa LCE by 2030. Phase 4 will incorporate lithium brine from both HMW and Galan’s Candelas project.

Management's Statement

Galan's Managing Director, Juan Pablo (JP) Vargas de la Vega, expressed satisfaction with the on-site progress and the performance of the dedicated team. He emphasized the team's expertise and commitment to achieving the project's first production phase. The construction of Pond 1 and associated works are key components in this development phase.