Green Technology Metals Announces Positive Preliminary Economic Assessment for Seymour Lithium Project
Completion of Preliminary Economic Assessment
Green Technology Metals (GT1), focused on lithium projects in Canada, has announced the completion of its Preliminary Economic Assessment (PEA). The assessment includes vertically integrated mines, concentrators, and a Lithium Hydroxide Conversion facility.
Key Highlights of the PEA
- Mining Lease: A 21-year mining lease has been granted for the proposed Seymour mine construction area.
- Project Economics: The combined mine and concentrator development shows a Net Present Value (NPV) of CAD $1,189M (USD $894M).
- Development Options: The PEA considers two development options: producing saleable SC5.5 concentrates from Seymour and Root mines and an integrated project including a converter for battery-grade Lithium hydroxide production.
- Production and Financials: For Seymour & Root Mine and Spodumene Concentrators, the project includes 15 years of mine production with phased capital expenditure. The project anticipates an after-tax NPV of CAD $1,189M (USD $894M), an Internal Rate of Return (IRR) of 54%, and total Life of Mine (LOM) revenue of CAD $7,958M (USD $5,984M).
- Integrated Lithium Project: This includes mine concentrator development and a conversion facility in Thunder Bay, Ontario. The projected after-tax NPV for this integrated project is CAD $1,506M (USD $1,132M), with an IRR of 27% and total LOM revenue of CAD $14,230M (USD $10,699M).
- Offtake Agreement: 25% of Seymour’s output is committed to LGES for the first five years of production.CEO’s StatementCEO Luke Cox expressed satisfaction with the PEA, highlighting the robust economics and strategic project delivery approach. Cox emphasized the integrated lithium project’s role in bridging the supply chain gap from mine to electric vehicle in North America. He also acknowledged the importance of collaboration with Indigenous partners, communities, government, industry, and stakeholders in building a resilient business and supporting local communities.
Strategic Implications for GT1
The positive PEA results for the Seymour lithium project represent a significant milestone for GT1, positioning the company as a potential leader in lithium production in Ontario. The project's success could have substantial impacts on the local economy and contribute to the broader supply chain for electric vehicles in North America.
