TORONTO, Nov. 21, 2023 (GLOBE NEWSWIRE) -- Lithium Ionic Corp. (TSXV: LTH; OTCQX: LTHCF; FSE: H3N) (“Lithium Ionic” or the “Company”), a lithium exploration and development company focused on becoming Brazil’s next significant lithium producer, is pleased to report a major milestone with the application of a Concomitant Environmental and Installation License (“LAC”, or Licença Ambiental Concomitante in Portuguese) submitted to the State of Minas Gerais for the construction and development of its Bandeira lithium Project (“Bandeira”).
The Preliminary Economic Assessment (“PEA”) for Bandeira announced last month defined an underground mining operation which provides a reduced environmental footprint relative to other development options. This development approach qualifies the Bandeira project as a candidate for the accelerated LAC license that would result in the environmental and social license, together with an authorization to begin construction.
As part of the application, the Company submitted both an RCA (Environmental Control Report) and PCA (Environmental Control Plan) which have been underway since March 2023 by local environmental consultancy group, NEO Agroambiental Ltda., with assistance from Lithium Ionic’s technical team.
All of the Company’s properties and projects, including Bandeira, have been recognized as “priority projects” within the state of Minas Gerais government, which is expected to accelerate the licensing review process for project construction and operations (see press release dated July 19, 2023).
Blake Hylands, P.Geo., CEO of Lithium Ionic, commented, “The submission of the LAC permit application marks a major milestone on our development path towards becoming a near-term producer of high-quality lithium concentrate. We are pleased that Minas Gerais state officials recognize the importance of supporting the development of the battery materials sector in the region and we are confident that having our project on their priority business development list will result in our application being evaluated accordingly, without delay.”
The Bandeira project covers 175 hectares, or approximately 1% of its large 14,182-hectare land package in the northern part of Minas Gerais State within a region recently coined “Lithium Valley” by state officials, which is emerging as a globally significant producer of high-quality lithium concentrate. Two lithium producers currently operate in the region, located between 800 metres and 4 kilometres from the Bandeira project.
The Company is currently undertaking an independent NI 43-101 compliant Feasibility Study (“FS”), including an updated MRE, expected to be completed in early 2024. The FS follows a Preliminary Economic Assessment (“PEA”), which showcased a viable and highly economic mining project. The PEA, which had a drill data cut-off of August 30, 2023 with respect to the MRE, supported 20-years of low-cost spodumene concentrate production with a post-tax Net Present Value (“NPV”)8% of US$1.6 billion (~C$2.2 billion) and an Internal Rate of Return (“IRR”) of 121% (see details of the PEA in the press release dated October 19, 2023).
About Lithium Ionic Corp.
Lithium Ionic is a Canadian mining company exploring and developing its lithium properties in Brazil. Its Itinga and Salinas group of properties cover 14,182 hectares in the northeastern part of Minas Gerais state, a mining-friendly jurisdiction that is quickly emerging as a world-class hard-rock lithium district. Its Feasibility-stage Bandeira Project is situated in the same region as CBL’s Cachoeira lithium mine, which has produced lithium for +30 years, as well as Sigma Lithium Corp.’s Grota do Cirilo project, which hosts the largest hard-rock lithium deposit in the Americas.
Qualified Persons
The technical information in this news release has been prepared by Carlos Costa, Vice President Exploration of Lithium Ionic and Blake Hylands, CEO and director of Lithium Ionic, who are both “qualified persons” as defined in NI 43-101. Mr. Costa and Mr. Hylands have both read and approved the content in this news release.
Investor and Media Inquiries:
+1 647.316.2500
info@lithiumionic.com
Cautionary Note Regarding Forward-Looking Statements
This press release contains statements that constitute “forward-statements.” Such forward looking statements involve known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, performance or achievements, or developments to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Although the Company believes, in light of the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them because the Company can give no assurance that they will prove to be correct. When used in this press release, the words “estimate”, “project”, “belief”, “anticipate”, “intend”, “expect”, “plan”, “predict”, “may” or “should” and the negative of these words or such variations thereon or comparable terminology are intended to identify forward-looking statements and information. The forward-looking statements and information in this press release include information relating to the prospectivity of the Company’s mineral properties, the economic viability of the Bandeira, the mineralization and development of the Company’s mineral properties, the Company’s exploration program and other mining projects and prospects thereof, the Company’s ability to complete a Feasibility Study, the Company’s ability to complete an environmental impact assessment and obtain the requisite permitting and approvals and the Company’s future plans. Such statements and information reflect the current view of the Company. Risks and uncertainties that may cause actual results to differ materially from those contemplated in those forward-looking statements and information. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. The forward-looking information contained in this news release represents the expectations of the Company as of the date of this news release and, accordingly, is subject to change after such date. Readers should not place undue importance on forward-looking information and should not rely upon this information as of any other date. The Company undertakes no obligation to update these forward-looking statements in the event that management’s beliefs, estimates or opinions, or other factors, should change.
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