Elevra Announces Plan to Nearly Double Lithium Output in Quebec
Elevra has released a pre-feasibility study outlining plans to nearly double annual spodumene concentrate production at its North American Lithium mine in Quebec. The expansion is expected to increase output from the current base case of 199,000 tonnes per year to an average of 373,000 tonnes annually after implementation. This would also surpass Elevra's previous estimate by around 10%. Higher mill feed grades due to ore sorting are cited as a primary reason for this increase. The project is expected to be fully funded through existing financing and involves three development stages over the next few years, with production increases beginning in mid-2027. The expansion has an estimated initial capital expenditure of C$366 million (US$271 million) and a projected post-tax net present value of C$943 million using an 8% discount rate. Elevra also expects to reduce operating costs significantly, with life-of-mine C1 costs dropping from C$1,048 per tonne in the base case to as low as C$851 per tonne post-expansion. The project is supported by existing proven and probable reserves of 47.2 million tonnes grading at 1.12% Li2O, with a mine life estimated at around 20 years under the expanded plan.
Tickers: $ELVR
Topics: capital expenditure pre-feasibility study production expansion spodumene concentrate