Metals

Lithium Universe eyes Quebec for carbonate refinery site

CBCIE Time:Jan 29, 2024 10:16 Source:smallcaps

Access to port infrastructure has become the key factor as Lithium Universe narrows down its possible refinery site in Quebec province.

In its latest quarterly report covering the December 2023 period, the company lists the many milestones achieved during the three months ending December 31.

These include the appointment of global engineering company Hatch to carry out the engineering study for the company’s proposed carbonate plant, the appointment of Victoria Vargas as director of its Canadian subsidiary bringing with her 25 years’ experience in North American capital markets, the opening of a new office in Montreal, progress on the concentrator study and closer co-operation with the Quebec provincial government.

Lithium Universe also underlines that it has made a deliberate choice to focus on lithium carbonate rather than lithium hydroxide (in contrast to several other advanced lithium projects in North America).

The company decided this on the basis of the widespread use of lithium carbonate in the fast-growing lithium iron phosphate batteries, which are increasingly being used in electric vehicles due to their lower cost.

On top of that, the management team at Lithium Universe headed by chair Iggy Tan possesses what the company calls “a wealth of knowledge and experience” in lithium carbonate processing.

Four possible sites

Engineering consultant Hatch has now completed a location study for the proposed 16,000 tonnes per annum lithium carbonate refinery, an integral part of LU7’s Quebec Lithium Processing Hub.

Sites in more than 20 municipalities were considered before being narrowed down to four.

The first is an area located on the Trans Taiga Highway in James Bay, followed by areas outside Montreal.

The finalists also include established mining communities such as Rouyn-Noranda and Amos, with the fourth possibility being the industrial area in Saguenay/Alma.

River location now favoured

Eight criteria were applied in this search and not all candidates met them.

For example, only three of the four finalists have existing natural gas supplies and railway access, while all four have available high-voltage electricity.

Construction costs are higher in some, while in others there are challenges with services and logistics.

The second option — areas outside Montreal along the river between that city and Quebec City — was chosen due to its having access to port infrastructure and discussions have begun with the management of Becancour Industrial Park.

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