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- A preliminary economic assessment for Anson Resource’s (ASN) Paradox Brine project in Utah has been adjusted to factor in lithium carbonate production
- The study found the inclusion of lithium could add up to $53 million to the value of the project but would come at a cost of some US$186 million (roughly A$244.1 million)
- It could also take up to two years to get lithium production started but hinted at a forecasted production of 2465 tonnes per annum should it do so
- Although an intriguing prospect, Anson cautioned there was no guarantee in securing funds required for the project which may only be achievable on terms that could dilute or impact company shares
- Anson Resources is trading in the grey at 9 cents per share
A preliminary economic assessment for Anson Resource’s (ASN) Paradox Brine project in Utah has been adjusted to factor in lithium carbonate production.
The inclusion of lithium in this study is tipped to add $53 million to the phase one pre-tax net present value of the project, however, achieving the range of proposed feasibility studies and development outcomes could cost a tidy US$186 million (roughly A$244.1 million).
Key parameters from the study indicated it could take up to two years to get the project off the ground, but forecasted a 2465-tonne-per-annum production as part of phase one.
Anson declared the updated economic assessment indicates high economic viability and return on investment due to the unique nature of brine, which has yielded some encouraging findings during recent testing.
Anson flagged there was no guarantee in securing these funds, advising achieving such funding may only be possible on terms that could “dilute or otherwise affect the value of Anson’s existing shares.”
The preliminary economic assessment was prepared by an independent engineering firm, Millcreek Mining Group.
Anson’s flagship Paradox Brine Project in Utah touts a 341-million-tonne resource, which is predominantly inferred.
Anson Resources is trading in the grey at 9 cents per share.
