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Arizona Lithium (ASX:AZL) progresses lithium strategy in Q4

ASX News, Materials
ASX:AZL      MCAP $84.51M
13 July 2022 13:50 (AEST)

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Arizona Lithium (AZL) has announced its activities for the June quarter, a period it described as “critical” for the company.

The company signed a five-year lease for a 9700-square metre property in Tempe, Arizona which will house a lithium research centre. This centre will work as a “technology incubator” for lithium processing and aims to advance the battery materials industry in the state.

Arizona Lithium expects to complete construction by the end of November with operations to commence some time in the December quarter.

“AZL expects the facility to attract some of the best talent from around the world, which will significantly benefit the company’s Big Sandy project, but also the Lordsburg lithium brine project,” Managing Director Paul Lloyd said.

In addition to this research centre, the materials stock committed to a research facility and processing facility which are expected to create over 300 new jobs.

The company accepted a US$1 million (A$1.5 million) grant from the Arizona Commerce Authority and is eligible for financial programs of up to US$100 million.

A bench-scale test program was also completed during the quarter by Hazen Research which reportedly validated the initial Big Sandy design basis and flowsheet. This work will support a scoping study which is expected to be completed next month.

In regards to its financial position, Arizona Lithium raised $32.5 million through a two-tranche placement to advance the development of Big Sandy.

At of the end of June 2022, the company has $42.3 million in cash.

Company shares were up 1.2 per cent to trade at 8.3 cents at 1:50 pm AEST.

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