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Galan Lithium (ASX:GLN) produces high-quality lithium chloride concentrate from HMW pilot plant

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ASX:GLN      MCAP $119.7M
24 July 2023 14:31 (AEST)

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Galan Lithium (GLN) has confirmed the production of high-quality six-per cent lithium chloride concentrate from its Hombre Muerto West (HMW) project in Argentina.

The company described its concentrate as “premium” quality equivalent to 13 per cent lithium oxide achieved in the company’s early-stage pilot.

The company produced 350 litres of six per cent lithium chloride brine through evaporation with the end-product presenting with few impurities.

The pilot evaporation run, the company reported, gave the team crucial knowledge to use going forward.

The six per cent chloride concentrate met the expectations of the company’s metallurgical team ahead of operations, proving Galan adept at handling the downstream refining process of ore from its HMW project.

The company is targeting 5.4 kilotonnes of chloride output per year from 2025 with phase one preparation works on-site well developed with clearing for key assets 80 percent complete.

Galan’s existing brine concentration process will continue through 2023 and into 2024. The HMW project is located inside the “golden triangle” in South America which holds a considerable chunk of known global lithium reserves.

“Samples are now ready to be distributed to potential buyers of our lithium chloride product … as we gear up for Phase 1 construction, I am confident that Galan has put together one of the most experienced lithium brine teams in the business,” Galan Managing Director Juan Pablo said.

“It has proven our process model and design theories were correct – it can be done.”

Galan Lithium shares were down 1.21 per cent, trading at 81.5 cents at 2:31 pm AEST.

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