Galan Lithium

Filling of HMW Pond 2 Commences as Lithium Chloride Production Journey Continues

Galan Lithium Limited (ASX:GLN) (Galan or the Company) is pleased to provide a further update on the progress of construction activities at its 100% owned Hombre Muerto West (HMW) Phase 1 lithium brine project, with lithium chloride production expected in H1 2025. Galan continues its steady progress in advancing its low cost, high grade HMW project to production in a timely manner.


  • Filling of pond 2 has commenced, evaporation process is underway
  • Pond 2 earthworks and liner installation progressing well (65% complete)
  • Pond 3 earthworks construction work well under way (40% complete)
  • Pond 1 evaporation continuing, containing approximately 500t LCE already
  • Ten (10) production wells completed; only six are required for Phase 1
  • The HMW production process uses very little fresh water and considerably less water than subsequent conversion to lithium carbonate or hydroxide
  • Water was never intended to be sourced from the Los Patos River; water for the HMW Project will be sourced directly from in situ dedicated water wells
  • Strategic HMW lithium chloride production plan continues; phase 1 (permits granted) and phase 2 development plans are unaffected by the recent provincial court ruling
  • Low all-in sustaining costs; HMW is expected to be in the 1st quartile of lithium industry’s cost curve with an initial reserve estimate of 40 years
  • Phase 2 Operating cost to LiCl concentrate of $US3,510/t LCE equates to a low Li2O equivalent operating cost of SC6 (Spodumene Concentrate) $US310/t-$US350/t; solid production margins at current spot prices
  • Glencore due diligence process continues to advance, outcomes to be announced upon completion

As previously announced, the HMW project was separated into four production phases. The initial Phase 1 Definitive Feasibility Study (DFS) focused on the production of 5.4ktpa LCE of a lithium chloride concentrate by H1 2025, as governed by the approved production permits. The Phase 2 DFS targets 21ktpa LCE of a lithium chloride concentrate in 2026, followed by Phase 3 production of 40ktpa LCE by 2028 and finally a Phase 4 production target of 60ktpa LCE by 2030. Phase 4 will include lithium brine sourced from both HMW and Galan’s other 100% owned project in Argentina, Candelas. The very positive Phase 2 DFS results were announced on 3 October 2023 (https://wcsecure.weblink.com.au/pdf/GLN/02720109.pdf).

Pond 2 filling has commenced

Galan and its lithium chloride strategy

The HMW Project is a tier one project that will produce a premium high grade lithium chloride (LiCl) concentrate of 6% Li, comparable to 13% Li2O or 32% Lithium Carbonate Equivalent (LCE) in H1 2025.

This LiCl product results in 85 times the concentration of contained Lithium compared to raw brines sourced from the Hombre Muerto Salar. Galan’s 6% LiCl concentrate contains more than twice the Li content of Spodumene concentrates exported from Australia.

Galan is confident on the viability of its LiCl production strategy. There is an established market precedent for the sale of liquid LiCl concentrate in the industry, including over 10 years of exports to China by SQM in Chile. Domestically, the potential addition of the premium HMW high grade, low impurity LiCl product is likely to improve the performance of any lithium carbonate plant in northern Argentina. It is expected that there will be up to 10 downstream processing plants operating in Argentina within the next 5 years.


Click here for the full ASX Release

This article includes content from Galan Lithium, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.

GLN:AU
Galan Lithium

Galan Lithium Investor Kit

  • Corporate info
  • Insights
  • Growth strategies
  • Upcoming projects

GET YOUR FREE INVESTOR KIT

The Conversation (0)
Galan Lithium

Galan Lithium


Keep reading...Show less
Pursuit Minerals

$2.5 Million Capital Raise for Continued Development of Rio Grande Sur

Pursuit Minerals Ltd (ASX: PUR) (“PUR”, “Pursuit” or the “Company”) is pleased to announce that that it has received firm commitments from sophisticated and professional investors and Directors to subscribe for a placement of approximately 714 million fully paid ordinary shares (“Shares”) in the Company at an issue price of AU$0.0035 per Share to raise gross proceeds of AU$2.5 million (“Placement”). Each placement participant will also be issued one attaching option for every two Shares subscribed for in the Placement (exercise price $0.007; expiry date 3 years from their date of issue) (“New Options”).

Keep reading...Show less
Reach Resources

17.65% Niobium & Exceptional REE Results from In-Situ Source at Wabli Creek Project

Reach Resources Limited (ASX: RR1 & RR1O) (“Reach” or “the Company”) is pleased to advise that assay results from the latest field program at Wabli Creek have identified a primary source of high grade Nb/REE mineralisation previously only found in surface eluvial samples on site (Figure 2).

Keep reading...Show less
European Lithium Limited

Critical Metals Corp. to Acquire Tanbreez, One of the World’s Largest1 Known Rare Earths Assets

European Lithium Limited (ASX: EUR, FRA:PF8, OTC: EULIF) (European Lithium or the Company) is pleased to announce that Critical Metals Corp. (Nasdaq: CRML) (Critical Metals Corp), a mining development company focused on critical metals and minerals, and producing strategic products essential to electrification and next generation technologies for Europe and its western world partners, today announced that it has signed a binding heads of agreement to acquire a 92.5% controlling interest in the Tanbreez Greenland Rare Earth Mine (the Tanbreez Project) from Rimbal Pty Ltd., a company controlled by geologist Gregory Barnes (Rimbal). European Lithium will retain its 7.5% ownership in the Tanbreez Project.

Keep reading...Show less
Electric vehicle charging.

Volvo's Battery Passport Seeks to Improve EV Supply Chain Accountability

Volvo (STO:VOLV-B) has introduced a new supply chain tracker for its line of EX90 electric SUVs

The Wall Street Journal reported on June 4 that the tracker will provide transparency about the origins of raw materials — such as lithium, cobalt and nickel — used in the Swedish carmaker's electric vehicle (EV) batteries.

Known as a "battery passport," the tracker is a digital record that contains verified information on the raw materials' origins, weight, size and chain of custody, as well as the recycled content within each battery.

Keep reading...Show less
Lithium-ion battery.

5 Top Weekly TSXV Stocks: European Energy Metals Powers to 71 Percent Gain

The S&P/TSX Venture Composite Index (INDEXTSI:JX) declined 23.41 points last week to close at 588.25.

Gold was under pressure following reports on Friday (June 7) that the People’s Bank of China paused purchases of gold in May, ending an 18 month spree. Central bank buying has provided critical support for gold in 2023 and 2024.

In the first quarter of the year, China added 189 metric tons (MT) of the yellow metal to its reserves, but as gold sector expert Jan Nieuwenhuijs notes in a May 22 article, much of the Asian nation's buying has gone unreported.

Keep reading...Show less
Galan Lithium

Galan Lithium Investor Kit

  • Corporate info
  • Insights
  • Growth strategies
  • Upcoming projects

GET YOUR FREE INVESTOR KIT

Latest Press Releases

Related News

×