Jindalee Lithium

McDermitt PFS Demonstrates Multi-Decade Competitive Source of US Lithium Carbonate

Jindalee Lithium Limited (Jindalee, the Company; ASX: JLL, OCTQX: JNDAF) is pleased to advise that its recently completed Pre-Feasibility Study (PFS), on the Company’s 100% owned McDermitt Lithium Project (currently the largest lithium Resource in the USA) (McDermitt or the Project), has demonstrated strong economic returns over an initial project life in excess of 40 yearsi


Highlights include:

  • Lithium Carbonate Production: Forecast production of 1.8 million tonnes battery grade Lithium Carbonate over first 40 yearsi, supporting the growing US battery supply chain
  • Average Annual Lithium Carbonate Production:
    • 47.5ktpa in the first 10 yearsi of operation (C1 unit cost US$8,080/t of lithium carbonate)ii
    • 44.3ktpa in the first 40 yearsi of operation (C1 unit cost US$8,670/t of lithium carbonate)ii
  • Strong Financial Metrics (first 40 yearsiii): Ungeared, using flat US$24,000/t lithium carbonate priceiv
    • Post-tax NPV8 of US$3,229Mv
    • Post-tax IRR of 17.9%
    • Payback period under 5 yearsvi
    • NPV break even pricevii of ~US$14,600/t of lithium carbonate

Note: PFS price assumption for lithium carbonate is based on long term incentive priceiv which exceeds current Chinese spot pricexiii

  • Generational Project with Life in Excess of 40 years: The PFS processing schedule (Processing Schedule) supports a 63 year production life, however the production target and forecast financial information excludes any production post 40 yearsi
  • Processing Studies and Capital Estimate prepared by Fluor Corporation (Fluor)viii: US$3.02B capital estimate, including 21%ix contingency, prepared by Fluor - a leading US and global engineering and construction company with deep experience in US sedimentary lithium projects
  • EBITDAx Marginxi: 66% over the first 10 yearsi of operations, with C1 costs in the bottom half of industryxii and 17% pre-tax net operating cashflow margins (including sustaining capital) at current spot pricesxiii
  • Maiden Probable Ore Reserve (JORC 2012) of 251Mt @ 1,751ppm lithium, containing 2.34Mt of Lithium Carbonate Equivalent (LCE)xiv, accounts for 79%xv of forecast production in the PFS Processing Schedule but represents only ~10% of current Mineral Resource on a contained LCE basis, highlighting future optionality
  • Cost Reduction and Sustainability: Opportunities for cost reduction and enhanced sustainability outcomes through the recently announced strategic agreement with the US Department of Energyxvi
  • Potential Partnerships: PFS completion allows for deeper engagement with a broader pool of potential strategic funding partners as well as the US Government agencies, which continue to actively support domestic US critical minerals production

Jindalee’s CEO Ian Rodger Commented:

The completion of this PFS is a pivotal milestone for Jindalee and our wholly owned McDermitt Lithium Project, underscoring McDermitt’s strategic potential as a large-scale, long-life competitive source of “American-made” lithium chemicals for the US battery supply chain.

Among the study's key achievements is the successful bench-scale test work, which validated our flowsheet and confirmed the production of battery-grade lithium carbonate with high recovery rates. While the PFS demonstrates McDermitt’s compelling value, we remain committed to further enhancing cost efficiency and sustainability as we responsibly advance the Project, delivering value for all stakeholders.

We are excited by the recent finalisation of Section 45X tax credit regulations under the Inflation Reduction Act, which represents a significant shift in support for domestic lithium projects. By expanding eligible costs specifically for integrated mining and refining operations—those producing a finished critical mineral product like lithium carbonate—the policy now more effectively targets projects like McDermitt, which is designed to produce battery-grade lithium chemicals domestically. This alignment with US energy security goals reflects a commitment to reducing dependency on foreign suppliers by incentivising long-life, fully integrated supply chain solutions within the US.

The completion of the PFS delivers, for the first time, the production metrics and cost estimates needed to engage meaningfully with potential strategic partners, accelerating discussions with a solid technical and financial foundation. It also provides a catalyst for re-engaging with US government agencies on potential future funding, building on our current Department of Defense grant application, which could co-fund the next phase of development.

Jindalee has an exciting 12 months ahead as we advance our Exploration Plan of Operations, targeted for mid- CY2025. This will enable a significant infill drilling campaign to inform a future feasibility study and associated test work. With a robust PFS and encouraging early interest from prospective partners, we look forward to building on this momentum as we evaluate the next steps for McDermitt.

I extend my sincere thanks to the Jindalee team and our consulting partners, Fluor Corporation and Cube Consulting, whose expertise was instrumental in delivering the PFS.”


Click here for the full ASX Release

This article includes content from Jindalee Lithium Limited, 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.

JLL:AU
Jindalee Lithium

Jindalee Lithium Investor Kit

  • Corporate info
  • Insights
  • Growth strategies
  • Upcoming projects

GET YOUR FREE INVESTOR KIT

The Conversation (0)
Jindalee Lithium

Jindalee Lithium


Keep reading...Show less

Game-changing, economically significant lithium resource for North American battery supply chain

McDermitt Project Fast-Tracked Under U.S. FAST-41 Initiative

McDermitt Project Fast-Tracked Under U.S. FAST-41 Initiative

Jindalee Lithium (JLL:AU) has announced McDermitt Project Fast-Tracked Under U.S. FAST-41 Initiative

Download the PDF here.

Rio Tinto logo on a dark screen with stock chart background.

Rio Tinto Partners with Codelco to Develop Lithium Project in Chile

Rio Tinto (ASX:RIO,NYSE:RIO,LSE:RIO)said on Monday (May 19) that it has signed binding agreements with Corporación Nacional Del Cobre de Chile (Codelco) to develop and operate a high-grade lithium project.

The asset is located in the Salar de Maricunga, a large lithium-containing resource base in Atacama, Chile. Its brine is said to have one of the highest average grades of lithium content in the world.

According to Rio Tinto, it will acquire a 49.99 percent interest in the company Salar de Maricunga, through which Codelco holds its licenses and mining concessions related to the resource base.

Keep reading...Show less
Lithium periodic symbol highlighted on periodic table.

European Metals Receives US$36 Million Grant for Cinovec Lithium-Tin Project

European Metals Holdings (ASX:EMH,LSE:EMH,OTCQX:EMHXY) confirmed the approval of a US$36 million Just Transition Fund (JTF) grant for its Cinovec lithium-tin project on Monday (April 28).

The JTF is run by the European Commission, supporting projects that align with the economic diversification and reconversion of concerned territories such as Bulgaria, the Czech Republic and Hungary.

JTF states on its website that the number of supported projects varies annually, depending on the proposals. The grant also forms part of the European Union’s efforts to transition to clean energy and achieve climate goals.

Cinovec was chosen as it was designated as a strategic project under the Critical Raw Minerals Act in March, underlining its importance in Europe’s journey toward securing stable supply of critical raw minerals. It was also declared a strategic deposit by the Czech government, a designation that accelerates certain permitting processes.

"The grant funding will be utilised to fast track a number of critical path items with regards to the Cinovec Project,” commented European Metals Executive Chair Keith Coughlan in a press release. “This confirmation builds on recent project momentum and is another clear indicator of the support the European Union and the Czech government is willing to provide to assist in getting Cinovec into production in the timeliest manner possible."

Keep reading...Show less
Atlantic Lithium (ASX:A11)

Atlantic Lithium


Keep reading...Show less
Lithium metal chunks and a label on a gray surface.

Atlantic Appeals for Fiscal Re-evaluation for Ewoyaa Lithium Project

Atlantic Lithium (ASX:A11,LSE:AAL,OTCQX:ALLIF) is appealing to the Ghanaian government to re-evaluate fiscal terms regarding its flagship Ewoyaa lithium project, which is located in the country.

The company’s board of directors acknowledged media reports on the situation in a press release late last week, saying it wants to ensure the successful development of the asset.

Atlantic notes that lithium prices have significantly declined since the mining lease for Ewoyaa was granted in October 2023, and is urging officials to adjust fiscal terms based on current price levels. Lithium prices remained low in 2024, and the downtrend has continued in 2025, with some price segments falling to four year lows.

Adam Webb, head of battery raw materials at Benchmark Mineral Intelligence, said at the Benchmark Summit in March that lithium carbonate prices are expected to remain about where they are, at US$10,400 per metric ton.

“But if we look further ahead, from 2026 onwards, that market is switching into the deficit, albeit quite small to start with, and that will end up being supportive of prices,” he explained at the Toronto-based event.

Australian spot spodumene concentrate prices have also declined.

Starting the year at the US$990 per metric ton level, values contracted through the first quarter of 2025 and are now sitting at the US$765 level, a 23.5 percent drop from January 2024's price of US$1,000.

Keep reading...Show less
European Metals

USD 36 Million Just Transition Fund Grant Approved for Cinovec Project

European Metals Holdings Limited (ASX & AIM: EMH, OTCQX: EMHXY, ERPNF and EMHLF) (“European Metals” or the “Company”) is pleased to announce the following update in relation to grant funding by the European Union for the Cinovec Project (“Cinovec” or “the Project”).

Keep reading...Show less
Lithium periodic symbol and electric vehicle.

7 Biggest Lithium-mining Companies in 2025

For a long time, most of the world's lithium was produced by an oligopoly of US-listed producers. However, the sector has transformed significantly in recent years.

Interested investors should cast a wider net to look at global companies — in particular those listed in Australia and China, as companies in both countries have become major players in the industry.

While Australia has long been a top-producing country when it comes to lithium, China has risen quickly to become not only the top lithium processor and refiner, but also a major miner of the commodity. In fact, China was the third largest lithium-producing country in 2024 in terms of mine production, behind Australia and Chile.

Chinese companies are mining in other countries as well, including top producer Australia, where a few are part of major lithium joint ventures. For example, Australia’s largest lithium mine, Greenbushes, is owned and operated by Talison Lithium, which is 51 percent controlled by Tianqi Lithium Energy Australia, a joint venture between China’s Tianqi Lithium (SZSE:002466,HKEX:9696) and Australia’s IGO (ASX:IGO,OTC Pink:IPDGF). The remaining 49 percent stake in Talison is owned by Albemarle (NYSE:ALB). Joint ventures can offer investors different ways to get exposure to mines and jurisdictions.

Keep reading...Show less
Jindalee Lithium

Jindalee Lithium Investor Kit

  • Corporate info
  • Insights
  • Growth strategies
  • Upcoming projects

GET YOUR FREE INVESTOR KIT

Latest Press Releases

Related News

×