Goulamina produces first direct shipped ore

Leo Lithium reported that the first blast on site was initiated earlier this month, with initial DSO mining activities focusing on the Stage 1 starter pit – which contains 1.65 megatons (Mt) of undiluted fresh ore of measured resource category at an average grade of 1.68 per cent of lithium oxide and 0.73 per cent of ferric oxide.

The Stage 1 starter pit centred on the main pegmatite domain, which formed part of the recently upgraded Goulamina mineral resource.

Goulamina’s early works and DSO crushing contractor, Corica Mining Services, is ramping up its activities as the starter pit for the DSO operation has been prepared with the first bench completed, and the crusher and associated equipment performs to a high standard.

Additionally, Leo Lithium is set to award contracts for the DSO haulage imminently, with a robust due diligence process being finalised following the issuance of the trucking tenders in April.

The DSO haulage process will give Leo Lithium the insights to define the optimal materials handling solution ahead of spodumene concentrate production, which is on schedule to commence in the first half of 2024.

Early revenue from DSO remains on track for the fourth quarter of 2023, targeting the export of 185 kilotons prior to first spodumene concentrate production in the first half of 2024.

Leo Lithium managing director Simon Hay reacted to the news.

“The early start-up of the open-pit mining operations at Goulamina via DSO is a positive milestone that positions the company to crystalise long-term benefits,” Hay said.

“The revenue potential during a solid pricing environment will bolster our balance sheet flexibility, as we continue to progress the Goulamina Project towards spodumene concentrate production over two stages.

“DSO also presents an opportunity for us to optimise our logistics solution as we scale up Goulamina, further de-risking the Project’s development.”