Piedmont Strengthens US-Based Board

NEW YORK, July 31, 2018 (GLOBE NEWSWIRE) — Piedmont Lithium Limited (“Piedmont” or “Company”) is pleased to announce the appointment of Jeff Armstrong to the Board of Directors as an Independent Non-Executive Director, effective from today. Following Mr. Armstrong’s appointment, Mark Pearce will step down from his Non-Executive Director position, also effective today.  

Mr. Armstrong resides in Charlotte, North Carolina where he is actively engaged in the community and has extensive relationships with major corporations and entrepreneurs alike.  He serves as CEO and Managing Partner of North Inlet Advisors, LLC, a firm providing strategic and financial advice to companies on capital formation, mergers, acquisitions, divestitures, restructurings, and other corporate transactions. 

Mr. Armstrong was previously a senior leader in what is now Wells Fargo’s Investment Bank for nearly a decade, where his leadership roles included the Head of Corporate Finance, Mergers and Acquisitions, Private Equity Coverage and Leveraged Capital groups. Mr. Armstrong also worked as an investment banker for Citigroup from 1994 to 1999, and for Morgan Stanley from 1987 to 1994.

Mr. Armstrong graduated from the University of Virginia with a B.S. in finance and marketing from the McIntire School of Commerce and an MBA from the Darden School of Business.

Keith D. Phillips, President and Chief Executive Officer, said: “Jeff is an outstanding addition to our Board and will add valuable experience and extend our relationships in North Carolina. We are pleased to have another U.S.-based independent director, and I look forward to working closely with him. In addition, on behalf of the Board, I would like to thank Mark for his substantial contribution in progressing Piedmont into a dual-listed U.S. lithium development company with plans to provide a new U.S. domestic source of lithium to supply the increasing electric vehicle and battery storage markets.”

For further information, contact:

     
Keith D. Phillips   Anastasios (Taso) Arima
President & CEO   Executive Director
T: +1 973 809 0505   T: +1 347 899 1522
E: kphillips@piedmontlithium.com   E: tarima@piedmontlithium.com
     

About Piedmont Lithium

Piedmont Lithium Limited (ASX: PLL; OTC-Nasdaq Intl: PLLLY) holds a 100% interest in the Piedmont Lithium Project (“Project”) located within the world-class Carolina Tin-Spodumene Belt (“TSB”) and along trend to the Hallman Beam and Kings Mountain mines, historically providing most of the western world’s lithium between the 1950s and the 1990s. The TSB has been described as one of the largest lithium provinces in the world and is located approximately 25 miles west of Charlotte, North Carolina. It is a premier location to be developing and integrated lithium business based on its favourable geology, proven metallurgy and easy access to infrastructure, power, R&D centres for lithium and battery storage, major high-tech population centres and downstream lithium processing facilities.

The Project was originally explored by Lithium Corporation of America which eventually was acquired by FMC Corporation (“FMC”). FMC and Albemarle Corporation (“Albemarle”) both historically mined the lithium bearing spodumene pegmatites within the TSB and developed and continue to operate the two world-class lithium processing facilities in the region which were the first modern spodumene processing facilities in the western world. The Company is in a unique position to leverage its position as a first mover in restarting exploration in this historic lithium producing region with the aim of developing a strategic, U.S. domestic source of lithium to supply the increasing electric vehicle and battery storage markets.

Piedmont, through its 100% owned U.S. subsidiary, Piedmont Lithium Inc., has entered into exclusive option agreements and land acquisition agreements with local landowners, which upon exercise, allow the Company to purchase (or in some cases long-term lease) approximately 1,199 acres of surface property and the associated mineral rights.

Scoping Study Delivers Outstanding Results

NEW YORK, July 18, 2018 (GLOBE NEWSWIRE) — Piedmont Lithium Limited (“Piedmont” or “Company”) (ASX:PLL) (NASDAQ:PLLL) is pleased to report the results of the Company’s Scoping Study for its vertically-integrated Piedmont Lithium Project (“Project”) located within the Carolina Tin-Spodumene Belt in North Carolina, USA (“TSB”).  The Project includes a lithium hydroxide chemical plant (“Chemical Plant”) supplied with spodumene concentrate from an open pit mine and concentrator (“Mine/Concentrator”).

Scoping Study Results
Infographic 1
Scoping Study Results
Infographic 2
Lithium hydroxide 2018 cost curve
Figure 1 – Lithium hydroxide 2018 cost curve (Source – Roskill)
Free Cash Flow on LiOH Production (US$/t LiOH)
Figure 2 – After tax free cash flow on lithium hydroxide sales during life-of-mine operations

The Project has compelling projected economics due to low initial capital, early spodumene concentrate sales, attractive capital and operating costs, short transportation distances, minimal royalties and low corporate income taxes.  The Project meets an important strategic need for domestic US lithium production and will confer substantial economic benefits on the local region.

EXECUTIVE SUMMARY

Piedmont is pleased to report the results of the Scoping Study for its vertically integrated lithium hydroxide chemical project located in the Carolina Tin-Spodumene Belt in North Carolina, USA.  The Scoping Study includes a 22,700 tonne per year Chemical Plant supported by a Mine/Concentrator producing 170,000 tonnes per year of 6% Li2O low-iron spodumene concentrate.

A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/9609f3b0-a695-4403-85bd-1cf8e3ab24e7

  • Integrated project to produce 22,700 tonnes per year of lithium hydroxide
  • Initial 13-year mine life with 2 years of concentrate sales and 11 years of integrated operation
  • Staged development to minimise up-front capital requirements and equity dilution
    • Stage 1 initial capex of US$91mm for the Mine/Concentrator (excluding contingency)
    • Stage 2 capex for Chemical Plant funded largely by internal cash flow
  • Estimated 1st quartile lithium hydroxide operating costs of US$3,960/t
  • Conventional technology selection in all project aspects
  • Steady state EBITDA of US$220mm annually with steady-state after-tax cash flow of US$170-180mm
  • Estimated after-tax IRR of 56% and NPV8% of US$777mm, with ~2-year payback
  • Upside opportunities include project life extension and by-product monetisation

The Scoping Study contemplates a staged development approach to minimise start-up risk and up-front capital requirements, with revenue from open-market spodumene concentrate sales in the Project’s initial years helping defray capital requirements for the Chemical Plant.

The Scoping Study demonstrates the compelling economics of the prospective integrated Project, highlighted by low operating costs, high after-tax margins and strong free cash flow.

A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/b6ae2f60-3df5-4a34-9cff-dcf36e7a3ea0

First-Quartile Operating Costs

The integrated Piedmont project is projected to have an average life of project cash operating cost of approximately US$3,960 per tonne, positioning Piedmont as the industry’s lowest-cost producer as reflected in the 2018 lithium hydroxide cost curve provided by Roskill in Figure 1.

A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/58ef51fd-b275-448f-8473-e2371c46c912

Attractive After-Tax Margins and Free Cash Flow

Low operating costs, low royalties, and low corporate tax rates potentially allow Piedmont to achieve after-tax margins approaching US$8,900 per tonne, or approximately 64%.  The Project generates an estimated US$8,650 per tonne of free cash flow during life-of-mine operations after construction of the Chemical Plant.

A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/0b4cb6fd-7c83-4b56-8c1c-5ed33f98b2ff

Staged Development Approach Minimises Equity Dilution

The Scoping Study contemplates a staged development approach to minimise start-up risk and up-front capital requirements, with revenue from open-market sales of spodumene concentrate in the Project’s initial years helping defray capital requirements for the Chemical Plant. After-tax free cash flow of approximately US$128 million is expected to be generated prior to the construction of the Chemical Plant, and an additional US$108 million of operating cash flow from concentrate sales is expected to be generated during the Chemical Plant’s ramp-up.

The establishment of positive cash flow from spodumene concentrate sales will position Piedmont to attract financing on terms not available to greenfield developments, including access to the US corporate bond market.  This is expected to lead to lower costs of capital when financing the Chemical Plant, and to allow Piedmont to minimise equity dilution to the Company’s shareholders.

Conclusions and Next Steps

The Scoping Study demonstrates the integrated Project’s strong commercial potential, centred on very low operating and capital costs, and the staged development puts Piedmont in a strong position to engage in discussions around future financing of the Project, including with prospective strategic and off-take partners.

Piedmont will now move forward with a Pre-Feasibility Study (“PFS”) targeted for completion early in 2019.  The Company will undertake the following work in developing the PFS:

  • A previously announced By-product Study to examine the potential to enhance Project economics through the recovery and monetisation of by-product quartz, feldspar and mica
  • Additional drilling on the Core property to potentially extend mine and project life by converting the previously announced current Exploration Target into a Mineral Resource
  • Metallurgical studies including the evaluation of the potential for a Dense Medium Separation (“DMS”) before the flotation circuit to further enhance operating costs in the Concentrator
  • Continued expansion of the Company’s land position in the TSB with a focus on areas of high mineral prospectivity

Keith D. Phillips, President and Chief Executive Officer, said, “We are very pleased with the results of the Scoping Study. The economic benefit of developing an integrated lithium chemical business in North Carolina, USA is now clear, driven by the exceptional infrastructure and human resource advantages of our location, as well as the competitive royalty and tax regime offered in the United States. We look forward to an exciting period ahead as we work to enhance the Project even further through continued growth in our resource base and project life, and the evaluation of potential by-product credits”.

Click here to view the full ASX announcement

For further information, contact:

Keith D. Phillips
President & CEO
+1 973 809 0505
kphillips@piedmontlithium.com

Anastasios (Taso) Arima
Executive Director
+1 347 899 1522
tarima@piedmontlithium.com

About Piedmont Lithium
Piedmont Lithium Limited (ASX:PLL) (OTC-Nasdaq Intl:PLLLY) holds a 100% interest in the Piedmont Lithium Project (“Project”) located within the world-class Carolina Tin-Spodumene Belt (“TSB”) and along trend to the Hallman Beam and Kings Mountain mines, historically providing most of the western world’s lithium between the 1950s and the 1990s. The TSB has been described as one of the largest lithium provinces in the world and is located approximately 25 miles west of Charlotte, North Carolina. It is a premier location to be developing and integrated lithium business based on its favourable geology, proven metallurgy and easy access to infrastructure, power, R&D centres for lithium and battery storage, major high-tech population centres and downstream lithium processing facilities.

The Project was originally explored by Lithium Corporation of America which eventually was acquired by FMC Corporation (“FMC”). FMC and Albemarle Corporation (“Albemarle”) both historically mined the lithium bearing spodumene pegmatites within the TSB and developed and continue to operate the two world-class lithium processing facilities in the region which were the first modern spodumene processing facilities in the western world. The Company is in a unique position to leverage its position as a first mover in restarting exploration in this historic lithium producing region with the aim of developing a strategic, U.S. domestic source of lithium to supply the increasing electric vehicle and battery storage markets.

Piedmont, through its 100% owned U.S. subsidiary, Piedmont Lithium Inc., has entered into exclusive option agreements and land acquisition agreements with local landowners, which upon exercise, allow the Company to purchase (or in some cases long-term lease) approximately 1,199 acres of surface property and the associated mineral rights.

Piedmont Completes Bench-Scale Testwork Program To Produce Spodumene Concentrate

  • Optimized flotation and magnetic separation results achieved consistent high-grade spodumene concentrates (Li2O>6.0%) with low iron content (Fe2O3<1%)
     
  • Heavy Liquid Separation results offer opportunity for a potential Dense Medium Separation circuit prior to flotation
     
  • Ore sorting and initial pilot scale testwork scheduled for Q3 2018

NEW YORK, July 17, 2018 (GLOBE NEWSWIRE) — Piedmont Lithium Limited (“Piedmont” or “Company”) (ASX:PLL) (NASDAQ:PLLL) is pleased to report that the Company has completed a bench-scale metallurgical testwork program to produce spodumene concentrate from ore samples from the Company’s proposed vertically-integrated Piedmont Lithium Project located in North Carolina, USA.

Piedmont has partnered with North Carolina State University’s Minerals Research Laboratory (MRL) to complete bench-scale testwork including spodumene flotation optimization, magnetic separation to remove iron from spodumene concentrate and Heavy Liquid Separation (HLS) to evaluate the potential for a Dense Medium Separation (DMS) circuit.

The completed testwork program confirms the interim flotation and magnetic separation results which the Company published in April 2018 with additional testwork on four composited samples collected from multiple exploration corridors within the Project’s core property.

Click here to view the full ASX announcement

For further information, contact:

Keith D. Phillips
President & CEO
+1 973 809 0505
kphillips@piedmontlithium.com

Anastasios (Taso) Arima
Executive Director
+1 347 899 1522
tarima@piedmontlithium.com

About Piedmont Lithium
Piedmont Lithium Limited (ASX:PLL) (OTC-Nasdaq Intl:PLLLY) holds a 100% interest in the Piedmont Lithium Project (“Project”) located within the world-class Carolina Tin-Spodumene Belt (“TSB”) and along trend to the Hallman Beam and Kings Mountain mines, historically providing most of the western world’s lithium between the 1950s and the 1990s. The TSB has been described as one of the largest lithium provinces in the world and is located approximately 25 miles west of Charlotte, North Carolina. It is a premier location to be developing and integrated lithium business based on its favourable geology, proven metallurgy and easy access to infrastructure, power, R&D centres for lithium and battery storage, major high-tech population centres and downstream lithium processing facilities.

The Project was originally explored by Lithium Corporation of America which eventually was acquired by FMC Corporation (“FMC”). FMC and Albemarle Corporation (“Albemarle”) both historically mined the lithium bearing spodumene pegmatites within the TSB and developed and continue to operate the two world-class lithium processing facilities in the region which were the first modern spodumene processing facilities in the western world. The Company is in a unique position to leverage its position as a first mover in restarting exploration in this historic lithium producing region with the aim of developing a strategic, U.S. domestic source of lithium to supply the increasing electric vehicle and battery storage markets.

Piedmont, through its 100% owned U.S. subsidiary, Piedmont Lithium Inc., has entered into exclusive option agreements and land acquisition agreements with local landowners, which upon exercise, allow the Company to purchase (or in some cases long-term lease) approximately 1,199 acres of surface property and the associated mineral rights.

Piedmont Secures Site For Lithium Chemical Plant

NEW YORK, July 5, 2018 /PRNewswire/ —

  • Acquisition of Heavy-Industrial zoned property in Kings Mountain, North Carolina
  • Short truck haul from proposed mine and concentrator sites
  • Immediate access to major rail, power, gas, and highway infrastructure
  • Permitting activity for lithium chemical plant expected to commence in Q3 2018
  • Site acquisition advances vertically-integrated lithium chemicals production strategy
  • Lithium chemical plant will focus on production of battery-grade quality lithium hydroxide

Piedmont Lithium Limited (“Piedmont” or “Company”) (ASX:PLL; NASDAQ: PLLL) is pleased to advise that the Company has acquired a 60.6-acre parcel in Kings Mountain, North Carolina as a potential site for its planned lithium chemical plant.  This acquisition represents an important step in the development of the vertically-integrated Piedmont Lithium Project located in North Carolina, USA.

Figure 1:  Vertically-Integrated Piedmont Lithium Project Sites

The lithium chemical plant site is approximately a 20-mile truck haul from the Company’s proposed spodumene mine and concentrator, minimizing the freight cost for concentrate delivery to the proposed facility.  Zoned heavy-industrial, the plant site has direct access to a Norfolk Southern rail line, Interstate I-85 and US Highway 29.  The site also has natural gas and power transmission immediately adjacent to the property.

Figure 2:  Piedmont Proposed Lithium Chemical Plant Conveniently Located to Major Infrastructure

The site will be included in the Company’s scoping study which is on track for completion in Q3 2018.  The planned lithium chemical plant will convert Piedmont Lithium-produced spodumene concentrate to lithium chemicals, with a focus on battery grade lithium hydroxide.  Lithium hydroxide commands a pricing premium relative to lithium carbonate, and recent studies have reported that lithium hydroxide produced from spodumene has a production cost advantage relative to production from brines.  Piedmont Lithium will commence permitting of the lithium chemical plant upon completion of the Scoping Study.

Keith D. Phillips, President and Chief Executive Officer, said, “We are very pleased to have identified such an attractive site for our downstream operations.  The site is a short drive from our core mining and concentration properties, it is the proper scale for our contemplated lithium chemical production operations, and it offers all the infrastructure one would seek for such a facility. Piedmont is focused on building an integrated lithium chemical operation in North Carolina, and this site will be an integral part of our plans.”

For further information, contact:

Keith D. Phillips

Anastasios (Taso) Arima

President & CEO

Executive Director

T: +1 973 809 0505

T: +1 347 899 1522

E: kphillips@piedmontlithium.com

E: tarima@piedmontlithium.com

 

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SOURCE Piedmont Lithium Limited

Piedmont Commences By-product Study

NEW YORK, July 1, 2018 /PRNewswire/ —

  • By-products may include quartz, feldspar and mica
  • Mineral Resource Estimates for by-products expected H2 2018
  • Bench scale metallurgical testwork complete with assays pending
  • Historic local spodumene mines had significant by-product revenue
  • Confidential discussions held with potential by-product off-take partners

Piedmont Lithium Limited (“Piedmont” or “Company”) (ASX: PLL; NASDAQ: PLLL) is pleased to advise that the Company has commenced a By-product Study for the Piedmont Lithium Project, located in the historic Carolina Tin-Spodumene Belt in North Carolina, United States.

Piedmont has retained CSA Global to complete Mineral Resource Estimates for potential quartz, feldspar and mica concentrate by-products.  CSA Global will use the same geologic model that was used for the recently completed maiden Mineral Resource Estimate for the Piedmont Lithium Project as the basis for further study.

North Carolina State University’s Minerals Research Lab has completed bench scale flotation tests and iron removal for quartz, feldspar and mica concentrates.  Assays are pending for these bench-scale tests.  Data and samples from these bench scale test results will be provided to potential off-take partners to evaluate their commercial potential.

Piedmont plans to include revenue potential from by-products in an update to our initial Scoping Study, which is expected to be released in late-July.  The update should be available in late-2018 following the definition of Mineral Resource Estimates for each by-product and will reflect feedback from potential by-product customers.

Keith D. Phillips, President and Chief Executive Officer, said, “While many spodumene pegmatites include quartz, feldspar and mica mineralization, most are located too remotely to economically serve the important markets for these products.  Given our location in the industrial heartland of the USA, there is potential to deliver into the large, glass, ceramic, building products and technology businesses that are based in our region and have great need for these minerals.  The historic Hallman-Beam mine derived substantial revenue from by-products, and if we are able to do the same it will have a positive impact on our production costs.”

For further information, contact: 

Keith D. Phillips                            

Anastasios (Taso) Arima 

President & CEO                             

Executive Director   

T: +1 973 809 0505                          

T: +1 347 899 1522  

E: kphillips@piedmontlithium.com    

E: tarima@piedmontlithium.com 

 

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SOURCE Piedmont Lithium Limited