Proactiveinvestors USA & Canada Neo Lithium Corp Proactiveinvestors USA & Canada Neo Lithium Corp RSS feed en Wed, 20 Feb 2019 06:08:22 -0500 Genera CMS (Proactiveinvestors) (Proactiveinvestors) <![CDATA[News - Neo Lithium announces arrival of pilot plant at 3Q project in Argentina and wins approval of environmental license ]]> Neo Lithium Corp (CVE:NLC) (OTCQX:NTTHF) said Thursday that its lithium carbonate pilot plant has arrived in Argentina from Chile and will be operational in late February at its flagship Tres Quebradas (3Q) lithium brine project in Catamarca Province, Argentina.

The plant, which was built at the Instituto de Investigaciones Tecnologicas at the Universidad de Concepcion in Chile, is now being reassembled by Neo Lithium’s team of engineers.

READ: Neo Lithium eyeing operations at new pilot plant; starts drilling in high-grade zone at 3Q property

The plant is going to start using brine from the 3Q project, concentrated approximately to 4% lithium from pilot evaporation ponds, to kick off pilot scale production of lithium carbonate at the plant.

As it stands, the projected yearly capacity of the pilot ponds is over 500 tonnes of about 4% lithium brine per year. The plant, meanwhile, has a capacity of 50 tonnes of lithium carbonate per year.

In other news, Neo Lithium has also received approval and renewal from the environmental authorities in the Argentine province of Catamarca for the 3Q project's exploration and development program.

This renewal will allow for further drilling and production and monitoring wells as well as the expansion and fine tuning of the pond system in the 3Q project. Neo Lithium is also planning to build more warehouses and infrastructure at the camp, pilot ponds and the plant.

Environmental regulation in Argentina requires that environmental licenses are updated and renewed every two years. This process continues over the life of the project and allows neo Lithium to keep regulators updated on any changes from the original program planned for the next two years.

READ: Neo Lithium Corp is making rapid progress at the 3Q lithium project in Argentina

“We continue to de-risk our operations and show strong commitment to develop the 3Q project,” said Waldo Perez, CEO of Neo Lithium. “We are fortunate to work with the Province of Catamarca and its very professional process, which is based on their strict regulatory system and decades of experience with large-scale mines.”

The company’s environmental impact assessment report to build the mine is set to be presented to the Argentine authorities soon. This is the final environmental approval required for a potential construction of a commercial-scale mine.

Neo Lithium’s 3Q project is located in the Argentine province of Catamarca, the largest lithium-producing area in Argentina.

NeoLithium shares slipped 4.84% to hit C$0.59 on Wednesday.

Contact Ellen Kelleher at

Thu, 14 Feb 2019 09:14:00 -0500
<![CDATA[News - Neo Lithium Corp is making rapid progress at the 3Q lithium project in Argentina ]]> Neo Lithium Corp (CVE:NLC) is a resources company that specialises in addressing the growing demand for lithium generated by the growth in the electric vehicle market and, more generally, new generation batteries.

The company is led by experienced mining professionals from Argentina as well as from the wider international mining community, who have particular expertise in lithium salars.

What does Neo Lithium Corp own?

The principal asset is the Tres Quebradas project, also known as 3Q, which is located at the southern end of what is known as the “lithium triangle”, in Chile. The lithium triangle is one of the world’s most prolific areas for the production of lithium.

Tres Quebradas contains nearly 7mln tonnes of lithium carbonate contained in around 2bn cubic metres of brine.

A preliminary economic assessment completed on the project in 2017 showed it to have a net present value of around US$1.2bn after tax, with the internal rate after tax likely to ring in at over 27%. Initial capex was set at US$490mln.

Inflection points

A pilot plant has recently been shipped to Argentina from Chile, where it was constructed. It’s estimated that it will take around 45 days for the plant to clear customs and then be assembled put into operation.

A 4% concentrate of lithium brine is currently being prepared in Neo Lithium’s evaporation ponds. Once the plant is operational, the processing of these brines will eventually produce lithium carbonate.

Neo Lithium is also in the process of putting together a pre-feasibility study for Tres Quebradas, following the completion of a preliminary economic assessment in 2017. Environmental studies are proceeding in parallel with this work on economics.

In addition, Neo Lithium is getting ready for a substantial drilling campaign at Tres Quebradas.

Chief operating officer pleased with recent progress

“I am pleased with the progress made and our ability to ship and commission the plant during the first quarter which puts us on track with our objectives,” said Gabriel Pindar, chief operating officer of Neo Lithium.

“Management hopes the proposed pre-feasibility study will support that the plant can produce battery-grade lithium at one of the most competitive cash cost of the market.”


Tue, 05 Feb 2019 14:17:00 -0500
<![CDATA[News - Neo Lithium eyeing operations at new pilot plant; starts drilling in high-grade zone at 3Q property ]]> Shares in Neo Lithium Corp (CVE:NLC) advanced Monday as it edges toward an operational pilot plant, now that it has been built in Chile and shipped to  Argentina.

The Toronto-based firm, which is advancing the 3Q project in Argentina, reckons it will take 45 days for the plant to be back up together and operational.

It was tested with artificial brine in Chile and the company now is concentrating around 4% lithium brine in its pilot evaporation ponds to start production of lithium carbonate.

Currently, the annual capacity of the pilot ponds is over 500 tons of approximate 4% lithium brine per year.

"I am pleased with the progress made and our ability to ship and commission the plant during the first quarter which puts us on track with our objectives," said Gabriel Pindar, director and COO (chief operating officer) of Neo Lithium.

"Management hopes the proposed pre-feasibility study will support that the plant can produce battery-grade lithium at one of the most competitive cash cost of the market."

The 3Q property lies in the Province of Catamarca, which is the largest lithium producing area in Argentina.

It covers around 35,000 ha (hectares) and the salar complex within this area is around 160 sq km.

Excitingly, surface exploration has shown a high-grade lithium target in the northern portion extending for around  20 km by 5 km with low magnesium and sulphate impurities.

On Monday, the group also said it had now started drilling the northern high-grade zone at the project, with the first well projected to be 300 m (meters) deep.

This zone contains 746,000 tonnes of lithium carbonate in the measured and indicated resource categories at a grade of 1,007 mg/l (miligram per liter) lithium plus 186,000 tonnes of lithium carbonate in the inferred resource category at a grade of 1,240 mg/L lithium.

This high-grade zone represents only 14% of the current resource, however it has been drilled only to 100 m in depth and contains the highest grade of the entire project.

This current drilling program anticipates the depth to be at least three times' that.

"Testing the deeper portion of the northern high-grade zone proved difficult last season because the sediments consist of coarse gravel and sand," said Dr. Waldo Perez, president and CEO of Neo Lithium Corp Monday.

"For this year's drilling campaign, we are using a new rig with superior capabilities and technology, and we are confident we will test the deeper portion of the basin under the high-grade zone this time."

He added: "Increasing the resource in the high-grade zone would have a significant impact in the pond requirement and therefore may have a positive effect on the capex on the project."

EIA nearly complete

Also today, the firm said the environmental impact assessment report (EIA) was almost complete and will be submitted to the regulatory authorities in February 2019. Work associated with the pre-feasibility study (PFS) is also proceeding as planned.

Neo Lithium said its balance sheet remained strong with no debt and around C$43 million of cash to fund the ongoing work at the 3Q project.

The company continues to be in discussions with several potential strategic partners which are currently being considered.

"Negotiations continue to progress, and the board of directors has resolved to formally extend the process to include the PFS work that is being completed to demonstrate the value of the 3Q project," the company said.

Shares in Toronto rose 9.38% to stand at $0.70

Contact Giles at giles@proactiveinvestors.

Follow him on Twitter @Gile74 

--Updates for share price rise--

Mon, 14 Jan 2019 10:32:00 -0500
<![CDATA[Media files - Neo Lithium Corp targeting Q1 2019 for completed PFS on flagship lithium project ]]> Wed, 28 Nov 2018 22:35:00 -0500 <![CDATA[News - Neo Lithium hires GHD to complete pre-feasibility study at 3Q project in Andes ]]> Neo Lithium Corp (CVE:NLC; OTCMKTS: NTTHF) said Monday it has hired an engineering firm at its 3Q project at the Puna Plateau in the Andes.

The Toronto-based company reported in a press release significant technical progress including advancements in brine processing and engineering as well as a significant increase in the size and grade of the resource estimate of the project.

Head: Neo Lithium has a commanding lithium position at 3Q project 

"As a result of the numerous material advancements at the project, a preliminary feasibility study is now required to provide the market and potential strategic partners a more developed technical analysis and updated economics on the 3Q project," Dr. Waldo Perez, president and CEO of Neo Lithium, said in a statement.

The discovery of a high-grade zone with more than 1,000 milligrams per liter lithium is expected to reduce the size of the ponds required as well as lowering capital expenditures for the project, according to Neo Lithium.

Buffalo-based GHD completed a preliminary economic assessment for the 3Q project, Neo Lithium said in a December 2017 filing.

Shares of Neo Lithium climbed US$0.02 to US$0.75 in Friday’s OTC trading and were unchanged at C$0.98 in Canada.

Contact Dennis Fitzgerald at

Mon, 26 Nov 2018 09:22:00 -0500
<![CDATA[Media files - Neo Lithium Corp more than doubles resource size of lithium project in Argentina ]]> Thu, 22 Nov 2018 14:32:00 -0500 <![CDATA[News - Neo Lithium reaches further milestone with environmental base study as it updated on operations ]]> Neo Lithium Corp (CVE:NLC) has completed the environmental base study (EBS) for its exciting 3Q project in Argentina, which concluded there were no issues to impede its development.

The study was led by GT Ingenieria SA, an independent consultant and started over two years ago.

The hydrogeological model showed that the extraction of brine from the salar will produce minimal impact on the brine level of the salar even under extraction scenarios of 60,000 tonnes of lithium carbonate per year.

The report also found that significant nesting grounds were only found well outside of the proposed mining and operations area of influence.

"We are delighted to have completed this important phase of the project’s environmental evaluation, which together with the previously filed expanded resource estimate, confirms our intention to accelerate the development of 3Q Project," said Waldo Perez, the president and CEO of Neo Lithium.

All the information gathered forms part of the feasibility study for the project which is currently in progress and is also the basis for environmental permit applications.

Updating on operations, the group also said the pilot ponds have been working for more than a year and a half and are now producing high grade concentrated brine of arounmd 4% lithium to feed the pilot plant.

The firm has tripled the evaporation ponds surface this year and will continue building ponds over the next four months to ensure a correct pond infrastructure going forward.

Meanwhile, pilot plant construction is now complete and will start operation and training with Neo Lithium engineers during the fourth quarter and initial sample production is expected to be subsequently transported to Argentina in January 2019.

The plant will have a capacity of 100 tonnes of lithium carbonate per year, however the plant is expected to operate in batches to maximize the process and obtain final data for the feasibility study.

Tue, 16 Oct 2018 16:02:00 -0400
<![CDATA[News - Neo Lithium reaches important milestones at 3Q including first production well ]]> Neo Lithium Corp (CVE:NLC)  has made important milestones at its Tres Quebradas lithium brine project in Argentina, otherwise known as the 3Q project.

Notably, a hydrological numerical model has been completed, which will allow then better understanding of the behavior of the brine aquifer and predict brine levels under production conditions.

"The model is used for environmental impact reports, to complete the mine plan, and to determine the number of wells required for planned production and mine life," said Dr Waldo A. Perez, president and CEO of Neo Lithium Corp.

The firm has also completed the first production well, yielding a notable 90 litres of high grade lithium brine per second from 100 metres depth.

This is equivalent to about 20% of the total production needs planned using the high grade brine (800 mg/L Lithium cut-off.

The production capacity of this first large size production well is remarkable because it suggests that very few production wells would be required, noted Perez.

Neo Lithium has also made significant progress in the environmental permits, including full the environmental baseline study finalized and all documentation to be provided to provincial authorities of Catamarca in September.

The firm also remains well funded with over $49M in cash and the process to secure a strategic partner to take part in financing and development of 3Q continues.

Wed, 05 Sep 2018 16:22:00 -0400
<![CDATA[News - Neo Lithium files updated resource estimate for 3Q project, which underscores its credentials ]]> Neo Lithium (CVE:NLC) has filed its NI 43 101 updated resource estimate for its Tres Quebradas lithium brine project (3Q project) in Argentina, which underlines its status as being one of the largest such discoveries on the planet.

The higher confidence measured and indicated resource estimate came in at 4,005,000 tonnes of lithium carbonate equivalent (LCE) at an average grade of 614 mg/L lithium with a 400 mg/L cut-off.

With a cut off of 800 mg/L the measured and indicated resource estimate stood at 746,000 tonnes of LCE at an average grade of 1,007 mg/L lithium.

Waldo Perez, the president and CEO of Neo Lithium, highlighted the more than 227% resource upgrade for the property.

"In just over two and half years since discovery and with only two seasons of drilling, we have demonstrated that the 3Q Project is one of the largest lithium brine discoveries with one of the best brine chemistries in the world," he said.

In October last year, Neo Lithium announced the positive results of a preliminary economic assessment (PEA) based on an initial resource estimate.

It has not yet completed an economic study of the 3Q Project taking the new, larger mineral resource estimate into account.

3Q lies in the province of Catamarca, the largest lithium producing area in Argentina.

It covers around 35,000 ha (hectares) and the salar complex within this area is around 160 sq km.

So far, surface exploration results indicate a high-grade lithium target in the northern portion of the salar complex extending for around 20 by 5 km with low magnesium and sulphate impurities.

Tue, 04 Sep 2018 15:31:00 -0400
<![CDATA[Media files - Neo Lithium's 3Q project 'a freak of nature' - chairman ]]> Mon, 06 Aug 2018 11:26:00 -0400 <![CDATA[Media files - Neo Lithium reports 227% increase in resource at 3Q Lithium project in Argentina ]]> Fri, 27 Jul 2018 08:22:00 -0400 <![CDATA[Media files - NeoLithium hits highest grade ever during latest drilling at 3Q project ]]> Wed, 27 Jun 2018 11:47:00 -0400 <![CDATA[Media files - Discovery of a new aquifer 'amazing news' for 3Q project, says Neo Lithium CEO ]]> Thu, 26 Apr 2018 21:49:00 -0400 <![CDATA[News - Neo Lithium has brokers lining up to laud its Tres Quebradas project ]]> Cormack Securities has upgraded its rating for Neo Lithium Corp (CVE:NLC), the developer of the Tres Quebradas project in Argentina.

The new rating is ‘buy’, putting Cormack in the same camp as GMP, which yesterday resumed coverage of Neo Lithium with a positive recommendation and an increase in the target price to C$2.90 from C$2.75.

READ Neo Lithium has "one of the highest quality greenfield lithium brine projects in development"

Cormack is even more bullish, bumping up its price target to C$3.00 FROM c$2.55, having updated its valuation model to reflect its latest view for capital expenditure and operating expenditure for the third quarter in the wake of the preliminary economic assessment (PEA) of Tres Quebradas – commonly referred to as 3Q.

At the end of October, Neo Lithium pegged an after-tax net present value (at an 8% discount rate) of C$1.45bn (US$1.13bn) on the project, and an internal rate of return of 24.4%.

READ Tesla installs world’s largest lithium-ion battery in South Australia

Total capital expenditure for the project was projected at US$588.7mln.

Preliminary economic assessment underpinned Cormack Securities' valuation​

The PEA largely supported Cormack’s previous net asset value (NAV) approach to the projected worth of Neo Lithium Corp (NLC) shares.

“With unique chemistry at 3Q, NLC is rapidly proving up a viable project in Catamarca,” said Cormack’s MacMurray Whale.

Whale said NLC is really cracking on at 3Q.

“The pace of development is rapid, with key milestones expected to be achieved in the next 18 months. We believe the combination of an excellent resource and experienced management offsets risks such as the remote location and the early stage nature of the project,” Whale said.

Canaccord Genuity has an even higher target price than Cormack and GMP​

Meanwhile, Canaccord Genuity analyst Eric Zaunscherb is another in the NLC fan club.

Zaunscherb rates the shares a “speculative buy” and has a C$3.20 price target.

"In an investment environment in which we expect the demand for battery materials to ramp dramatically, Neo Lithium has discovered and is advancing the world-class Tres Quebradas lithium brine project in Catamarca province, Argentina. Production from lithium brines currently meet approximately one half of global lithium demand. We expect continued tight market conditions into 2018 and possibly into 2019,” the analyst said.

Thu, 23 Nov 2017 10:16:00 -0500
<![CDATA[News - Neo Lithium has a commanding lithium position at Tres Quebradas in Argentina ]]> JP Morgan, M&G, Blackrock, Sprott and RBC: quite a register for a junior miner to boast, but then the company that’s supported by all these institutions is no ordinary company.

From the very beginning, indeed, Neo Lithium (CVE:NLC) has stood out.

READ: Neo Lithium moving at pace to bring high grade project into production

The discovery of the Tres Quebradas lithium ore body in Argentina might itself be a unique story in exploration.

“We were actually looking for gold and copper on the Maricunga Belt,” says Neo Lithium chief executive Waldo Perez.

“We went to visit one target and drove past a lake, thinking it was fresh water. But we tasted the water. It was black.”

And it was in fact not really water at all, but a lithium brine and an orebody in and of itself. To be sure, following a quick-fire drill campaign, it’s now been established that the major orebody at Tres Quebradas actually lies underneath the lake, but the discovery of an orebody simply on visuals and taste alone is quite a thing.

Waldo Perez smiles at the recollection.

New orebody discovery no mean feat

It was an amazing discovery moment, but it was also serendipitous in terms of market timing. Lithium has been on a tear in recent years as investor appetite has been stoked by the development of the electric vehicle industry and its likely large consumption of lithium in battery products.

To find a new orebody in the location that Perez and his team found it is actually no mean feat, and it speaks of their experience that they immediately knew what they were on to.

Tres Quebradas is situated in the most prolific lithium producing district in the world, a triangle of territory that spans Argentina, Chile, and Bolivia. The Bolivians are not so well advanced, but the Argentinians keen to keep up with the Chileans. It’s likely they will facilitate development in any way they can.

Already progress has been astonishingly rapid.

Following discovery in December 2015 and after only one season’s drilling, Neolithium managed to establish a measured and indicated resource of 134,000 tonnes of lithium or 714,000 tonnes of Li2O3 equivalent, with almost double that again in the inferred category. Following completion of a second season of drilling, that resource has now been boosted to just over 4mln tonnes of lithium carbonate equivalent grading an average of 614 mg/L lithium in the measured and indicated categories, with a further 2mln tonnes inferred.

Neolithium itself has gone from a standing start to being a company with a C$138mln market capitalisation.

Neo Lithium master of its own destiny

To be sure Tres Quebradas will take a few hundred million dollars to develop, but the likes of JP Morgan are already standing behind that, so there’s lots and lots to play for.

The key reason is that because Neolithium controls the entire salar structure on which the lithium brine is contained, it can control development and production at every stage. For other metals and minerals this might sound like a given, but for a brine, which has no compunction about flowing across artificially designated boundaries and borders whether underground or at surface, it’s significant.

“This is no minor feature,” says Perez. “Most other salt flats have at least two mines on them. We are the only company that controls 100% of a salar. This allows you to manage your extraction rate at will.”

 PEA completed at the end of last year put the capital costs at upwards of US$1bn, although that will likely come down in time. The internal rate of return was a healthy enough 28%, with payback in less than two years.

100-year mine life

With permits for construction already in place, Neolithium is thus very much the master of its own destiny.

“The project is fully de-risked,” says Perez. “It’s in a mining province, and it’s the largest mining province. They know permits for lithium.”

The porosity also looks good, and the company is already evaporating brine to generate product specifications to send to potential buyers.

The plan is to produce initially at a rate of 35,000 tonnes lithium carbonate per year. Mining like that would take the highest grade material first, but still allow for a 100-year mine life, so clearly Tres Quebradas has plenty to give.

Tue, 03 Oct 2017 10:35:00 -0400
<![CDATA[Media files - Neo Lithium moving at pace to bring high grade project into production ]]> Thu, 28 Sep 2017 13:29:00 -0400