The intention of the Collaboration Agreement is to share technical information and explore opportunities for collaborating on potential development alternatives with the overall objective of optimizing the production profile of the Pastos Grandes basin
Lithium Americas enters collaboration agreement with Arena Minerals. (Credit: swm/Freeimages)
Lithium Americas Corp. (TSX: LAC) (NYSE: LAC) (“Lithium Americas” or the “Company”) has entered a Pastos Grandes Technical Collaboration Agreement (“Collaboration Agreement”) with Arena Minerals Inc. (TSX-V: AN) (“Arena”). The intention of the Collaboration Agreement is to share technical information and explore opportunities for collaborating on potential development alternatives with the overall objective of optimizing the production profile of the Pastos Grandes basin.
“Building our relationship with Arena Minerals is an indication of our commitment to expand and further develop our production profile in Salta, Argentina,” commented Ignacio Celorrio, President, Latin America of Lithium Americas. “Arena’s Sal de la Puna project is adjacent to our recently acquired 100%-owned Pastos Grandes project, and together, we will collaborate to develop the basin in the most sustainable and efficient way for all stakeholders.”
“This Collaboration Agreement is a testament to the strong relationship Arena has with Lithium Americas, and the commitment we share towards sustainable, low impact and environmentally sound development in the Pastos Grandes basin,” commented William Randall, President and CEO of Arena. “Together, we can optimize resources and share technical knowledge to accelerate development while working with the local communities and provincial agencies.”
The Collaboration Agreement shall be governed by a technical committee (the “Technical Committee”) comprising of three members nominated by Lithium Americas, and three members nominated by Sal de la Puna Holdings (“SdlPH”), which is jointly owned by Arena (65%) and Ganfeng New Energy Technology Development (Suzhou) Co., Ltd. (“Ganfeng Lithium”) (35%), (together the “Parties”).
The Technical Committee will consider ways in which the Parties can exchange information and ideas and otherwise collaborate to expand the knowledge of the Parties regarding the geology and hydrogeology of the Basin and the technical aspects of extracting, concentrating, and processing brine to produce lithium products from their respective properties. These include:
- Exploring and developing optimal processing technologies, including:
- production of up to 35% lithium chloride (up to 6% lithium) directly from ponds with lithium chemical processing off-site in northern Argentina;
- production of lithium carbonate from up to 35% lithium chloride versus using a liming process with the construction of an on-site lithium carbonate plant; and
- potential alternative direct lithium extraction technologies;
- Developing a basin-wide resource model, including a dynamic hydrogeological model and water resources/sources model;
- Developing an optimal brine production model from the combined tenements of SdlPH and Lithium Americas in the Pastos Grandes basin, integrated with the basin-wide model and brine resources; and
- The coordination of any joint presentations and reports the Parties agree to make together to the mining, environmental and water authorities, communities and any related stakeholder to the Parties’ project.
Information to be shared under the Collaboration Agreement includes environmental baseline data, drill hole and sampling databases, processing methodologies and concentration paths, and existing extractive model, including resource and dynamic brine models. However, neither Lithium Americas, Arena or SdlPH will provide, transfer, grant or license any intellectual property to the other, including patents, inventions and know-how.
The Collaboration Agreement also includes the common use of infrastructure owned by both Lithium Americas and Arena, so long as the use does not interfere with the operation of the respective projects. The infrastructure includes a fully equipped on-site analytical laboratory, pilot ponding facilities, a pilot carbonate conversion plant and ancillary camp infrastructure.
Source: Company Press Release