October 31, 2023
Latin Resources Ltd. (ASX:LRS, OTCPK:LRSRF, BUY, A$1.35 target, Alina Islam and David A. Talbot) announced the commencement of an offtake partnering process for its 100%-owned Salinas Li project located in Brazil, following the completion of a PEA which outlined an 11-year open pit mining operation, over two phases, with an after-tax NPV8% of US$2.5B and IRR of 132% (read note). Phase 1 and Phase 2 capital are estimated at US$253M and US$55M, respectively, for combined target production of 405 ktpa of SC5.5 and 123 ktpa of SC3 starting in 2026. As a part of the process, Latin is seeking proposals from potential offtake partners, the proceeds from which would be used to move Salinas towards production. We believe an offtake partner would further de-risk the Salinas project, where an updated MRE is expected in the near term (Q4/23), followed by a DFS in 2024. Read more
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Latin Resources Ltd. – ASX:LRS, OTCPK:LRSRF
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