Impact: Very Positive
Lake Resources provided a very positive update on its flagship, Kachi project in Argentina. The onsite demonstration plant is working well and producing a Li chloride concentrate in line with specifications required for further processing into LCE (read more). Just as important is word regarding the now resolved dispute with Lilac Solutions (read more) about timelines for the Kachi project. While technical de-risking continues to be our chief concern, we believe the new Lake-Lilac agreement should help restore market confidence in this project. The results will help provide data required for completion of the Kachi feasibility study. Lake already has financial commitments from Canada and the UK to fund 70% of initial and sustaining capex (read more), in addition to multiple off-take agreements that cover 100% of expanded LCE production of 50ktpa (read here and here).