Welcome to Prospect Resources
Arcadia Lithium Project - Invest in the development of Africa's leading lithium project
Prospect Resources Limited (ASX:PSC) is an ASX listed, Africa-focused, Lithium and Battery Minerals company based in Perth with operations in Zimbabwe, and exploration activities in Zimbabwe and the DRC.
Prospect’s flagship project is the Arcadia Lithium Project located on the outskirts of Harare in Zimbabwe. The Arcadia Lithium Project represents a globally significant hard rock lithium resource and is being rapidly developed by Prospect’s experienced team, focusing on near term production of petalite, spodumene and tantalum concentrates.
On the 19th November 2019, Prospect completed its Definitive Feasibility Study (DFS) for the 2.4Mtpa base case development of the 87% owned Arcadia Lithium Project. The key outcomes include:
· Pre-tax NPV (10% discount rate) of USD511 million with strong margins, delivering a rapid payback for the project of 2.5 years from first production and an exceptionally strong IRR of 44%;
· Forecast life-of-mine project revenue of USD2.93 billion excluding tantalum credits and project average annual EBITDA of USD106 million over an estimated 12-year mine life;
· Average annual concentrate production of approximately 212 kt of 6% spodumene, 216 kt of 4% petalite, and 188 klb of tantalum;
· Competitive cash operating costs of USD285 per tonne of concentrate demonstrating Arcadia’s resource size, plant scale, strategic location to key infrastructure and grade;
· Capital cost estimate of USD165 million, including carried costs to positive cash flow;
· Conventional open pit mining with a strip ratio of 3.0:1; and
· LOM lithia recoveries of 68% using conventional DMS, spirals and flotation.
· Project on track to be completed in Q3 CY2020, with commissioning from November 2020
For more information regarding Arcadia Lithium Project's DFS, click here.
Experienced Management Team
Prospect's management team brings a wealth of lithium and mine development experience having successfully delivered large complex mine and plant projects in the region, with a total project capital expenditure of over US$10 billion.
African Team - focused on development and exploration
· Strong and experienced local team with a track record of discovering, proving, building and operating mining projects in Africa
· Significant majority of the Prospect team based on the ground in the region
Australia Team – focus on transactions, financing, investor relations, corporate governance and marketing / offtake:
· Small and focused, Perth based, head office team
· Deep lithium and related minerals process and marketing experience and network
· Deep financial market and transaction experience