EXPLORATION & DEVELOPMENT

Greenbushes to double in size

ALBEMARLE Corp and Tianqi Lithium Corporation have approved the expansion of the world’s largest lithium mine, Greenbushes in Western Australia.

Kristie Batten
Greenbushes to double in size

Greenbushes currently produces 80,000 tonnes per annum of lithium carbonate equivalent, and the expansion will see capacity reach 165,000tpa by 2021.

According to Tianqi, capital costs will be around $A320 million, comprising a second concentrator and crusher.

Commissioning of the expansion is expected to begin in the June quarter of 2019, coinciding with the start of production at Tianqi’s new $A400 million lithium hydroxide plant in Kwinana in late 2018.

"This project is integral to our announced lithium expansion plans so that we can meet the growing needs of our customers,” Albemarle Lithium and Advanced Materials president John Mitchell said.

Greenbushes boasts an eye-watering grade of 2.8% lithium oxide, and Mitchell told Albemarle’s investment day in New York overnight that the grade would likely fall to 2.2% to expand the life.

Mitchell said the Greenbushes would have the advantage of scale.

“We are feeding in a 2.8% ore grade, probably for the expansion will be a little bit less than that,” he said.

“And so, you lose some efficiencies in the upgrading facility, but we hope that that's going to be offset by some scale benefits and other technology that we are working on as well.

“So right now, we are not giving any indication that economics are going to fluctuate very much from where they are today.”

At the ground-breaking ceremony for the hydroxide plant in October, Tianqi CEO Vivian Wu said studies into the expansion were progressing.

She told reporters at the time that the rise in the lithium price meant it was the perfect time to expand.

“We’re expanding and we’ll continue tapping into our strengths. To help our customers sustainably, not to grab the short-term spot price,” she said.

Tianqi’s hydroxide plant will produce an initial 24,000tpa of lithium hydroxide, but will also be expandable.

Albemarle and Tianqi each own 50% of Greenbushes operator Talison Lithium.

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining News Intelligence team.

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining News Intelligence team.

editions

MiningNews.net Research Report 2024

Access a multi-pronged tool to identify critical risks and opportunities in Australia’s mining industry.

editions

Mining Journal Intelligence Investor Sentiment Report 2024

Survey revealing the plans, priorities, and preferences of 120+ mining investors and their expectations for the sector in 2024.

editions

Mining Journal Intelligence Mining Equities Report 2023

Access an exclusive, inside look on the quarterly mining IPOs and secondary raisings data and mining equities performance tables with an annual Stock Exchange Comparisons supplement.

editions

Mining Journal Intelligence World Risk Report 2023 (feat. MineHutte ratings)

A detailed analysis of mining investment risks across 121 jurisdictions globally, built on 11 ‘hard risk’ metrics and an industrywide survey.