TG Metals Advances Lithium Extraction with High-Grade Spodumene Test Results
TG Metals Limited reports robust metallurgical testwork outcomes for spodumene concentrate at its Lake Johnston Project, achieving lithium grades exceeding 6% Li2O and recovery rates above 80%. The company maintains a solid cash position of $5.3 million as it prepares for further exploration in 2025.
- Heavy Liquid Separation (HLS) concentrate grades up to 6.31% Li2O
- Combined HLS and flotation concentrate grades between 5.28% and 5.74% Li2O with up to 80.2% lithium recovery
- Ore sorting technology improves lithia head grade by 15-39% and rejects 65-70% iron-bearing waste
- Strong cash balance of $5.3 million at quarter-end
- Preparation for further drilling and exploration activities at Burmeister and Jaegermeister prospects
Metallurgical Breakthroughs at Lake Johnston
TG Metals Limited (ASX: TG6) has unveiled promising metallurgical testwork results from its wholly owned Lake Johnston Project in Western Australia. The December 2024 quarterly report highlights significant advancements in spodumene concentrate production, a key lithium-bearing mineral critical to the battery supply chain.
The company’s testwork, conducted on diamond drill core samples from the Burmeister lithium deposit, demonstrated that a hybrid processing flowsheet combining ore sorting, Heavy Liquid Separation (HLS), magnetic separation, and flotation can produce spodumene concentrates with lithium oxide (Li2O) grades up to 6.31%. This exceeds the industry benchmark SC6 grade, positioning TG Metals favorably in the competitive lithium market.
Innovative Processing Techniques Drive Efficiency
Ore sorting technology played a pivotal role by increasing the lithia head grade by 15-39% while effectively rejecting 65-70% of iron-rich basalt waste. This preconditioning step not only enhances downstream processing efficiency but also reduces transport and processing costs, contributing to a lower carbon footprint.
Following ore sorting, the HLS process yielded coarse concentrates with grades ranging from 5.34% to 6.31% Li2O. The fines fraction, treated via flotation, produced concentrates between 4.73% and 5.68% Li2O. When combined, these methods achieved overall concentrate grades between 5.28% and 5.74% Li2O with lithium recoveries reaching 80.2%, underscoring the potential for commercial-scale production.
Financial Health and Strategic Outlook
Financially, TG Metals remains well-positioned with a cash balance of approximately A$5.3 million at the end of December 2024. The company spent $430,000 on exploration activities during the quarter, focusing on advancing the Burmeister and Jaegermeister lithium prospects. Rehabilitation and preparatory works for further drilling are underway, with plans to ramp up exploration contingent on market conditions.
Additionally, TG Metals secured a four-year extension on tenement E63/1961, reinforcing its tenure in the Lake Johnston region. The company continues to evaluate opportunities to expand its tenement holdings and consolidate its position in this lithium-rich area.
Implications for the Lithium Market
The successful demonstration of a hybrid processing flowsheet capable of producing high-grade spodumene concentrate is a significant milestone for TG Metals. Given the proximity of Lake Johnston to established lithium processing plants, these metallurgical advances could translate into streamlined project development and reduced capital expenditure.
However, the company’s future progress will depend on sustained lithium market dynamics and the execution of further drilling and feasibility studies. The strong recovery rates and concentrate grades reported provide a solid foundation for upcoming phases of development.
Bottom Line?
TG Metals’ metallurgical success and solid cash reserves set the stage for critical next steps in lithium project development amid evolving market conditions.
Questions in the middle?
- How will TG Metals optimize flotation processes to consistently achieve SC5.5 grade concentrates?
- What are the timelines and funding plans for advancing feasibility studies and potential mine development?
- How might fluctuations in lithium prices impact TG Metals’ exploration and development strategy?
