McDermitt Lithium Project: 63-Year Life, $2.75M Asset Sale Fuels Development

A Long-Life Lithium Asset with Strong Fundamentals

Jindalee Lithium Limited continues to make significant strides in advancing its 100% owned McDermitt Lithium Project, located on the Oregon-Nevada border. The recently announced Pre-Feasibility Study (PFS) underscores the project's scale and longevity, confirming a 63-year mine life with production of 1.8 million tonnes of lithium carbonate at a competitive C1 cost of US$8,670 per tonne for the first 40 years. This positions McDermitt as one of the largest lithium deposits in the United States and a globally significant resource.

The PFS also highlights opportunities to further reduce capital and operating costs and increase production, signaling potential upside to the already robust economics. With a payback period of just five years, McDermitt is shaping up as a cornerstone asset in the evolving lithium supply chain.

Permitting Progress and Community Commitment

Permitting remains a critical focus for Jindalee, with the Exploration Plan of Operations (EPO) deemed complete by the US Bureau of Land Management (BLM) and the Environmental Assessment (EA) released for public comment from late March through April 2025. This environmental review, conducted under the National Environmental Policy Act (NEPA), incorporates additional mitigation measures developed in consultation with federal and state agencies.

Approval of the EPO will unlock increased on-site activities, including infill drilling and metallurgical testing, essential for advancing the project towards feasibility and development. Jindalee’s commitment to responsible development emphasizes minimizing environmental impact and delivering tangible benefits to local communities and Native American stakeholders.

Strategic Partnerships and US Government Support

Recognizing the strategic importance of McDermitt, Jindalee has engaged corporate advisors to accelerate global partnership discussions. The company is targeting long-term strategic partners to support pre-development funding and the upcoming feasibility study, aiming to de-risk the project both technically and commercially.

Jindalee’s efforts are bolstered by strong US government engagement. The project secured a Cooperative Research and Development Agreement (CRADA) with the Department of Energy (DoE) to develop innovative, cost-effective, and environmentally sustainable lithium extraction methods. What's more, McDermitt’s designation as a Transparency Project under the federal FAST-41 initiative enhances interagency coordination and expedites permitting processes, reflecting its national significance.

Additional funding avenues include a pending non-dilutive grant application with the Department of Defense, which could co-fund feasibility and drilling activities. These government initiatives align with President Trump’s 2025 Executive Order prioritizing domestic critical mineral production, including lithium, to strengthen US energy security and supply chains.

Market Context and Industry Momentum

Despite recent softness in lithium prices, with battery-grade lithium carbonate hovering around US$10,000 per tonne, demand fundamentals remain robust. Global electric vehicle sales surged 29% year-to-date, and battery energy storage deployments increased by approximately 65%, underscoring the long-term growth trajectory for lithium-ion batteries.

Within the US, significant capital flows and government backing continue to support sediment-hosted lithium projects. Notable developments include a US$996 million loan guarantee to ioneer Ltd for its Rhyolite Ridge project and a US$250 million strategic investment in Lithium Americas’ Thacker Pass project, located near McDermitt. These milestones reinforce the strategic imperative of domestic lithium production and position McDermitt well within this supportive ecosystem.

Corporate Updates and Financial Position

Jindalee recently monetized a non-core asset, selling its stake in Dynamic Metals for $2.75 million to fund ongoing McDermitt activities. The company maintains a solid cash position of approximately $4 million as of March 31, 2025. Key personnel changes include the departure of Brett Marsh, VP Exploration and Development, and the appointment of Todd Clewett as Senior Advisor – External Affairs, based in Washington DC, to enhance stakeholder engagement and government relations.

Exploration expenditure remains focused on McDermitt, with corporate costs managed prudently as the company advances towards feasibility and development milestones.