Argosy Minerals has achieved 99% lithium chloride purity and 94.4% lithium recovery in pilot plant test works for its 12,000tpa Rincon Lithium Project, underpinning its move toward industrial-scale production and advancing its Definitive Feasibility Study.
- Pilot plant achieves 99% lithium chloride purity
- Lithium recovery reaches 94.4% in continuous operations
- Test works validate industrial scaling potential
- Two-stage product development strategy confirmed
- All material assumptions from prior resource updates remain intact
Pilot Plant Delivers High Purity Lithium Chloride
Argosy Minerals Limited (ASX:AGY) has hit a critical milestone with its 12,000 tonnes per annum (tpa) Rincon Lithium Project in Argentina, reporting pilot plant test works that achieved lithium chloride purity of 99% and a lithium recovery rate peaking at 94.4%. These results come from continuous pilot-scale operations using Argosy’s pre-concentrated lithium brine, confirming the technical feasibility and operational stability of the chosen process technology.
Industrial Scaling and DFS Advancement
The pilot test works not only met but exceeded key targets, with lithium concentrations in the eluate surpassing expectations. The tests demonstrated that extended operation times improve system recovery, purity, and stability, providing strong evidence for the process's industrial scaling potential. This progress puts Argosy in a solid position to advance engineering and process design works, refining project execution schedules and cost estimates as it moves toward completing the Definitive Feasibility Study (DFS).
This technical validation is timely, building on recent developments including the company’s securing of a 40MW power infrastructure deal, which supports the project’s energy needs and overall feasibility. The integration of this infrastructure is a key enabler for the upcoming DFS and eventual commercial operation, as detailed in the company’s recent 40MW power infrastructure agreement.
Strategic Two-Stage Product Development
Argosy’s project strategy involves a two-stage product development pathway. Stage 1a focuses on producing a solid or crystallised lithium chloride product at the Rincon site, which offers several commercial advantages such as lower upfront capital expenditure and a simplified processing flowsheet. Stage 1b plans to process this lithium chloride into battery-quality lithium carbonate or hydroxide, targeting the rapidly growing lithium-ion battery market.
Producing high purity lithium chloride as an intermediate product also provides flexibility, allowing Argosy to tailor downstream refining and offtake arrangements with strategic partners. This approach aligns with the company’s broader goal of building a sustainable lithium production business leveraging the world-renowned Lithium Triangle’s resources.
Confirmed Assumptions and Ongoing Development
Argosy confirmed that all material assumptions underpinning its production targets, as outlined in prior announcements dating back to April 2024, remain unchanged. The company is continuing to refine its engineering designs and feasibility studies, supported by the positive pilot plant outcomes. These developments follow earlier test work results that showed a 96% lithium recovery rate and further progress on energy infrastructure, reinforcing the project’s momentum toward commercialisation and scale-up 96% lithium recovery confirmed.
Managing Director Jerko Zuvela highlighted the significance of achieving 99% lithium chloride purity, describing it as a strong platform to complete the DFS and advance the project toward production. The company intends to conduct additional test work as required to support engineering and feasibility requirements.
Bottom Line?
While pilot plant results significantly de-risk Argosy’s Rincon project, the path to full-scale commercial production hinges on upcoming DFS outcomes and capital cost clarity.
Questions in the middle?
- How will Argosy’s staged product strategy influence its capital expenditure profile and financing options?
- What are the potential bottlenecks or risks in scaling the pilot plant process to full industrial production?
- Could strategic partnerships for downstream refining accelerate Rincon’s path to battery-grade lithium products?