HIGHLIGHTS
Caucharí-Olaroz
- Construction continues to progress towards production with key areas of the processing plant commenced commissioning in late Q3 2022.
- With construction nearing completion, focus remains on prioritizing production volume over product quality during ramp-up.
- As previously announced in
July 2022 , construction on a portion of the purification process designed to achieve battery-quality was deferred to the first half of 2023. - The Company expects to provide an update and guidance on production ramp-up schedule around the end of 2022.
- As previously announced in
- Due primarily to the low official Argentine exchange rate and high local inflation, capital cost estimates at the official exchange rate have been revised to
$852 million (on a 100% basis), up 15% from$741 million previously; however, at the substantially more favorable market-based exchange rate available and the streamlined production plan, the Company expects that there will be no material change to its total funding requirements for Stage 1.- As of
September 30, 2022 , 85% of the budget has been spent with a substantial portion deferred until 2023, to complete the purification process. - As of
September 30, 2022 , the Company had$63 million (49% share) in capital costs remaining at the official Argentine exchange rate, requiring funding of an estimated$31 million based on the latest market-based exchange rate.
- As of
- Development planning for Stage 2 expansion of at least 20,000 tonnes per annum of lithium carbonate equivalent continues to progress to align with completion of Stage 1.
- In Q2 2022, the seven local communities in the vicinity of the project approved the proposed expansion.
- In Q2 2022, the seven local communities in the vicinity of the project approved the proposed expansion.
Pastos Grandes
- The Company continues to advance the Pastos Grandes
$30 million development plan, with completion of the plan and a resulting construction decision expected for the second half of 2023.- Following the recent exploration results from the adjacent property owned by
Arena Minerals Inc. (TSXV: AN) and additional modelling of the basin, the Company is updating its exploration plan.
- Following the recent exploration results from the adjacent property owned by
The Lithium Technical Development Center (“LiTDC”) in Reno continues to operate based on theThacker Pass flowsheet processing raw ore to final battery-quality lithium carbonate.- As of
September 2022 , over 100 tonnes of lithium ore were collected atThacker Pass to feed the LiTDC to produce product samples for potential customers and partners. - Results of ongoing test work to de-risk each step of the flowsheet continues to be in line with expectations.
- As of
- In Q2 2022, cultural work on approximately 13,000 acres was completed as required under the National Environmental Policy Act and conducted by an independent consultant, with the oversight and assistance of the
Fort McDermitt Paiute and Shoshone Tribe (“Tribe”). No areas of archeological significance were identified atThacker Pass . - In
October 2022 , the Company signed a Community Benefits Agreement with the Tribe, to establish a framework for continued collaboration and define long-term benefits for the Tribe. - On
August 11, 2022 , briefings were submitted for the appeal of the issuance of the Record of Decision (“ROD”) forThacker Pass .The US District Court , District ofNevada has scheduled an oral hearing forJanuary 5, 2023 . Lithium Americas is moving ahead with pre-construction activities, including the selection of an engineering, procurement and construction management firm to execute the development and construction plan forThacker Pass .- The Company is also evaluating potential investment, partnership and supply agreements to support the development of a North American supply chain. In addition,
Lithium Americas continues to progress theU.S. Department of Energy Advanced Technology Vehicles Manufacturing loan program application. - The timing for completion of a feasibility study is now scheduled for Q1 2023, in order to reflect ongoing feedback from strategic partnership and financing process, results of LiTDC operations and to align with the anticipated timing of the ROD appeal ruling.
Corporate
- As at
September 30, 2022 , the Company had$392 million in cash, cash equivalents and short-term bank deposits, with an additional$75 million in available credit. - On
July 18, 2022 , the Company made an equity investment inAscend Elements, Inc. (“Ascend Elements”), a US-based lithium-ion battery recycling and engineered material company, by way of a subscription for Series C-1 preferred shares for$5 million . - On
September 20, 2022 , the Company entered a Strategic Collaboration Agreement withGreen Technology Metals Ltd. (ASX:GT1) (“GT1”), in which it owns a 5% stake, to advance a common goal of developing an integrated lithium chemical supply chain inNorth America . - In
September 2022 , the Company was recognized on the TSX30 for the second consecutive year, ranking as one of the top 30 performers on the TSX. - The Company continues to advance a potential separation of its US and
Argentina operations to unlock shareholder value and better position each business to pursue its independent strategy and growth.
TECHNICAL INFORMATION
The Technical Information in this news release has been reviewed and approved by
FINANCIAL RESULTS
Selected consolidated financial information is presented as follows:
(in US$ million except per share information) | Quarter ended | ||||
2022 | 2021 | ||||
$ | $ | ||||
Expenses | (25.3) | (16.6) | |||
Net loss | (40.9) | (17.2) | |||
Loss per share – basic | (0.30) | (0.14) |
(in US$ million) | As at | As at | |||
$ | $ | ||||
Cash, cash equivalents and short-term bank deposits | 392.2 | 510.6 | |||
Total assets | 1,023.9 | 817.3 | |||
Total long-term liabilities | (243.6) | (272.8) |
During the nine months ended
The higher net loss in Q3 2022 compared to Q3 2021 is primarily attributable to
This news release should be read in conjunction with Lithium Americas’ condensed consolidated interim financial statements and management's discussion and analysis for the nine months ended
ABOUT
For further information contact:
Investor Relations
Telephone: 778-656-5820
Email: ir@lithiumamericas.com
Website: www.lithiumamericas.com
FORWARD-LOOKING STATEMENTS
This news release contains “forward-looking information” and “forward-looking statements” (which we refer to collectively as forward-looking information) under the provisions of applicable securities legislation. All statements, other than statements of historical fact, are forward-looking information. Examples of forward-looking information in this news release include, among other things, statements related to: successful development of the Caucharí-Olaroz project, the
Forward-looking information is based upon a number of factors and assumptions that, if untrue, could cause the actual results, performances or achievements of the Company to be materially different from future results, performances or achievements expressed or implied by such information. Such information reflects the Company’s current views with respect to future events and is necessarily based upon a number of assumptions that, while considered reasonable by the Company today, are inherently subject to significant uncertainties and contingencies. These assumptions include, among others, the following: the Company’s ability to fund, advance and develop its projects, including results therefrom and timing thereof; capital costs, operating costs, and sustaining capital requirements of the Caucharí-Olaroz project and the
Forward-looking information also involves known and unknown risks that may cause actual results to differ materially. These risks include, among others, inherent risks in the development of capital intensive mineral projects (including as co-owners), variations in mineral resources and mineral reserves, changes in budget estimation, global demand for lithium, recovery rates and lithium pricing, risks associated with successfully securing adequate financing, including the outcome of the Company’s loan application with the
Although the Company has attempted to identify important risks and assumptions, given the inherent uncertainties in such forward-looking information, there may be other factors that cause results to differ materially. Forward-looking information is made as of the date hereof and the Company does not intend, and expressly disclaims any obligation to, update or revise the forward-looking information contained in this news release, except as required by law. Accordingly, readers are cautioned not to place undue reliance on such forward-looking information.
Source:
2022 GlobeNewswire, Inc., source