Canada Lithium Corp. (“Canada Lithium” or the “Company”) announced today that the first lithium carbonate samples have been produced from its mine and processing plant near Val d’Or, Québec. The kiln, recently granted operational approval by the Canadian Standards Association (CSA), is functioning at design temperatures, and commissioning of downstream components of the hydrometallurgical plant is ongoing.
Production Schedules and Global Lithium Markets
Due to previously announced delays to the commissioning of the kiln, initial carbonate shipments to Tewoo Group in China have been re-scheduled to July, and ramp-up to annual design capacity of 20,000 tonnes of lithium carbonate is now re-scheduled to be completed in Q1, 2014 (rather than late in Q4 of this year), which may impact the Company’s working capital levels. The global market for lithium carbonate, meanwhile, is firm. Strong demand continues for consumer electronics devices, such as laptops, iPads and cellphones powered by lithium-ion batteries. In the electric vehicle/hybrid sector, recent press releases by Japanese carmaker Toyota indicating a sixfold increase in lithium battery production for its hybrid range of vehicles and Tesla’s indications that it could potentially double production of its Model S electric vehicle continue to support lithium carbonate demand.
Tailings Management Facility
Under the supervision of geotechnical consultant, Golder Associates, repairs to the Tailings Management Facility (TMF) have been completed and operations approval has been received from the Ministère du Développement durable, de l’Environnement de la Faune et des Parcs (MDDEFP).
About Canada Lithium Corp.
The Company holds a 100% interest in the Québec Lithium Project near Val d'Or, the geographical heart of the Québec mining industry. It has completed construction and is in the commissioning phase of an open-pit mine and on-site processing plant with estimated capacity to produce approximately 20,000 tonnes of battery-grade lithium carbonate annually. Metallurgical tests have produced battery-grade lithium carbonate samples. A five-year off-take agreement for a minimum of 12,000 tonnes per year was recently signed with Tewoo-ERDC, one of China's largest commodities traders. A second off-take for up to 5,000 tonnes per year was recently signed with Marubeni Corp., a major Japanese commodities trading company. Lithium carbonate is used in lithium-ion batteries that power consumer electronics (laptops, tablets, etc.), power-grid storage facilities and electric and hybrid vehicles. For more information regarding the Company, please refer to the Company's public filings available at www.sedar.com and www.canadalithium.com including, in particular, the Company's Management Discussion and Analysis for the year ended December 31, 2012 and its Annual Information Form for the year ended December 31, 2012 and the Financials and MD&A for the three-month period ended March 31, 2013. The Company trades under the symbol CLQ on the TSX and on the U.S. OTCQX under the symbol CLQMF.