Kodal Minerals Accelerates Bougouni Lithium Project

Introduction

Kodal Minerals Plc (AIM: KOD), a mining development company, has announced the acceleration of its Bougouni Lithium Project in Mali, West Africa. This project has the potential to become a significant lithium producer and contribute to the global transition to clean energy.

Project Overview

High Lithium Demand

The global demand for lithium is skyrocketing due to its critical role in electric vehicle batteries. Kodal's Bougouni project is well-positioned to meet this demand, given its high-grade lithium resources and strategic location in Mali, a politically stable country with abundant mineral resources.

Significant Resources

The Bougouni project boasts significant lithium resources. The company's Competent Person's Report (CPR) estimates a JORC-compliant Mineral Resource of 12.8 million tonnes of lithium oxide at an average grade of 1.6% Li2O. This makes Bougouni one of the largest and highest-grade undeveloped lithium projects globally.

Environmental and Social Commitment

Kodal Minerals places a strong emphasis on environmental and social responsibility. The company has conducted thorough environmental and social impact assessments to ensure the sustainable development of the project. Kodal is committed to minimizing environmental impact, protecting biodiversity, and engaging with local communities to create shared value.

Development Plan

Exploration and Resource Expansion

Kodal Minerals is actively exploring the Bougouni project to expand its lithium resources. The company has identified several prospective areas with potential for additional high-grade lithium mineralization. Exploration drilling and resource delineation programs are ongoing.

Pilot Plant Construction

The company has commenced the construction of a pilot plant to demonstrate the processing of lithium ore from the Bougouni project. The pilot plant will produce battery-grade lithium carbonate samples for offtake partners and potential investors, showcasing the project's technical and economic viability.

Definitive Feasibility Study

Kodal Minerals is currently undertaking a Definitive Feasibility Study (DFS) to optimize the project's design and economics. The DFS will provide a comprehensive evaluation of the project's technical, environmental, and financial aspects, including the selection of the most appropriate mining and processing methods.

Offtake and Partnerships

Strategic Partnerships

Kodal Minerals has established strategic partnerships with leading global companies to support the development of the Bougouni project. These partnerships provide access to technical expertise, offtake agreements, and potential project financing.

Offtake Agreements

The company has signed binding offtake agreements with reputable offtake partners. These agreements secure the sale of a significant portion of the project's lithium production, providing revenue certainty and supporting the project's financial viability.

Conclusion

Kodal Minerals' acceleration of the Bougouni Lithium Project is a significant step towards meeting the global demand for lithium. The project's high-grade resources, strategic location, and commitment to sustainability make it a compelling investment opportunity for investors seeking exposure to the growing clean energy sector. With the ongoing exploration, pilot plant construction, and DFS, Kodal Minerals is well-positioned to become a leading producer of battery-grade lithium.