Ioneer Ltd (ASX:INR, OTC:GSCCF, NASDAQ:IONR) has moved a step closer to construction of the Rhyolite Ridge Lithium-Boron Mine in Nevada with the planned issuance by the Bureau of Land Management (BLM) of the project’s draft Environmental Impact Statement (EIS).
The BLM is seeking public comment on the pending draft EIS, which is the first to be issued from the Biden Administration as part of its efforts to accelerate domestic lithium production.
It is the result of years of effective collaboration between Ioneer and federal, state and local agencies and Tribal Nations.
Key permitting milestone
This marks a key milestone in the environmental permitting review process for the proposed greenfield project in Esmeralda County, Nevada, set to inject a critical supply of integral transition materials into the US EV battery production supply chain.
The BLM completed a review in close coordination with the US Fish and Wildlife Service (FWS) to identify significant protections for the endangered Tiehm’s Buckwheat, a desert flower endemic to the area with its draft analysis incorporation protections.
Tiehm’s buckwheat provisions
Ioneer modified its mining proposal at the request of the BLM and FWS by redesigning and relocating proposed project activity away from Tiehm’s buckwheat, an endangered species classified by the US Fish and Wildlife Service (FWS) in December 2022.
The draft EIS will also detail Ioneer’s investments as part of a formal protection plan and propagation strategy for the Nevada plant.
“The forthcoming release of the draft EIS represents six years of hard work to help build America’s critical minerals supply chain and reaffirms the viability of our investment in Nevada," said Ioneer’s executive chairman James Calaway.
"Rhyolite Ridge will help accelerate the electric vehicle transition and secure a cleaner future for our children and grandchildren.
"As we move through the final steps in the federal permitting process, Ioneer will keep working to ensure this world-class project will operate efficiently and sustainably.”
Towards production in 2027
The draft EIS will be available for public comment beginning Friday, April 19. Reaching this stage of the National Environmental Policy Act (NEPA) permitting process reflects federal inter-agency collaboration and agreement that the draft document is ready for public input.
Following the prescribed 45-day comment period, which will include BLM-organized public meetings, the BLM will incorporate feedback into a final draft and issue a final EIS and a Record of Decision (ROD), expected in October 2024.
Upon issuance of a positive ROD, construction at Rhyolite Ridge can begin following a Final Investment Decision (FID). Based on that timeline, Ioneer anticipates production to begin in 2027.
“Clear path forward”
“This news sets a clear path forward to construction and brings us one step closer to making Rhyolite Ridge a reality. Rhyolite Ridge will be a significant, reliable and sustainable source of critical minerals for the United States,” said Ioneer’s managing director Bernard Rowe.
“Ioneer is committed to working with the local community, Tribal Nations and state and federal agencies to help the U.S. secure a domestic supply of the critical minerals vital to the clean energy transition.”
Once operational, Ioneer’s Rhyolite Ridge Lithium-Boron Project will be a leading example of responsible and sustainable mining.
Revised design
In July 2022, Ioneer submitted a revised plan of operations for federal permitting review, to avoid any direct impact to Tiehm’s buckwheat.
After listing and designation of critical habitat, which the company supported, Ioneer worked closely with the agencies and stakeholders to develop a third iteration to detail plans to further reduce indirect impacts to the plant and reduce activity within designated critical habitat.
At the request of the BLM and FWS to further minimise impacts to the plant and its critical habitat, Ioneer’s revised design, set to be released on Friday, additionally changed the location of the quarry and overburden storage facilities to avoid any direct impacts to nearby subpopulations of Tiehm’s buckwheat and mitigate any potential indirect impacts.
“The Biden-Harris administration understands the important role mining will continue to play in the modern economy and the growing need for responsibly sourced critical minerals to meet our climate, infrastructure and global competitiveness goals,” said principal deputy assistant secretary for Land and Minerals Management Dr Steve Feldgus.
“Federal agencies cooperating to solve issues efficiently while protecting vulnerable species and other irreplaceable resources is exactly how we will need to move forward if we’re going to produce these critical minerals in the United States.”
A critical mineral
Lithium is one of 50 minerals identified as critical by the US Geological Survey, which considers importance of the mineral to the country’s economy and national security and the vulnerability of its supply chains.
Lithium batteries are used extensively in the growing market for portable electronic devices, vehicles, and grid storage applications.
“Our public lands have an important role to play in powering the economy of the future,” said BLM director Tracy Stone-Manning. “Under President Biden’s leadership, BLM continues to support the development of critical minerals to power electric vehicles, renewable energy, new technologies and critical infrastructure.”