Lithium Universe Ltd (ASX:LU7, OTC:LUVSF) is set to release the definitive feasibility study (DFS) for its Bécancour Lithium Refinery in Quebec, Canada, in the next quarter, with the project on track and progressing smoothly and cost-effectively.
Moving along well
The company wrapped up its preliminary feasibility study (PFS) in September 2024, just under a year after commissioning Hatch Ltd to initiate the engineering study.
The DFS process has since moved along well, with 80% of supplier pricing finalised and the remaining quotations in progress.
Material take-offs and the procurement strategy are also nearing completion, positioning the company to achieve a capital cost estimate with an accuracy of ±20%.
Lithium Universe has its focus trained on obtaining firm offers or budget pricing from suppliers based on the importance of each package, considering factors such as cost, lead times and technical specifications.
Leading the project is John Loxton, head of Refinery at Lithium Universe, who brings substantial experience in lithium processing.
Loxton has previously worked on the Jiangsu Lithium Carbonate Plant in China and overseeing the commissioning of the first train at Tianqi Lithium’s hydroxide processing plant in Kwinana, Western Australia.
“The project is on track to complete the DFS next quarter,” Loxton said.
Streamlined process
“Leveraging extensive data from our reference plant has significantly streamlined the process, making it both faster and more cost-effective.
“We're primarily updating prices for the same plant and equipment we've used before, often working with the same suppliers, which ensures more accurate quotations and reduces the risk of cost overruns.
“While some new work includes civil and design specific to the new site conditions, the majority of the engineering has been based on the reference plant."
The project is also being overseen by non-executive director Dr Jingyuan Liu, a seasoned expert in lithium conversion technologies.
Dr Liu has served as a consultant on more than 20 global lithium conversion projects, including roles at Galaxy Resources and Tianqi Lithium’s Kwinana plant, and provides technical oversight for the Bécancour Refinery.
With the DFS set for completion, the study will serve as a critical milestone for Lithium Universe as it moves towards development of the Bécancour Lithium Refinery, a core component of its strategy centred on lithium carbonate production.