HARARE - One of Zimbabwe’s largest lithium producer, Prospect Resources (Prospect), has established a laboratory complex in Kwekwe aimed at enhancing production of lithium carbonate.
Hugh Warner, Prospect chairperson said the latest development is a significant achievement for both the company and Zimbabwe.
“Producing high grade battery quality lithium carbonate that exceeds industry norms bodes well for the ultimate company goal of a large scale lithium carbonate facility in-country.
“This entire process has been designed and built in-country using local skills and services further demonstrating the business friendly environment that Zimbabwe is rapidly becoming,” he said.
The latest development comes after the Australia Stock Exchange-listed firm ASX-listed Prospect Resources has raised
$10 million — before costs — in an oversubscribed placement of 166 million shares at an issue price of 6c per share.
The proceeds from the placement are expected to enable Prospect Resources to accelerate the development of the Arcadia lithium project in Zimbabwe and take advantage of the support offered by the new Zimbabwe government under its Rapid Response Initiative.
The proceeds of the placement will also be used to progress exploration at the Good Days lithium project and also investigate and possibly acquire additional lithium and cobalt projects, as well as supplement general working capital.
Hunter Capital Advisors acted as sole lead manager to the issue which is scheduled to be settled in full early this month.
The Arcadia lithium project is located approximately 38km east of Harare, Zimbabwe in the high veld close to the long established Arcturus gold mine.
Arcadia occupies an area of more than 14 square km and consists of some historical lithium and beryl workings within an existing agricultural area partially surrounded by a number of hills rising some 50m above the central basin floor.
The project’s elevation ranges between 1 300 and 1 420m above mean sea level straddling the Thorn Vlei, Grazely and Lonely Park Estate Farms.
The project is located close to major highways and railheads, with the Beira Port being less than 450km away by rail/road transport.
The proximity to Harare as a source of professional, skilled and semi-skilled labour, engineering skills and its location as a regional transport and services hub adds to the project’s economics. - The Financial Gazette
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