REG - Cadence Minerals PLC - Corporate Update - European Metals Holdings

Cadence MineralsAnnouncement

09/11/2023 09:15

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RNS Number : 9394S  Cadence Minerals PLC  09 November 2023

Cadence Minerals Plc

("Cadence Minerals", "Cadence", or "the Company")

 

European Metals Holdings #EMH Announces Successful Battery-Grade pilot
programme for Cinovec Lithium Project

 

Cadence Minerals (AIM/NEX: KDNC; OTC: KDNCY) is pleased to note the
announcement by European Metals Holdings Limited (ASX & AIM: EMH, OTCQX:
EMHXY, ERPNF and EMHLF) detailing the results of the Lithium Chemical Plant
(LCP) pilot programme at Cinovec. The results confirm the robustness of the
LCP process flowsheet and provide a strong foundation for the execution of the
Cinovec Project.

 

Highlights

·     Pilot programme has confirmed industrial viability of the LCP
process flowsheet.

·     Exceptionally clean battery grade lithium carbonate (>99.9%)
produced with single-stage purification (bicarbonation) of crude lithium
carbonate.

·     Pilot programme crude lithium carbonate confirmed at 99.7% purity,
greater than battery grade (99.5%) in the carbonate precipitation step without
any additional processing.

·     Work to produce battery grade lithium hydroxide monohydrate is
underway.

·     The pilot programme processed ore fully-representative in all
respects of the run-of-mine for the first seven years of mining planned at
Cinovec, including average grade and expected rock-type mix from the bulk
mining.

 

Next Stage of Development of Cinovec

 

The DFS for battery-grade Lithium Carbonate remains on-track for completion in
4Q 2023. Subject to confirmation of the pilot programme work for battery grade
Lithium Hydroxide, a decision on the battery grade end-product (carbonate vs
hydroxide) for the Cinovec Project is expected to be made in early 2024. This
will in turn lead to design engineering that will enable the Project to move
to production in the shortest possible time frame, and includes engagement
with long lead equipment OEMs to ensure that the timeline is expedited.

 

European Metals Executive Chairman Keith Coughlan said: "The confirmation of
the exceptionally clean nature of the Cinovec Lithium Carbonate resulting from
the pilot programme is further proof of the tremendous importance of the
Cinovec Lithium Project for the whole of the EU.  The Lithium Carbonate
produced by the simplified flowsheet has the ability to be a major contributor
to the EU's lithium security. The Cinovec Project is well positioned to be a
major supplier of battery grade lithium products to the strategically
important European car industry to ensure that they are able to compete on the
global stage. The pilot programme data is now being used to confirm design and
engineering for the ongoing Definitive Feasibility Study (DFS) being completed
by DRA Global and which remains on-track for completion in the current
quarter, and also for the post-DFS detailed design. European Metals, in
developing the Cinovec Lithium Project, is well positioned for the rising
demand in battery materials in the EU. The Cinovec project is the largest hard
rock lithium project in the EU and Europe as a whole and is centrally located
on the Czech Republic's border with Germany."

 

Link here
(https://www.londonstockexchange.com/news-article/EMH/successful-battery-grade-pilot-cinovec-project/16202041)
to view the full EMH announcement

 

Cinovec Lithium/Tin Project

 

Geomet s.r.o. controls the mineral exploration licenses awarded by the Czech
State over the Cinovec Lithium/Tin Project. Geomet has been granted a
preliminary mining permit by the Ministry of Environment and the Ministry of
Industry. The company is owned 49% by EMH and 51% by CEZ a.s. through its
wholly owned subsidiary, SDAS. Cinovec hosts a globally significant hard rock
lithium deposit with a total Measured Mineral Resource of 53.3Mt at 0.48% Li2O
and 0.08% Sn, Indicated Mineral Resource of 360.2Mt at 0.44% Li2O and 0.05% Sn
and an Inferred Mineral Resource of 294.7Mt at 0.39% Li2O and 0.05% Sn
containing a combined 7.39 million tonnes Lithium Carbonate Equivalent and
335.1kt of tin.

 

Cadence Minerals holds approximately 5.6% percent of the equity in European
Metals Holdings.

 

 For further information contact:

 Cadence Minerals plc                           +44 (0) 20 3582 6636
 Andrew Suckling
 Kiran Morzaria

 WH Ireland Limited (NOMAD & Broker)            +44 (0) 20 7220 1666
 James Joyce
 Darshan Patel

 Fortified Securities - Joint Broker            +44 (0) 20 3411 7773
 Guy Wheatley

 Brand Communications                           +44 (0) 7976 431608
 Public & Investor Relations
 Alan Green

 

Qualified Person

Kiran Morzaria B.Eng. (ACSM), MBA, has reviewed and approved the information
contained in this announcement. Kiran holds a Bachelor of Engineering
(Industrial Geology) from the Camborne School of Mines and an MBA (Finance)
from CASS Business School.

 

Cautionary and Forward-Looking Statements

Certain statements in this announcement are or may be deemed to be
forward-looking statements. Forward-looking statements are identified by
their use of terms and phrases such as "believe", "could", "should",
"envisage", "estimate", "intend", "may", "plan", "will", or the negative of
those variations or comparable expressions including references to
assumptions. These forward-looking statements are not based on historical
facts but rather on the Directors' current expectations and assumptions
regarding the company's future growth results of operations performance,
future capital, and other expenditures (including the amount, nature, and
sources of funding thereof) competitive advantages business prospects and
opportunities. Such forward-looking statements reflect the Directors' current
beliefs and assumptions and are based on information currently available to
the Directors.  Many factors could cause actual results to differ materially
from the results discussed in the forward-looking statements, including risks
associated with vulnerability to general economic and business conditions,
competition, environmental and other regulatory changes actions by
governmental authorities, the availability of capital markets reliance on key
personnel uninsured and underinsured losses and other factors many of which
are beyond the control of the company. Although any forward-looking statements
contained in this announcement are based upon what the Directors believe to be
reasonable assumptions. The company cannot assure investors that actual
results will be consistent with such forward-looking statements.

 

The information contained within this announcement is deemed by the company to
constitute Inside Information as stipulated under the Market Abuse Regulation
(E.U.) No. 596/2014, as it forms part of U.K. domestic law under the European
Union (Withdrawal) Act 2018, as amended. Upon the publication of this
announcement via a regulatory information service, this information is
considered to be in the public domain.

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