Power Minerals (ASX:PNN) advances Incahuasi Lithium Project with conceptual development study

Power Minerals has taken a substantive technical step at its Incahuasi Lithium Project in Argentina, with the delivery of a Conceptual Development Study that sets out a framework for a 5,000 tonne per annum lithium carbonate operation.

The document concludes that the project is technically viable at this stage and ready to progress to the prefeasibility stage, placing it on a clearer development pathway within the company’s broader Salta Lithium Project.

Highlights

• Conceptual Development Study confirms the Incahuasi Project’s technical viability.

• Study defines a development pathway for a 5,000 tpa operation producing lithium carbonate at 99.95 per cent purity over a 20 year life.

• Based on JORC 2012 Measured and Indicated Resource of 235,073 tonnes LCE.

• Completed by Power Minerals and joint venture partner Summit Nanotech.

• Positions the project to advance to the prefeasibility study phase.

The study outlines a development case centred on brine extraction and on site concentration at Salar de Incahuasi, with trucking of brine concentrate to a shared direct lithium extraction facility at Pocitos for recovery and carbonation using Summit Nanotech’s denaLi technology.

The joint venture partners conducted the assessment to establish technical feasibility rather than economics, which remain subject to further engineering and cost analysis.

Underpinning the development scenario is a JORC 2012 Measured and Indicated Mineral Resource of 235,073 tonnes lithium carbonate equivalent at an average lithium concentration of 198 milligrams per litre.

This resource is based on four diamond drill holes totalling 1,041 metres, supported by extensive brine sampling and hydrostratigraphic modelling, with brine density measurements consistently exceeding 1.2 g/ml and relative brine release capacity tests confirming appropriate drainable porosity within the sediments.

The project’s hydrogeological characteristics were further examined through pump tests that indicated hydraulic conductivity of 9.5 metres per day, transmissivity estimates of approximately 3,000 cubic metres per day and well efficiency calculations supporting extraction rates of at least 20 litres per second.

These results suggest rapid brine transmission and establish parameters for future wellfield design.

Testwork formed a substantial component of the study. Evaporation trials produced a brine concentrate with 3.24 per cent lithium following impurity removal.

Bench scale direct lithium extraction tests achieved lithium recoveries of 98 per cent with high impurity rejection, while a pilot program in Chile processing 60,000 litres of raw brine delivered recoveries of 95 per cent and an eluate suitable for conversion to lithium carbonate.

The study also documents environmental and social baseline findings, noting that the Incahuasi basin exhibits lower biodiversity relative to surrounding wetlands and springs.

It further observes that communities at Tolar Grande and Pocitos have sophisticated institutional structures and clear expectations around water management, environmental monitoring and opportunities for local employment.

In summarising the study, Power Minerals‘ Managing Director Mena Habib stated:

“We are delighted with the outcomes of the Incahuasi Conceptual Development Study, one of the core assets of our Salta Lithium Project in Argentina.”

The next progression involves prefeasibility work supported by pilot evaporation ponds, further wellfield development, a DLE demonstration plant, advanced engineering and logistics analysis and additional environmental studies.

This staged advancement aligns the project with the company’s stated intention of advancing the broader Salta Lithium Project towards a future lithium carbonate production hub.

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