Zimbabwe's lithium project gathers momentum

The Arcadia Lithium Project (ALP) - which was commissioned early this year - has begun shipments of technical grade bulk samples for product qualification to offtake partners in Europe as the project gathers momentum.

Arcadia is one of the most advanced lithium projects globally, with a Definitive Feasibility Study, offtake partners and a clear pathway to production.

According to high placed sources at the mining firm, the shipments of lithium samples commenced last month.

"Arcadia completed construction of its lithium pilot plant and is sending 20 metric tonnes as a sample to the company's clients in China Sino Mine and Sibelco Belgium.

"ALP stands a chance to supply to the world's largest buyer and it is finalising an independent feasibility study. The feasibility study will unlock the US$100 million funding of a bigger project, which will see the company producing 240 000 metric tonnes ultra-ore iron per year."

Though ALP has seven-year offtake agreements in place with Sibelco in Belgium and Sinomine in China, sources say there are ongoing offtake negotiations with strategic groups from across Japan, China and Europe.

The addressable technical market in ceramics/glass for petalite is 450 000 tonnes per annum.

With the view to maximize the global supply opportunity for petalite and lithium, the Government accorded ALP, a Special Economy Zone accreditation to provide significant financial and logistical advantages.

Arcadia's SEZ status allows offshore forex banking, exemptions on withholding tax for dividends, remittances and royalties as well as customs clearance at mine site.

Zimbabwe has plans to boost mineral production in a bid to grow the mining sector into a US$12 billion industry by 2023.