Critical Metals to release new DFS for Austrian lithium project in Q1 2025

US-listed lithium exploration and development company Critical Metals has announced that it expects to release a new definitive feasibility study for its wholly-owned Wolfsberg lithium project in Austria during the first quarter of 2025.

Critical Metals is a joint venture between Australia-listed miner European Lithium and US special purpose acquisition company Sizzle.

Released in March 2023, the previous DFS for the project, comprising a mine, a concentrator, and a hydrometallurgical plant, envisaged an average annual mine production rate of 780,000 mt/year of lithium spodumene concentrate over a 15-year mine life.

Wolfsberg's annual production of battery-grade lithium hydroxide monohydrate was projected at 8,800 mt/year.

Having recently secured approval to begin exploratory drilling at Wolfsberg's Zone 2 area, the company is anticipating a significant upgrade to the project's potential output.

According to the company's latest presentation released in May 2024, advanced drilling at Zone 2 could double the project's total resource and extend the expected mine life beyond 20 years.

"With the recent approval for Zone 2 drilling at the Wolfsberg project, we are excited to further enhance the upside potential of this transformational lithium asset for our stakeholders," CEO Tony Sage said in a news release.

In June 2024, the project received $15 million in funding from automaker and offtake partner BMW.

Under the terms of binding agreement signed between the two parties in December 2022, the project will supply BMW with 50,000 mt of battery-grade lithium hydroxide, with 5,000 mt to be delivered during the first year of production and 9,000 mt to be supplied each year thereafter.

Platts, part of S&P Global Commodity Insights, assessed lithium hydroxide at $9,500/mt CIF Europe Nov. 14, down 66% from the price assessment's launch on Oct. 16, 2023.