MGX Minerals Inc. is partnering with Light Metals International Inc. and Orion Laboratories LLC to develop and commercialize a new process for extracting hard-rock lithium from spodumene concentrate.
Under a letter of intent, MGX will provide a 10-kilogram sample of spodumene-rich rock from its Case Lake lithium project in Ontario to James Blencoe, who leads both Orion and Light Metals.
Light Metals has developed a thermochemical technology to rapidly manufacture lithium carbonate and lithium hydroxide from a variety of spodumene concentrates. The method removes the use of conventional sulfuric acid leaching and is scalable.
MGX will acquire an initial 50% interest in the technology by paying US$250,000 and issuing 100,000 common shares, it said March 8. The company will then issue a further 250,000 shares upon completion of laboratory testing.
Upon successful development and testing of a modular manufacturing plant, MGX will need to issue an additional 500,000 shares to create a joint venture with a 70% interest.
MGX can acquire an undivided 100% interest in the joint venture at any time for C$10 million.
