According to Mining News Pro - Pilbara Minerals on Tuesday said that the $15-million working capital facility and foreign exchange facility will support prudent risk and capital management
during the company’s growth phase, coinciding with the commissioning
and ramp-up phases for Stage 1 of the Pilgangoora lithium/tantalum project, and the proposed Stage 2 expansion project.
We welcome the relationship with BNP Paribas, one of the leading metals and mining banks. BNP Paribas’ offer to Pilbara Minerals
for the provision of the working capital and foreign exchange hedging
facilities was competitively priced and demonstrates their strong
commitment to developing a long-term partnership with the company in
support of its growth ambitions,” said Pilbara MD and CEO Ken Brinsden.
Pilbara on Tuesday reported that the commissioning of the Stage 1
concentrator was progressing into the ramp-up of fines concentrates
production for customer delivery.
The company noted that product
specifications for both fines spodumene concentrate and primary
tantalite concentrates were now consistent with saleable specifications,
marking the achievement of another key milestone following the start of
plant commissioning two months ago.
“Once the installed Stage 1 plant capacity has been fully ramped up
to an annual production rate of approximately 45 000 t/y on a lithium
carbonate equivalent basis, the Pilgangoora site will already be one of
the world’s largest lithium raw material mines.
“That’s before we embark on the expected five-million tonne a year, Stage 2 expansion project,” Brinsden said.
“With our focus now shifting from commissioning the Stage 1
concentrator to the ramp-up of production towards steady-state levels,
we have booked our first shipment from mid-September, which will mark
another huge milestone for everyone involved in the project.
“From there, concentrate production should continue to increase each
month, reaching designed plant tonnage throughput by the end of the
calendar year.”
Meanwhile, in addition to the facilities with BNP Paribas,
Pilbara on Tuesday confirmed the indicative commitment from NAIF for a
A$19.5-million loan facility to assist in funding the upgrade of the
Pippingarra road, connecting the Pilgangoora project to port infrastructure in Port Hedland.
Brinsden said that the NAIF loan will enable Pilbara to improve the operations of the project by allowing increased haulage payloads via larger trailer configurations to Port Hedland port, to deliver product to market. It will also facilitate the Pilgangoora project’s expansion, particularly the Stage 2 expansion.
The NAIF concessional loan is subject to final documentation and
customary conditions precedent to drawdown, including final sign-off
from the Western Australian state government.