Surge Battery Metals Inc. is pleased to announce that the company has contracted M3 Engineering and Technology Corporation (M3 Engineering) of Tucson, Arizona, a recognized leader in the lithium claystone space, as the lead engineering firm to produce a Preliminary Economic Assessment (PEA) and accompanying NI 43-101 technical report on its Nevada North Lithium Project (NNLP).
The results of the NNLP PEA are scheduled to be announced by the end of Q4 in 2024 and are expected to be based on an updated lithium resource estimate following the 2024 spring drill program. Dr. Bruce Davis has prepared an initial inferred resource estimate of 4.67 Mt LCE at an average grade of 2,839 ppm Li at a 1,250 ppm Li cutoff, (See news release of April 30, 2024).
Supporting M3 Engineering on the NNLP PEA will be Independent Mining Consultants Inc. (IMC) of Tucson, Arizona for the mining engineering section. The mine design by IMC is anticipated to be based on open pit truck/shovel methods that will minimize the stripping ratio while maximizing grades being mined from the pit.
Metallurgical modelling will be built on the flowsheet being developed at Kemetco that uses a well-established process to obtain optimal lithium extraction and production of high purity lithium carbonate. Initial testing demonstrated that the flowsheet produced lithium carbonate purity exceeding 99% without any refinement (See news release of April 9, 2024). Further test work is under way to optimize the process trials to date and to advance to the additional purification steps that we anticipate will yield 99.9% purity, designed to meet battery-quality specifications.
To guide Surge in the process, the Company has engaged Graham Ballachey, a professional engineer with significant Nevada lithium claystone experience, to serve as Project Owner's Engineer for the NNLP PEA.
Mr. Greg Reimer, Chief Executive Officer, and Director commented, "M3 Engineering is a world-class engineering firm with exactly the type of lithium claystone experience that Surge was looking for in a lead firm. The combination of M3 Engineering with IMC and Kemetco is a team that we believe will deliver a PEA that will not only estimate the potential economics of the NNLP but will bring with it the real-world understanding and confidence these firms and professionals provide. We look forward to commencing the work required to achieve this very important milestone and to announcing the results by the end of the year."
Qualified Person as Defined Under National Instrument 43-101
Alan J. Morris, MSc, CPG of Spring Creek, Nevada, a Qualified Person as defined under National Instrument 43-101, has reviewed and approved the technical aspects of this news release.