DJ Cadence Minerals PLC European Metals Holdings Update
RNS Number : 2961U
Cadence Minerals PLC
11 July 2018
Cadence Minerals Plc
("Cadence Minerals", "Cadence" or "the Company")
European Metals (EMH) Cinovec Lithium Carbonate Production Modelled to Increase to 22,500 TPA
Cadence Minerals (AIM/NEX: KDNC; OTC: KDNCY) is greatly encouraged to note the results of roast optimization tests conducted by European Metals Holdings (AIM: EMH) at the Cinovec Lithium-Tin project in the Czech Republic. EMH stated today that improved recoveries have resulted in increased lithium carbonate production to 22,500tpa.
-- Average lithium carbonate production increased from 20,800 tpa to 22,500 tpa due to improved recoveries in the leach circuit of 94% being modelled.
-- Increased lithium production results in increased cash margins of approximately 10%
-- Low cost waste gypsum from local power plants now utilized as a roasting reagent is a significant positive environmental outcome for the region and a reagent cost benefit to the project.
-- Locked cycle testing and larger scale roasting technology confirmation work to commence imminently.
-- Preparation of 3 tonnes of lithium concentrate via magnetic separation for lithium carbonate pilot plant trials almost complete.
In addition, Cadence also notes comments from European Metals MD Keith Coughlan, regarding recent political developments within the Czech Republic and the imminent formation of a coalition government. The EMH board looks forward to engaging with the new Government to advance the project to the benefit of all stakeholders.
Cadence owns approximately 20% of the equity in European Metals Holdings.
The full release can be found at: https://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/EMH/13712961.html
Cadence CEO Kiran Morzaria commented: "The strategic importance of the Cinovec Lithium project as a future supply hub for the European EV industry cannot be overstated."
"That the optimisation tests conducted by European Metals are already showing a significant improvement in Lithium recovery and increased cash margins is not only great news for the EV industry but could in future help to meet any lithium supply shortfall if, as we expect, there is a sustained increase in demand."
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.
For further information:
Cadence Minerals plc +44 (0) 207 440 0647 Andrew Suckling Kiran Morzaria WH Ireland Limited (NOMAD & Broker) +44 (0) 207 220 1666 James Joyce James Sinclair-Ford Hannam & Partners LLP (Joint Broker) +44 (0) 207 907 8500 Neil Passmore Giles Fitzpatrick Square1 Consulting +44 (0) 207 929 5599 David Bick
Kiran Morzaria B.Eng. (ACSM), MBA, has reviewed and approved the information contained in this announcement. Kiran holds a Bachelor of Engineering (Industrial Geology) from the Camborne School of Mines and an MBA (Finance) from CASS Business School.
About Cadence Minerals:
Cadence is dedicated to smart investments for a greener world. The planet needs rechargeable batteries on a global scale - upcoming supersized passenger vehicles, lorries and buses - require lithium and other technology minerals to power their cells. Cadence is helping find these minerals in new places and extracting them in new ways, which will meet the demand of this burgeoning market. With over GBP30 million vested in key assets globally, Cadence is helping us reach tomorrow, today.
Cadence invests across the globe, principally in lithium mining projects. Its primary strategy is taking significant economic stakes in upstream exploration and development assets within strategic metals. We identify assets that have strategic cost advantages that are not replicable, with the aim of achieving lower quartile production costs. The combination of this approach and seeking value opportunities allows us to identify projects capable of achieving high rates of return.
The Cadence board has a blend of mining, commodity investing, fund management and deal structuring knowledge and experience, that is supported by access to key marketing, political and industry contacts. These resources are leveraged not only in our investment decisions but also in continuing support of our investments, whether it be increasing market awareness of an asset, or advising on product mix or path to production. Cadence Mineral's goal is to assist management to rapidly develop the project up the value curve and deliver excellent returns on its investments.
Certain statements in this announcement are or may be deemed to be forward-looking statements. Forward-looking statements are identi ed by their use of terms and phrases such as "believe" "could" "should" "envisage" "estimate" "intend" "may" "plan" "will" or the negative of those variations or comparable expressions including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors' current expectations and assumptions regarding the Company's future growth results of operations performance future capital and other expenditures (including the amount. nature and sources of funding thereof) competitive advantages business prospects and opportunities. Such forward-looking statements re ect the Directors' current beliefs and assumptions and are based on information currently available to the Directors. Many factors could cause actual results to differ materially from the results discussed in the forward-looking statements including risks associated with vulnerability to general economic and business conditions competition environmental and other regulatory changes actions by governmental authorities the availability of capital markets reliance on key personnel uninsured and underinsured losses and other factors many of which are beyond the control of the Company. Although any forward-looking statements contained in this announcement are based upon what the Directors believe to be reasonable assumptions. The Company cannot assure investors that actual results will be consistent with such forward-looking statements.
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(END) Dow Jones Newswires
July 11, 2018 05:09 ET (09:09 GMT)