The Bougouni Lithium Project in Mali sets to commence production in Q4 2024

On 26 March, Kodal Minerals announced significant advancements in the development of its Bougouni Lithium Project in southern Mali, following a funding transaction with Chinese miner Hainan Mining amounting to US$117.75 million which secures a 51% stake in Kodal Mining.
Key updates of the project include the establishment of a management team, confirmation of a US$65 million capital expenditure estimate for Stage 1 development using a dense media separation (DMS) approach, ordering of critical DMS units and crushing modules, and finalising a mining contract with a Chinese-Malian consortium. The project, fully financed for Stage 1 with all necessary permits, is on track to commence production in Q4 2024, with a Stage 1 production target at 125,000 - 130,000 tonnes of spodumene concentrate per annum, and operating costs at US$647 per tonne of concentrate produced.
Hainan Mining will then convert the produced spodumene concentrate into lithium hydroxide in a Chinese converter that is expected to commence commissioning in H1 2024. In late Feburary this year, Hainan Mining told Chinese news outlets that this project would be expected to start contributing to the company’s earnings in 2025. According to the company website, 4 employees will be dispatched to Mali to facilitate the operation, and the company is committed to actively support the local community development.