Snow Lake to consider DSO for Thompson Brothers lithium project

Having recently restructured its board, Snow Lake Lithium (NASDAQ:LITM) is planning to fast track production at its Thompson Brothers lithium project in northern Manitoba. Commissioning a preliminary economic assessment (PEA) which will examine a staged development that includes the direct shipping of ore (DSO) is the first step.

The advantage of a DSO operation is that the mine can generate a cash flow before the company goes to the expense of building a concentrator.

So far Snow Lake has outlined an indicated resource of 9.1 million tonnes grading 1.00% lithium oxide (Li₂O) and an inferred resource of 2.0 million tonnes at 0.98% Li₂O, using a 0.3% cut-off grade. The company suggests that a mine could produce 160,000 t/y of 6% lithium concentrate over eight to 10 years.

The company completed 22,000 metres of drilling last year at the property. When these results from last year’s drilling are factored in, expect the resource to increase.

Nachum Labkowski, Snow Lake chairman, said that the company is committed to near term production and cash flow using conventional truck and shovel open pit mining methods. Further updates are planned as the project moves forward.

More information is posted at www.SnowLakeLithium.com.