Lycopodium named EPCM contractor for Liontown’s Kathleen Valley lithium project

Lycopodium Minerals, a subsidiary of Lycopodium Limited, has been appointed to complete the engineering, procurement and construction management (EPCM) and commissioning services for the delivery of the Kathleen Valley lithium project, in Western Australia, for Liontown Resources.

The project is on the western edge of the Norseman-Wiluna Greenstone Belt, about 60 km north of Leinster, and 680 km northeast of Perth. It is considered a Tier 1 battery metals asset with excellent grade and scale in one of the world’s premier mining districts.

Having initially undertaken the prefeasibility study (PFS) update for the project, followed by value engineering assessments and subsequently the definitive feasibility study and front end engineering design (FEED) services, Lycopodium now has the opportunity to manage the project through the EPCM delivery phase.

Kathleen Valley is one of the world’s largest and highest-grade hard-rock lithium deposits and, with an initial 2.5 Mt/y production capacity, it is expected to supply circa-500,000 t/y of 6% lithium oxide concentrate. With first production expected in June quarter of 2024, the deposit will also produce tantalum pentoxide.

Mining will predominately be underground, allowing direct access to higher grade mineralisation while minimising waste and the environmental footprint of the project, with mined ore processed through a whole of ore flotation circuit.

Lycopodium will provide the engineering design, procurement of equipment and materials, and the construction management, pre-operational testing and commissioning services for the processing facilities and associated non-process infrastructure at Kathleen Valley, with the contract valued at approximately A$35 million ($24 million).

Lycopodium Limited’s Managing Director, Peter De Leo, said: “Kathleen Valley is a lithium project of global significance that will supply vital battery minerals to the burgeoning electric vehicle and energy storage industries. As we move towards a renewable energy future, the award of this project further strengthens our position as a premier partner in the delivery of lithium projects, and we thank Liontown for the opportunity to partner with them on this important project.”

Liontown says first production from Kathleen Valley could occur in the June quarter of 2024.