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Century Lithium and Orica sign sodium hydroxide supply-focused MoU

Posted on 21 Jan 2025

Century Lithium says it has signed a non-binding memorandum of understanding (MoU) with Orica Specialty Mining Chemicals to outline the intent of the companies to formalise a multi-year offtake agreement for Orica to purchase sodium hydroxide (NaOH) from Century Lithium’s wholly-owned Angel Island project near Silver Peak, Nevada.

Orica is a leading mining and infrastructure solutions provider, and a major US manufacturer and supplier of specialty mining chemicals to Nevada’s mining industry.

“The non-binding MoU with Orica marks a key milestone for Angel Island,” Century Lithium President and CEO, Bill Willoughby, said. “The MoU outlines the first expected agreement of its kind for the project and involves a large portion of the surplus sodium hydroxide anticipated during the early years of operation. We are excited to work with Orica and have their support at this stage of development at Angel Island.”

Orica President Specialty Mining Chemicals, Andrew Stewart, said: “This collaboration signifies our commitment to strengthening and unlocking Nevada’s manufacturing and mining sectors. By securing a reliable source of sodium hydroxide from Angel Island, we strengthen the local supply chain and reinforce our dedication to innovative US manufacturing solutions for our customers in North America.”

Century Lithium patent-pending process for extracting lithium from the claystone at Angel Island combines chloride leaching with direct lithium extraction and uses salt, in the form of solid sodium chloride or saline brine, to make the reagents for leaching and pH control. In addition to lithium, the process produces surplus sodium hydroxide, the sales of which are anticipated to underpin low operating costs for Angel Island’s primary product, lithium carbonate.

The MoU envisages Century Lithium providing Orica with membrane-grade sodium hydroxide (NaOH) over an initial five-year term, with right of first offer for an additional five years.