Tag Archives: MGX Minerals

MGX and Eureka JV to speed up petrolithium recovery technology developments

MGX Minerals and Eureka Resources say they have entered into a joint venture (JV) agreement that could see the world’s first commercial rapid petrolithium recovery system installed in Pennsylvania, in the US.

The newly formed JV will initially focus on fast tracking deployment of the commercial system at Eureka’s Standing Stone advanced wastewater treatment facility near Towanda. The JV is working to commission the system in the September quarter.

Eureka’s Standing Stone facility (pictured), which originally opened in 2013, provides regional energy producers with advanced wastewater treatment services for raw oil and gas brines. Post-concentration, lithium values in the range of 1,000 parts per million have been reported by Eureka and verified by MGX from produced water from within the Marcellus Shale, the companies said.

MGX says it has developed a rapid lithium extraction technology that eliminates or greatly reduces the physical footprint and investment needed for large, multi-phase, lake-sized, lined evaporation ponds. The technology enhances the quality of lithium extraction and recovery across a complex range of brines as compared with traditional solar evaporation and is applicable to oil and gas produced water, natural brine, lithium-rich mine brine and industrial plant wastewater, it said.

“MGX may use its petrolithium technology for lithium and other valued products production without first establishing mineral reserves supported by an independent technical report or completing a feasibility study,” the company said. “A production decision without the benefit of a technical report independently establishing mineral resources or reserves and any feasibility study demonstrating economic and technical viability creates increased uncertainty and heightens economic and technical risks of failure. Historically, such projects have a much higher risk of economic or technical failure.”

In addition to the initial system installation at Standing Stone, the JV has also outlined a growth strategy that focuses on growing lithium output and deploying additional rapid recovery systems throughout the Marcellus and Utica shale formations, the companies said.

“This includes scaling up lithium output at Standing Stone, deploying additional systems to other Eureka facilities, and identifying new installation sites at third-party treatment facilities.”

Eureka shall retain exclusive rights to develop all JV relationships with third-party facilities within the Marcellus and Utica shall formations for an initial period of five years, as part of the agreement, while both parties will have mutual discretion to further extend the JV for up to four additional years thereafter.

Terms of the JV provide that MGX will initially receive a disproportionate share of gross revenue proceeds until its petrolithium unit capital costs are recovered.

Eureka will obtain and manage all necessary environmental permits related to each system installation as well as day-to-day operational duties. MGX will fabricate and install each system, market the petrolithium, and provide ongoing system maintenance.

MGX and PurLucid deploy second advanced wastewater treatment system at oilsands facility

MGX Minerals and engineering partner PurLucid Treatment Solutions have reported a second deployment of an advanced wastewater treatment system is near completion and commissioning is expected shortly.

The system is capable of processing up to 10 m³/h and will significantly reduce greenhouse gases through energy savings on steam generation, according to MGX.

“The technology provides superior treatment outcomes when compared to conventional technology which requires offsite trucking and high cost (due to toxicity) disposal,” MGX said, adding the technology can treat the water in line, under temperature and pressure, without cooling water first. This is a paradigm shift advancement in waste water management and oilsands operations, according to the company.

“This will result in significantly less energy use for water treatment, reduction in greenhouse gases and also eliminate a major operational challenge of a steam assisted gravity drainage facility – heat exchanger fouling.

Mobilisation of a third system, capable of processing 10 m³/h to extract lithium from brine, is also being finalised, MGX said. This lithium can be extracted by the technology once the water is cleaned of oil and bitumen as result of the front-end water treatment system processing. Commencement of lithium extraction will occur as this customer comes online.

MGX’s rapid lithium extraction technology eliminates or greatly reduces the physical footprint and investment in large, multi-phase, lake-sized, lined evaporation ponds, as well as enhances the quality of extraction and recovery across a complex range of brines as compared with traditional solar evaporation, the company says.

It is applicable to petrolithium (oil and gas wastewater), natural brine, and other brine sources such as a lithium-rich mine and industrial plant wastewater.

Back in August, after several successful pilot test results, the company signed up Hatch to advise it on the scaling up of its technology in the western US.

PurLucid’s exclusively licensed and patented nanoflotation technology, meanwhile, is designed specifically for oil field environments, separating impurities from oil and gas wastewater and producing clean water as a final product.

Last month, the two companies reported successful commissioning of their commercial scale 5 m³/h system.

 

MGX gears up for lithium extraction testing in Alberta oil sands

MGX Minerals has moved a step closer to its goal of extracting lithium from oil and gas wastewater with the announcement that its engineering partner has delivered the first treatment system to a facility north of Edmonton, Canada.

The commercial-scale 750 bbl/d advanced wastewater treatment system, delivered by MGX’s engineering partner PurLucid Treatment Solutions, is currently in the final phase of electrical connection and will be in operation shortly, the company said.

MGX and PurLucid expect to begin processing concentrated evaporator blowdown wastewater under an existing agreement with an oil sands steam assisted gravity drainage (SAGD) operator in early November. Shortly after, they expect to start processing additional wastewater containing lithium from a second oil sands SAGD operator.

MGX’s rapid lithium extraction technology eliminates or greatly reduces the physical footprint and investment in large, multi-phase, lake-sized, lined evaporation ponds, as well as enhances the quality of extraction and recovery across a complex range of brines as compared with traditional solar evaporation, the company says.

It is applicable to petrolithium (oil and gas wastewater), natural brine, and other brine sources such as a lithium-rich mine and industrial plant wastewater.

Back in August, after a number of successful pilot test results, the company signed up Hatch to advise it on the scaling up of its technology in the western US.

PurLucid’s exclusively licensed and patented nanoflotation technology, meanwhile, is designed specifically for oil field environments, separating impurities from oil and gas wastewater and producing clean water as a final product.

The brines from the SAGD operations will be processed for lithium recovery, wastewater purification and disposal of residuals, MGX said.

The delivery of this latest system has been aided by government funding.

PurLucid was awarded a non-repayable contribution totalling up to C$8.2 million ($6.3 million) in government funding to support the commercialisation of a low energy water treatment system for the oil and gas industry.

This has enabled the company to develop the commercial-scale system now on site in Canada and also bring a second 1,500 bbl/d system to “near completion” at PurLucid’s manufacturing facility in Calgary, Alberta, according to MGX.

This second facility is expected to be deployed in approximately 60 days with additional wastewater and mineral extraction systems to rapidly follow throughout 2019-2020, MGX said.

Jared Lazerson, MGX President and CEO, said: “The combination of cleaning wastewater and extracting minerals sets the stage for a bright future for MGX as we move into the revenue phase of our growth cycle with this globally applicable, low capital intensive, and most importantly, scalable technology.”