This morning, Argosy Minerals Ltd [ASX:AGY] announced the undertaking of high purity lithium hydroxide (LiOH) processing works at its pilot plant — the Rincon Lithium Project.
At time of writing, Argosy Minerals share price is trading higher at 11 cents, up 1.90% from today’s open.
A week ago, AGY shares were trading 16 cents upon its offtake agreement with Mitsubishi, but it seems that investors need to see more upside potential before shares return to the heights experienced in 2018.
The LiOH and sampling testing were carried out following increased interest from the Korean battery industry.
Argosy Minerals confirms battery grade LiOH value
The ongoing chemical processing works at the pilot plant has produced a backlog of lithium carbonate product. Using this product, AGY is formulating lithium customer samples from its in-house laboratory, with processing help from AGY’s local partner.
The laboratory analysis results from the pilot plant at AGY’s Rincon Lithium Project, confirm 56.84% LiOH content value. This competes favourably with the standard of 56.5% LiOH content value needed for battery grade LiOH.
The processing results are consistent with a purity of 99.61% lithium hydroxide monohydrate, based on an industry standard indirect calculation method.
Argosy Minerals Managing Director, Jerko Zuvela, commented on the results:
‘This initial lithium hydroxide result, together with the long-standing high quality lithium carbonate processing results achieved highlights the pre-eminent chemical processing expertise within the Company. We are in the chemicals business and we continue to validate our capacity and credentials to operate in this industry.’
Argosy Minerals share price 2019 outlook
The LiOH processing works, combined with in-house sampling testing, could create great potential for a lithium hydroxide production pathway.
This, along with its lithium chemical carbonate strategy which has achieved successful chemical process solutions, could see Argosy Minerals’ share price rise further in the future.
For Money Morning
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