Anson picks proven lithium extraction tech for Paradox

Anson has executed a binding deal with lithium extraction technology provider Sunresin New Materials that could be instrumental to the development of its Paradox project.

Under the binding memorandum of understanding, the company will work with Sunresin to negotiate agreements for the construction of a full-scale commercial project using the latter’s patented and proven Direct Lithium Extraction (DLE) technology as part of a long-term strategic and commercial alliance.

Sunresin’s DLE technology has already been commercialised in four operating projects and will be used in another six under construction or under contract in China and South America with a total production capacity of 73,000 tonnes per annum.

Anson Resources (ASX:ASN) also has first-hand experience with the process, having used it successfully in Xian, China in 2020 and in 2021 using a small scale DLE pilot plant at an independent laboratory in Salt Lake City, US, to achieve a lithium recovery rate of 91.5%.

Sunresin has already concluded eight months of engineering design work for the Paradox lithium project’s Definitive Feasibility Study, which will be released in the near future.

Along with global engineering firm Worley, the company and Sunresin have developed a design for Stage 1 of the Paradox project that will integrate the DLE process and downstream equipment required to produce lithium carbonate with utilities and other inputs to operate successfully in Utah.

“We are delighted to announce the strategic partnership with Sunresin as our technology partner today,” executive chairman Bruce Richardson said.

“Sunresin’s DLE technology is the most attractive for the Paradox Lithium Project’s brine and meets our goal of producing the highest quality and cleanest lithium carbonate in the United States.”

Binding agreement

Under the binding MoU, Sunresin will provide equipment, consumables, innovations, and technical support services to Anson for the development, design, construction, operation and optimisation of its proprietary DLE technology for the production of battery-grade lithium carbonate at Paradox.

Anson will supply data related to the project, including results of the DFS when completed.

Notably, both companies will cooperate with each other at their own cost in their efforts to pursue the provision of Sunresin’s technology assistance in project development, engineering design, construction, operations and optimisation.

Anson will also have guaranteed access to Sunresin’s global supply chain of distribution centres and technical support network in Asia and Europe while Sunresin will provide technology updates, innovations and support during the life of the proposed project.

The binding MoU follows on the heels of the company reporting a 324% increase in resources at the Paradox project to 788,300t of lithium carbonate equivalent.

The DFS for the Paradox Project is expected to be released in the near future.

This article was developed in collaboration with Anson Resources, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.