The Elements of Innovation Discovered
The Elements of Innovation Discovered
Metal Tech News - April 15, 2024
Ioneer's Rhyolite Ridge lithium-boron mine project is found in the high-desert about 65 miles southwest of Tonopah, Nevada.
Ioneer has invested $2.5 million into Tiehm's buckwheat conservation and has a greenhouse dedicated to growing this endangered plant.
Once in operation, the proposed Rhyolite Ridge processing plant will produce enough battery-grade lithium for 370,000 electric vehicles per year.
Marking a major milestone on the path toward a domestic supply of lithium for nearly 370,000 electric vehicles per year, the U.S. Bureau of Land Management has finalized a draft environmental impact statement (EIS) for developing a mine at Ioneer Ltd.'s Rhyolite Ridge lithium-boron project in Nevada.
"This news sets a clear path forward to construction and brings us one step closer to making Rhyolite Ridge a reality," said Ioneer Managing Director Bernard Rowe. "Rhyolite Ridge will be a significant, reliable and sustainable source of critical minerals for the United States."
Ioneer's path to producing lithium and boron at Rhyolite Ridge was made longer due to revisions to the company's mining plans to avoid critical habitat for Tiehm's buckwheat, a desert flower that was declared endangered by the U.S. Fish and Wildlife Service in 2023.
To minimize direct and indirect impacts on Tiehm's buckwheat, Ioneer relocated certain aspects of its proposed mining operation, such as where it would quarry rock for infrastructure and store dirt that must be removed to reach the lithium-rich ore.
Ioneer has invested $2.5 million into Tiehm's buckwheat conservation and has a greenhouse dedicated to growing this endangered plant.
Knowing that Tiehm's buckwheat would likely be listed as endangered and supporting that decision, Ioneer submitted its critical habitat avoidance plan to BLM in 2022.
The mining company has also voluntarily invested $2.5 million in conservation efforts and committed an additional $1 million annually to ensure the plant and its surrounding habitat are protected. Ioneer also has a greenhouse dedicated to growing seedlings of the endangered plant for transplant.
The draft EIS, to be published for a 45-day public comment period by BLM on Friday, is based on this revised plan for Rhyolite Ridge.
"The Biden-Harris administration understands the important role mining will continue to play in the modern economy and the growing need for responsibly sourced critical minerals to meet our climate, infrastructure, and global competitiveness goals," said Steve Feldgus, principal deputy assistant secretary for land and minerals management at the U.S. Department of the Interior.
The mining operation proposed in the draft EIS for Rhyolite Ridge aims to strike a balance between protecting the local environment and providing a domestic source of lithium critical to the nation's climate goals.
"Federal agencies cooperating to solve issues efficiently while protecting vulnerable species and other irreplaceable resources is exactly how we will need to move forward if we're going to produce these critical minerals in the United States," said Feldgus.
Situated about 200 road miles southeast of the Tesla Gigafactory Nevada, Rhyolite Ridge is slated to produce enough battery-grade lithium hydroxide for nearly 10 million EVs, along with significant quantities of boric acid needed for key climate technologies, over the initial 26 years of mining detailed in a 2020 feasibility study.
"Rhyolite Ridge will help accelerate the electric vehicle transition and secure a cleaner future for our children and grandchildren," said Ioneer Executive Chairman James Calaway.
The sale of boric acid as a byproduct will help lower the costs of producing battery-grade lithium, which is expected to result in the Nevada mine and processing facility being both a reliable and low-cost domestic supplier of this metal critical to the energy transition.
This played into the U.S. Department of Energy's decision to offer Ioneer a loan of up to $700 million to help finance development of the mine that is currently being permitted for Rhyolite Ridge.
"Rhyolite Ridge is a major step towards bolstering domestic lithium production for clean energy technologies, and LPO is excited to further develop an environmentally responsible U.S. supply chain for critical materials," Jigar Shah, director of DOE's Loans Program Office, said in early 2023.
The $700 million from the federal government is contingent on the financial participation of Sibanye-Stillwater Ltd., a mining company best known for its platinum group metals mines in Montana and South Africa. In 2021, the critical minerals-focused mining company agreed to invest $490 million into Rhyolite Ridge to earn a 50% JV interest in the lithium project.
"Rhyolite Ridge is a world-class lithium project which is ideally positioned to provide locally mined and beneficiated metals to further develop the U.S. battery ecosystem," Sibanye-Stillwater CEO Neal Froneman said last year. "The proposed loan represents a significant step towards further de-risking funding and ultimately progressing Rhyolite Ridge to production."
Once in operation, the proposed Rhyolite Ridge processing plant will produce enough battery-grade lithium for 370,000 electric vehicles per year.
While the completion of the draft EIS marks a major milestone for Rhyolite Ridge, a few permitting benchmarks remain before construction can begin at the lithium-boron mine project.
This begins with BLM collecting comments from tribal, state, and local governments, along with national and local stakeholders on the mine proposed in the draft EIS.
"This draft analysis is the result of strong engagement and work with the proponent, tribal nations, state and local governments, and our agency partners," said BLM Nevada State Director Jon Raby. "We know the importance of responsible mineral development in Nevada, and we look forward to hearing the public's feedback on this draft assessment."
The federal land manager will then take the input collected during the public comment period, currently slated for completion in early June, and incorporate that in a final EIS.
BLM's record of decision associated with the final EIS, which will mark the completion of federal permitting for Rhyolite Ridge, is currently slated for completion in October.
"The forthcoming release of the draft EIS represents six years of hard work to help build America's critical minerals supply chain and reaffirms the viability of our investment in Nevada," said Calaway. "As we move through the final steps in the federal permitting process, Ioneer will keep working to ensure this world-class project will operate efficiently and sustainably."
With a positive permitting decision in October, Ioneer anticipates producing lithium and boron at Rhyolite Ridge in 2027.
With more than 16 years of covering mining, Shane is renowned for his insights and and in-depth analysis of mining, mineral exploration and technology metals.
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