Grids

Reed Resources? lithium production gets the green light at Mt Marion

Lithium production is due to commence in early 2011 at Reed Resources’ (ASX: RDR) Mt Marion project in Western Australia after the company received the official “Commencement of Operations” notice from its joint venture partner, Mineral Resources Ltd on Friday.

An initial production rate of 200,000 tonnes per annum will make the operation the second largest hard rock lithium mine in the world allowing the companies to capitalise on the expected surge in demand for lithium batteries as electric vehicles are introduced.

“This project will ensure both Reed and Mineral Resources can become major participants in the world lithium market. The ability to produce high quality lithium concentrates with access to existing infrastructure, rapid definition of the resource potential, low strip ratio, and the Project’s close proximity to Kalgoorlie enabled the JV partners to reach this milestone very efficiently,” said Reed Resources Ltd Managing Director, Mr Chris Reed.

The joint venture partners also agreed to expand the scope of their agreement by including potential by-products of mica, tantalum and potash feldspars.

www.reedresources.com