December 17, 2010 / 3:55 PM / in 8 years

UPDATE 1-Canada Lithium to start production at Quebec in 2013

* Says to start construction in 2011

* Sees initial cost of $202 mln

* Says to produce 44 mln pounds a year

Dec 17 (Reuters) - Canada Lithium Corp (CLQ.TO) said it expects to start full production at its Quebec Lithium Project in 2013, sending its shares up 5 percent.

The junior miner, which received positive results from a feasibility study at the mine, expects to start construction in mid-2011 and commission it by the end of 2012.

Life-of-mine revenue for Stage 1 is estimated at $1.78 billion and initial capital costs are seen at $202 million.

The project, which will consist of an open-pit mine and a processing plant, is expected to produce over 44 million pounds of battery-grade lithium a year.

Demand for lithium, a key component in rechargeable batteries, is expected to skyrocket in coming years as automakers gear up to produce more hybrid and electric vehicles. [ID:nN21149393]

The Toronto-based company’s shares were trading up 2 percent at C$1.25 on Friday morning on the Toronto Stock Exchange. They touched a high of C$1.28 earlier in the session. (Reporting by Arnika Thakur in Bangalore; Editing by Don Sebastian)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below