Argosy Minerals has made significant progress with its energy infrastructure to power its Rincon lithium project in Salta Province, Argentina.
Argosy said Salta Electricity Distribution Company completed detailed engineering and feasibility works on the medium voltage line for the development of energy infrastructure that can supply up to 40MW for Rincon.
The voltage line would be able to deliver a reliable 33kV power connection to the Rincon project from the Argentina national power grid.
The 8.6 km medium-voltage transmission line would link the Rincon site to the national grid through a substation adjacent to the 208MW Altiplano solar facility.
Once operational, the new infrastructure will provide secure national grid supplied energy capable of supporting the planned 12,000 t/y lithium operation.
Following completion of the feasibility work, the project now moves into a competitive tender process for construction of the transmission line and associated transformer station.
Argosy is engaging with local renewable energy providers to establish power purchase agreement to ensure sustainable and cost-efficient energy supply to the Rincon project.
Argosy expects the use of reliable grid-based power will reduce operational costs, strengthen project economics and minimise the need for costly on-site diesel power generation.
Argosy Managing Director Jerko Zuvela said: “Completing the detailed engineering works for the medium voltage line project and securing strategic access to national grid power marks a significant milestone for the development of our 12,000tpa Rincon lithium project and positive progress toward finalising the feasibility works.
“Completing the MVL project will provide a major cost saving-advantage, given access to energy is the key barrier to entry for many lithium projects, where such infrastructure and access to grid power is lacking in the NW region of Argentina.”
The company is coordinating the infrastructure programme alongside neighbouring developments, including Rio Tinto’s Rincon project.
Argosy envisages both companies to build parallel transmission lines to connect to the Altiplano sub-station site and onto the national power grid.
