Zinnwald inks mine development deal with Epiroc

1st Nov 2022 16:36

(Sharecast News) - Germany-focussed lithium developer Zinnwald has signed a memorandum of understanding with Epiroc Rock Drills, it announced on Tuesday, to collaborate in the development of a "state-of-the-art mine" at its wholly-owned Zinnwald lithium project.

The AIM-traded firm described the Sweden-based Epiroc as a "leading productivity and sustainability partner" for the mining and infrastructure industries.

Under the terms of the non-binding memorandum, Zinnwald and Epiroc would develop plans to implement "high-end technology" and deliver a low-cost mining operation focussed on minimising carbon dioxide emission.

It said that with an approved mining licence, the project was designed to be a long-life underground lithium mine with associated processing facilities, enabling the company to become an "important local supplier" of battery-grade lithium hydroxide to the European battery sector.

"Our vision is to build a world-leading, highly economic mine that adheres to the highest environmental standards," said chief executive officer Anton du Plessis.

"Attracting Epiroc as a partner, which shares this ethos and brings with it considerable experience and technology, is a further step towards achieving this goal.

"By optimising mine design and material flow for electrification and automation, our joint focus is on fossil free exploration and mining, sustainability, and circular economy, including the use of battery-operated underground mining equipment as well as loading and haulage machinery."

At 1616 GMT, shares in Zinnwald Lithium were up 0.24% at 8.27p.

Reporting by Josh White for Sharecast.com.