In short

Net Present Value:

$1.66 B

$12000/t LCE pricing. After-tax, 8% Discount rate, 30% Smackover + 100% SWA

Resource Estimate:

0.9 Mt

LCE, Measured & Indicated, 30% Smackover + 100% SWA

Stage:

PEA

Completed

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Lithium project:

Smackover

Arkansas, USA

Project Summary

Net Present Value

$0.22 B

$12000/t LCE pricing. After-tax, 8% Discount rate, 30% ownership

Resource Estimate

0.9 Mt

LCE, Measured & Indicated, 30% ow

Completed Stage:

PEA

Location: Arkansas, USA
Completed Stage: PEA
Next Stage: PFS
Deposit type: Brine DLE

Website: Standardlithium.com

Company description

By leveraging the existing infrastructure and operational expertise of the largest brine processing facilities in North America, Standard Lithium is leading a new wave of U.S. lithium production. Utilizing proprietary advanced processing technologies and strategic partnerships, the company believes new lithium production can be achieved quickly and more cost effectively.

The Company’s flagship project, the 150,000+ acre “Lanxess Project”, is located in the prolific and productive Smackover brine region of southern Arkansas. By securing access to the strategic resource through agreements with the region’s largest commercial brine operator, Standard Lithium plans to leverage the extensive existing infrastructure and permits, to fast-track the projects’ development timelines.

Key takeaways:

1. Strategic partner with speciality chemical company LANXESS AG

Under the proposed terms of the joint venture, LANXESS would contribute lithium extraction rights and grant access to its existing infrastructure to the joint venture, and Standard Lithium would contribute existing rights and leases held in the Smackover Formation and the pilot plant being developed on the Property, as well as its proprietary extraction processes including all relevant intellectual property rights. Upon proof of concept, LANXESS is prepared to provide funding to the joint venture to allow for commercial development of the future commercial project, and it is anticipated that the joint venture will include options for Standard Lithium to participate in project funding on similar terms.

2. Patented DLE technology

Proprietary “LiSTR” Direct Lithium Extraction Technology – faster, more efficient with higher recoveries than evaporation ponds.

Resources & Reserves
(Graph represents 100% of the Smackover project, SLL owns 30%)

Resources

Reserves

Project Economics

Figures represents 100% of the Smackover project, SLL owns 30%

Initial capital costs

$437M

After-tax IRR

29.4%

$12000/t LCE pricing, 8% Discount rate

Operating Cost

$4319/t

LCE,

Ownership

30%

Of the Smackover project

Sensitivity Analysis - Forecasted Pricing

(Figures represent 100% of the project, SLI ownership: 30%)
Forecasted LCE pricing After-tax NPV(8%) After-tax IRR
$10,840/t
$0.56 B
24.5%
$12,000/t
$0.75 B *
29.4%*
$13,550/t
$0.99 B
36%

Lithium project:

South-West Arkansas

Arkansas, USA

Project Summary

Net Present Value

$1.44 B

$12000/t LCE pricing. After-tax, 8% Discount rate, 100% ownership

Resource Estimate

0 Mt

LCE, Measured & Indicated, 30% ow

Completed Stage:

PEA

Project Economics

Initial capital costs

$870M

After-tax IRR

<27.6%

$12000/t LCE pricing, 8% Discount rate

Operating Cost

$2599/t

LCE,

Ownership

100%

Of the SWA project

Sensitivity Analysis - Forecasted Pricing

Forecasted LCE pricing After-tax NPV(8%) After-tax IRR
$12,000/t
$1.44 B*
<27.6%
$12,500/t
$1.54
27.6%
$13,500/t
$1.76 B
29.9%

Standard Lithium: $SLL Current valuation

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Company financials

Debt

$12 M CAD

Sep 20, 2020

Cash & Cash eq

$3.2 M CAD

Sep 20, 2020
includes Assets up for sale

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