Australian lithium developer Lake Resources NL said on Thursday that short seller J Capital Research’s report criticizing its partner Lilac Solutions Inc’s mining technology contained “inaccurate claims” and related to the wrong process.
“The report’s description of DLE (direct lithium extraction) processes does not relate to Lilac’s ion exchange technology. It criticizes the wrong process,” said the New South Wales-based lithium miner. (https://bit.ly/3ay0R9G)
Lilac is one of the most prominent developers of DLE technologies aimed at extracting battery metal from brine using a range of equipment, although none have worked on a commercial scale.
The J Capital report described several alleged missteps by Lake management and claimed that the technology developed by Lilac is too expensive to operate and uses too much fresh water.
Lake intends to deliver lithium chemicals from its Kachi lithium project in Argentina using Lilac’s ion-exchange chemical process that can be operated with net-zero use of fresh water, said the company said in a statement.
Lake, which signed an agreement with private company Lilac last September to jointly develop the Kachi project, said Lilac’s operating team would arrive at the Kachi project site on July 14 and modules from the demonstration plant would be delivered on July 20, when commissioning begins.
Shares of Lake Resources were down 15.6% at 0.57 Australian dollars at 0024 GMT.