Century Lithium Relocates Plant, Highlights Sulfur Price Resilience
Event summary
- Century Lithium is relocating its Demonstration Plant to Tonopah, Nevada, targeting commissioning in H2 2026.
- The company’s chlor-alkali process, using salt-based reagents, avoids exposure to rising sulfur and sulfuric acid prices.
- The 2026 Feasibility Study projects an NPV of US$4.01 billion and average operating costs of US$4,389/t of lithium carbonate.
- The relocated plant will conduct metallurgical testing on claystone zones 1 and 2, and evaluate improvements to DLE and lithium carbonate/hydroxide production.
The big picture
Century Lithium’s integrated chlor-alkali process represents a strategic divergence from the dominant lithium extraction methods, offering a potential hedge against volatile sulfur markets. The relocation of the Demonstration Plant is a tangible step towards validating this approach and showcasing its benefits to potential investors and government agencies. The company’s focus on domestically sourced reagents and co-product sales positions it favorably amidst ongoing supply chain disruptions and rising input costs within the broader lithium industry.
What we're watching
- Execution Risk
- The successful commissioning of the relocated Demonstration Plant and subsequent metallurgical testing will be critical to validating Century Lithium’s process and cost projections.
- Sulfur Market
- The sustainability of sulfur price increases and their impact on competitors relying on sulfuric acid-based processes will dictate Century Lithium’s competitive advantage.
- Funding Opportunities
- Century Lithium’s ability to secure federal critical-mineral funding and potentially recover additional elements from leach solutions will significantly impact project economics.
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