Dexin Mining Resources Limited (DEX) is a junior mining company focused on the acquisition, development and mining of mineral resource properties in China. The principle asset currently is a 100% interest in Lijiagou Lithium Mine, the largest and highest grade primary lithium reserve in China. A final bankable feasibility study for Lijiagou Lithium Project has completed and production of low cost lithium ore from the mine could commence as early as Q2/2005 at a rate of 150,000 tonnes/year representing approximately 30% of China’s supply.
Lijiagou Lithium Mine, discovered in 1956 and explored between 1956 and 2002, is located in the northwestern of Sichuan province, China. It is one of the largest lithium deposit in Asia, with reserves of 8.02 million tones of 1.41% lithium oxide (Li2O) in the form of Spodumene, representing 45% of China’s total estimated reserves.
DEX is poised to become a principle primary producer in China of lithium ore. Based on a feasibility study completed in 2002, DMR is expected to produce 24,000 tonnes of Lithium concentrates (Li2O, grades >5.6% and =7.0%), 10.39 tonnes of Niobium-Tantalum concentrates (Nb2O5-Ta2O5) and 49.5 tonnes of Beryllium concentrate (BeO) which represents C$ 3.86 million annual revenue. Thanks to the excellent supply/demand fundamentals, we expect prices to remain robust for several years.
