BRISBANE, Australia — Elevra Lithium Limited, a North American lithium producer, unveiled an updated scoping study on Monday for expanding its North American Lithium (NAL) mine in Quebec, Canada, promising faster production growth and cost efficiencies. The study, released on May 12, 2026, outlines a staged development approach that could deliver additional annual concentrate production two years ahead of previous plans, while maintaining similar unit operating costs and a total capital expenditure of US$270 million.
The NAL mine, located in La Corne within the Abitibi-Témiscamingue region, was restarted in March 2023 after a period of inactivity. Currently permitted for an average annual milling rate of 4,500 tonnes per day (tpd), the facility processes hard-rock lithium ore into spodumene concentrate, a key material for lithium-ion batteries used in electric vehicles and renewable energy storage. Elevra, listed on the ASX as ELV and NASDAQ as ELVR, described the expansion as a brownfield project building on existing infrastructure.
According to the company's announcement, the updated study builds on a development sequence first published in a January 12, 2026, ASX press release titled “Accelerated NAL Expansion.” This sequence involves a series of debottlenecking steps across three stages aimed at increasing throughput to 6,500 tpd annually. The approach addresses permitting as the main constraint, allowing for quicker incremental gains in production without a full-scale overhaul.
Elevra’s Chief Executive Officer and Managing Director, Lucas Dow, highlighted the strategic benefits in a statement. “The updated Scoping Study demonstrates the significant value uplift achievable through a staged expansion of the North American Lithium mine,” Dow said. “Adopting this staged development approach allows Elevra to bring additional production forward on an accelerated timeline compared with the previously contemplated whole-of-project expansion.”
Dow emphasized the flexibility of the phased model. “Additionally, we see the staged development as a disciplined and practical pathway to growth, allowing us to deliver measurable progress through clearly defined milestones rather than relying on a single step-change outcome,” he added. “By advancing the project in phases, we can progressively increase production capacity, optimise operating performance, reduce costs and incorporate learnings at each stage of development.”
The study projects the expansion to yield an average of 338,000 tonnes per annum (ktpa) of spodumene flotation concentrate once fully operational, with a lithium oxide (Li2O) recovery rate of 71.2% and a target product grade of 5.4% Li2O. The life-of-mine (LOM) plan, based on ore reserves as of June 30, 2025, anticipates blending ore at the run-of-mine (ROM) pad to maintain an average head grade of 1.11% Li2O. Production scheduling uses Micromine’s Spry software and incorporates equipment similar to the current fleet, including a new 200-tonne excavator for stripping.
Geologically, the NAL deposit features 117 spodumene-bearing pegmatite dykes spanning 3,550 meters along strike, 1,300 meters in width, and 800 meters in depth. These dykes, part of the Archean Preissac-Lacorne intrusion in the Abitibi Greenstone Belt, contain lithium primarily as spodumene crystals. The site's mineral resource estimate, prepared under the 2012 JORC Code, totals measured and indicated resources of significant tonnage at a 0.60% Li2O cut-off for open-pit and 0.70% for underground, though exact figures were detailed in an August 27, 2025, ASX announcement titled “NAL Resources and Reserves Increases.”
Ore reserves as of June 30, 2025, support the expansion, with the final pit design reaching a maximum depth of 380 meters below topography. The pit is divided into seven mining phases, designed to avoid historical underground workings, which are expected to be cleared by the end of 2030. Mining rates start at 4,700 tpd annually until April 1, 2028, then rise to 7,000 tpd. Processing begins at 3,780 tpd, increasing to 4,500 tpd from July 1, 2027, and 6,500 tpd from April 1, 2028.
The expanded concentrator will handle approximately 2.4 million tonnes per annum (Mtpa) at 90% availability. Metallurgical test work, conducted from 2008 to 2023 under independent qualified persons, evaluated techniques like flotation, dense media separation (DMS), low-intensity magnetic separation (LIMS), and ore sorting. These tests informed the flowsheet, confirming the ore's suitability for the proposed upgrades.
Site access remains robust, with connections via provincial Highways 111 and 397, and the relocated Route du Lithium avoiding mining areas. Nearby towns like Val-d’Or (population 32,750) and Amos (12,675), both mining hubs, provide services, including an airport in Val-d’Or with flights to Montreal. Rail access via Canadian National is 49 kilometers east, and power infrastructure includes a 120 kV line 2 kilometers west and a 25 kV line nearby.
Financially, the study assumes key metrics like commodity prices, exchange rates, head grades, and recoveries, showing the project as robust but sensitive to these variables. Two LOM schedules were modeled: a base case ending in 2061 at current rates and an expanded case wrapping up in 2047. Elevra cautioned that the scoping study is preliminary, based on low-level assessments, and does not guarantee economic viability or funding availability.
“This approach strengthens execution certainty, supports prudent capital deployment and enables the team to achieve tangible operational and financial objectives along the way, while maintaining flexibility to respond to market conditions,” Dow stated. “Ultimately, the staged model enables Elevra to build scale responsibly, generate cashflow earlier, improve capital efficiency, and deliver a reduction in unit operating costs to enhance returns and project economics.”
“As global lithium demand continues to grow, the Updated Scoping Study, combined with the technical and operational knowledge gained on site, reinforces our confidence in NAL’s expansion pathway and highlights a clear opportunity to deliver sustainable long-term value,” Dow concluded.
The announcement includes forward-looking statements with risks, noting no certainty on funding terms or outcomes. Investors are advised against basing decisions solely on this study. Elevra confirmed that mineral resource and reserve data remain unchanged from the August 2025 announcement, with no new material information affecting them.
This expansion comes amid rising global demand for lithium, driven by the electric vehicle boom and energy transition goals. Quebec's Abitibi region, rich in greenstone belts, hosts several lithium projects, positioning NAL as a key player. While the study outlines an optimistic path, industry analysts note that permitting timelines and market volatility could impact timelines. Elevra plans to advance the first debottlenecking stage, potentially starting production increases as early as 2028, pending approvals and financing.
Looking ahead, the staged approach could allow Elevra to adapt to fluctuating lithium prices, which have seen volatility in recent years. With the mine's restart proving successful, this update signals confidence in scaling operations responsibly. Stakeholders will watch closely as the company progresses toward these milestones, potentially boosting local economies in Val-d’Or and Amos through jobs and infrastructure investments.