Cypress Development Studies Chloride Leaching for Clayton Valley Lithium Project in Nevada

VANCOUVER, British Columbia, Dec. 03, 2020 (GLOBE NEWSWIRE) -- Cypress Development Corp. (TSX-V: CYP) (OTCQB: CYDVF) (Frankfurt: C1Z1) (“Cypress” or “the Company”) reports it is initiating a scoping level study into the extraction of lithium using chloride-based leaching. This decision follows the test results reported in the Company’s November 24, 2020 news release. The data indicates a higher rate of lithium extraction in leaching claystone with hydrochloric acid than with sulfuric acid when in the presence of high chloride levels. The Company has engaged NORAM Engineering and Constructors Ltd. (NORAM) and Continental Metallurgical Services Inc. (CMS) for the study which is expected to be completed in January 2021.

“The purpose of this study is to quickly determine if a change in direction is warranted,” said Cypress CEO Bill Willoughby. “Cypress is a leader in the development of acid leaching of lithium claystone. When presented with new information suggesting a way to improve the project, we respond with evaluating the new data to bring the best value to our shareholders. The work by NORAM and CMS will determine if this is an alternative that should be pursued and whether it replaces or augments the use of sulfuric acid in our extraction process.”

Study Outlined

Cypress continues to work on the pilot plant as recommended in the Company’s positive May 19, 2020 Prefeasibility Study (PFS). The project is based on a surface mine producing 15,000 tonnes per day (tpd) of lithium-bearing claystone to a leach plant yielding 27,400 tonnes per year of lithium carbonate equivalent (LCE) over a 40-year mine life. Features including favorable location, low strip ratio and low acid consumption result in an estimated cash cost of $3,329 per tonne LCE. A basic PFS assumption is the construction of a 2,500 tpd acid plant to support the leaching and power needs of the project.

The Company reported in its November 24, 2020 news release testing resulted in 85.3% total extraction when using hydrochloric acid to leach lithium-bearing claystone from the project. This result was higher than the 80.2% lithium extraction obtained when using sulfuric acid under the same conditions. Conditions included using a high sodium chloride solution instead of distilled water in leaching. The results were important in demonstrating the ability to tolerate high chloride levels in the process and flexibility in the water supply that could include geothermal solutions and lithium-bearing brine. The higher level of lithium extraction was confirmed in a subsequent test by CMS and with multi-element analyses performed by ALS Global.