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Junior Arizona Lithium has launched a scoping study into its Big Sandy lithium project, in the US.

“The previously announced excellent metallurgical results demonstrate the significant potential of the Big Sandy lithium project and, with these results in hand, the company has appointed Arizona-based Ausenco Engineering to complete a scoping study.

This represents the first step in the process of evaluating extraction, treatment and transportation options, identifying key cost centres that allow for evaluation and optimisation, thereby creating optimum value, while making the project a global model for responsible and sustainable mining,” said Arizona MD Paul Lloyd.

“Given the large existing Joint Ore Reserves Committee-compliant lithium resource with excellent upside potential, Arizona’s ability to produce a high-quality product in Arizona, in a market with rapidly increasing demand and price, along with quality infrastructure choices and proactive state and federal governments, presents a highly promising future for Arizona Lithium and its shareholders.”

Planning is under way to construct a demonstration plant and product qualification capabilities in Arizona, the company noted on Tuesday.