The Whabouchi deposit is a lithium-bearing rare metal pegmatite. Emplacement of rare metal pegmatites is the last phase of the crystallization of a parent granite pluton. Highpressure residual fluids, with abundant water, silica, alumina, alkalis, and rich in rare elements and other volatiles from the crystallization of a pluton at modest depth, concentrate in the cupola or upper domed contact of the granite as it crystallizes. Under increasing pressure, this fluid dilates fractures in overlying rocks in a manner analogous to that of hydraulics in mechanical equipment, thereby providing feeder channels for emplacement of pegmatites at shallower depth. Progressive crystallization of the main rock-forming minerals out of this fluid enriches the final fluids in rare metals and the process culminates in the formation of rare metal pegmatites still under fluid pressure. A variety of types occur depending on the abundance and type of rare metals associated with the pluton and the physico-chemical conditions affecting the sequence of emplacement events.

The mineralization of economic interest at the Whabouchi site is found in spodumenebearing
rare metal bearing pegmatite dyke complexes. Spodumene is a lithium-bearing mineral, which contains 8 % Li2O when pure. Spodumene also contains minor amounts of niobium and tantalum. Assays for spodumene normally range between 7.6 % and 8.0 % Li2O depending on the degree of replacement by Na2O. Typically, the Whabouchi pegmatite sampled from drill core averages 1.62 % Li2O with values up to 4.59 % Li2O.

Rare metal bearing pegmatites are normally found in moderately metamorphosed terranes near vast granitic plutons: a possible parental source for the pegmatitic magmas. Pegmatites are associated with granitic intrusions and are generally zoned around these intrusive centers. Pegmatites tend to be more enriched in volatile elements further away from the intrusive centers. Pegmatites are thought to be derived from primary crystallization of highly differentiated volatile enriched granitic magmas. The host rocks of the intrusion also play a significant role in the final composition of the pegmatites due to the incorporation of host rock in the magma during the intrusive process.

Open Pit Mining:

The mining method selected for the Project will be a conventional open pit, truck and shovel, drill and blast operation. Vegetation, topsoil and overburden will be stripped and stockpiled for future reclamation use. The ore and waste rock will be mined with 10 m high benches, drilled, blasted and loaded into heavy duty off-road haul trucks with hydraulic excavators.

A topsoil and overburden stockpile has been designed 100 m to the east of the pit ramp exit, to the south of the concentrator. Material that will be placed in this stockpile will be used for future reclamation.

The mine plan is based on an annual production of 215,022 tonnes of concentrate, which is equivalent to a Run-of-Mine (“ROM”) production of 1.03 Mt/y. The total material mined per year during the 24-year life of the open pit mine ranges from 0.26 Mt in pre-production to a maximum of 5.3 Mt in Year 10. The average annual diluted grade of Li2O varies between 1.47 % to 1.59 % during the 24-year period.

The mine equipment fleet for the open pit includes six (6) 64-tonne haul trucks, two (2) hydraulic excavators with 6 m3 buckets, two (2) diesel powered down the hole track drills that will drill 114 mm (4.5") holes as well as a fleet of support and service equipment. Blasting will be carried out using bulk emulsion with an average powder factor of 0.37 kg/t. The mine workforce has been estimated to be approximately 109 employees.

Underground Mining:

The ore extraction will switch form an open pit operation to an underground mine located underneath the final pit floor in Year 24 of the operation. The duration of the underground mining is ten (10) years and is scheduled to be in operation from the beginning of Year 24 to the end of Year 33. An underground mine production ramp-up period of 14 months is planned during the last months of Year 23 to reach the cruising production rate of 1.3 Mt of ROM at the beginning of Year 25.

The mining methodology selected is 30-metre high long-hole type stopes. Based on the geotechnical and hydrogeological conditions, it is expected that backfilling of the excavated stopes will be required. The very last excavation phase consists of mining the 30 metre thick remaining crown pillar from the open pit floor.

The annual underground mine production requirement has been adjusted to maintain a similar lithium concentrate production of 215,022 t. An overlapping underground mine ramp up production period is planned with the open pit ore extraction finishing during Year 24 of operations. This will ensure an uninterrupted ROM feed to the concentrator.

The contractor will supply and operate the underground mining fleet consisting of two (2) development jumbos, two (2) production drills, three (3) LHDs, and four (4) haulage trucks. The underground haulage trucks will haul the ore and waste up to the mine portal where it will be dumped into stockpiles to be reclaimed by the Owner and hauled out of the pit to the crusher or waste dump.

The underground mine will require 86 employees for the development phase while 70 will be required during the production phase, excluding Owner's management and engineering team and waste and tailings personnel.

The process design has been split in two (2) locations. The concentrator plant will be located 675 m north east of the Whabouchi mine open pit while the Electrochemical Plant will be located in Shawinigan.

Whabouchi Concentrator.

The Whabouchi concentrator is located at 675 m north east of the open pit mine. The concentrator is designed to produce a nominal 215,022 tonnes of spodumene concentrate per year. The Run-of-Mine (“ROM”) mineralized material will be fed into the primary jaw crusher and then screened to suit the ore sorter feed limitation. The sorted material will then go to the secondary and tertiary cone crushers. The final crushed product will be stored into a stockpile before the concentrator.

The crushed mineralized material will be screened on the fine ore screen and the oversize will be upgraded in a dense media circuit after a stage of mica hydroseparation removal to produce a coarse spodumene concentrate, a tailings product and a midd ........