Tonopah Flats Lithium Project Achieves 53% Resource Boost as ABTC Confirms Viable Path to U.S. Lithium Independence

Pre-Feasibility Study Unveils Major Resource Expansion and Strong Project Economics

American Battery Technology Company (NASDAQ: ABAT) has released a milestone pre-feasibility study (PFS) for its Tonopah Flats Lithium Project (TFLP) in Nevada, validating the project’s significant scale and robust economics. The PFS reports a remarkable 53% increase in measured and indicated lithium resources and an 11% jump in total lithium resources versus the initial assessment in April 2024. This boost solidifies TFLP as one of the largest lithium resources in the U.S., directly supporting domestic supply chain independence for critical battery materials.

Production Metrics Highlight Competitive Edge and Scale

With the projected production of 30,000 tonnes of lithium hydroxide monohydrate (LHM) per year over a 45-year mine life, TFLP’s operating costs are expected to remain among the most competitive globally. The site benefits from onsite battery energy storage and local power generation, keeping electricity costs below industry norms and further lowering production costs.

Resource Growth and Reserve Confirmation Strengthen Project Confidence

The conversion of resources to proven and probable reserves at 2.73 million tonnes LHM underscores project viability and confidence in mining economics, as only measured and indicated resources are used to define these higher-confidence reserves under SEC rules. A substantial amount of the remaining resource provides future upside potential for extended mine life or expanded capacity.

Innovative Technology Lowers Operating and Environmental Footprints

ABTC has developed extraction processes that avoid the traditional acid leaching approach. Their technology liberates lithium from claystone with lower chemical use, less waste, and a reduced facility footprint—achieving high recovery efficiency and directly producing battery-grade LHM. This innovative processing not only makes the Tonopah Flats project more sustainable but also positions it favorably for environmental approvals and future scalability.

Strategic Financing and Permitting Accelerate Development Timeline

Key permitting advances have included selection as a priority project by the FAST-41 Permitting Council and initial approval for up to $900 million in low-cost financing from the US Export-Import Bank. With all NEPA baseline reports and the mine plan submitted, ABTC is on an accelerated track to construction and commercial operation—minimizing regulatory hurdles that have hampered other North American battery metals projects.

Phased Construction and Path to Commercialization

The project’s commercial rollout will occur in three phases, ramping from 5,000 tonnes/year up to the full 30,000 tonnes/year LHM. ABTC is now advancing toward a definitive feasibility study, the next step before full project financing and construction, with costs expected between $5.8 million and $6.8 million. Full permitting and detailed engineering are proceeding in parallel, keeping TFLP firmly on track for a swift commercialization timeline.

Takeaway: Foundation Set for U.S. Lithium Supply Chain Growth

The sharp increase in measured and indicated lithium resources, combined with competitive cost structure and de-risked permitting, makes the Tonopah Flats Lithium Project a rare example of scale, technical readiness, and strategic value. Investors and industry participants tracking the battery supply chain should watch how the project progresses through final engineering and construction—especially as the U.S. looks to secure a reliable, homegrown source for electric vehicle and grid storage batteries. ABTC’s advances signal meaningful momentum for domestic lithium and sustainable battery technology leadership.

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