Orocobre Limited Borax Plant Relocation Completed

Brisbane, Australia (ABN Newswire) - Orocobre Ltd. (ASX:ORE) (TSE:ORL) ("Orocobre" or "the Company") is pleased to advise the relocation of Borax Argentina's borax decahydrate chemical plant from Campo Quijano to Tincalayu mine site has been completed within budget and production has commenced.

- The project is expected to deliver significant cost benefits through reduction of operating and logistics expenses

- Relocated plant at full capacity is 100tpd of refined borax decahydrate

- The project was completed within budget


On 1st of July 2013 the Company announced the start of the relocation of the borax plant from Campo Quijano (near the city of Salta) to the Tincalayu mine site (refer to announcement Orocobre Announces Borax Plant Relocation). On the 5th of July after a short period of commissioning, production commenced and over the course of the coming weeks the plant will be ramped up to full production levels. The borax chemical plant will produce refined borax decahydrate product grades with subsequent conversion, as required, to borax pentahydrate and anhydrous borax products at Campo Quijano. The capacity of the plant is 100tpd of borax decahydrate. The relocation has been completed within the original budget of US $3.7m net of existing plant and equipment.

As a result of the Borax plant relocation significant benefits are expected to be achieved in both the reduction of operating unit costs and an increase in overall mineral recovery from the mine. Previously, run-of-mine ore at 17% B2O3 was concentrated at Tincalayu using dry magnetic separation at about 60% recovery to produce a 21% B2O3 grade, which was then transported 350 kms to Campo Quijano for further production into borax chemicals. Relocating the borax plant to the Tincalayu mine site allows for the direct processing of run-of-mine ore at a 15% B2O3 head grade without the need for magnetic separation and associated mineral losses plus it improves transport efficiency and cost by carting a 37% B2O3 refined product rather than the 21% B2O3 grade concentrate.

As part of the initiatives being pursued at Borax Argentina's Tincalayu mine site, the Company is in the process of re-modelling the deposit and undertaking a review into the exploration potential. The new resource estimate and exploration review reports are expected to be completed by the end of the quarter and will shortly after lead into the development of a Life of Mine Plan (LOMP).

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About Orocobre Limited:

Orocobre Ltd. is listed on the Australian Securities Exchange and Toronto Stock Exchange (ASX:ORE) (TSE:ORL), and is building a substantial Argentinian-based industrial minerals company through the construction and operation of its portfolio of lithium, potash and boron projects and facilities in the Puna region of northern Argentina. The Company is building in partnership with Toyota Tsusho Corporation the first large-scale, "greenfield" brine based lithium project in 20 years at its flagship Salar de Olaroz resource, with projected production of 17,500 tonnes per annum of low-cost battery grade lithium carbonate scheduled to commence at the end of Q2, 2014. The Company also wholly-owns Borax Argentina, an important regional borate producer. Orocobre is included in the S&P/ASX 300 Index and was named 2012 Mining Company of the Year by Argentine mining magazine Panorama Minero and the Fundacion para el Desarrollo de la Mineria Argentina ("Fundamin" or Foundation for Development of Argentina Mining)



Contact:

Orocobre Ltd.
Australia and Asia
David Hall, Business Development Manager
T: +61 7 3871 3985
M: +61 407 845 052
E: dhall@orocobre.com

North America
James Calaway, Chairman
M: +1 (713) 818 1457
E: jcalaway@orocobre.com