Company plans to complete a feasibility study next year, which will reveal whether the proposed $800 million, underground lithium-uranium mine can and should be built.
Expectations for a rise in zinc concentrate supplies in coming years have driven down the metal price to one-year lows, but smelting capacity constraints suggest the sell-off is premature.
Swedish Sandvik, which makes metal-cutting tools and mining gear, reported record-high quarterly earnings and orders on Tuesday on the back of a broad rise in demand, with its mining unit a particular stand-out