US lithium miner’s $571M SPAC deal: McDermitt project economics for engineers
Reviewed by Joe Ashwell

First reported on MINING.com
30 Second Briefing
US lithium developer HiTech Minerals will go public on Nasdaq via a $571 million merger with SPAC Constellation Acquisition Corp. I, creating US Elemental, with parent Jindalee Lithium expected to retain about 80% ownership and the new ticker “ULIT”. The key asset is the McDermitt project on the Oregon–Nevada border, holding 21.5 million tonnes LCE and scoped in a 2024 PFS for 47,500 t/y output in the first decade, 63-year mine life, $3.2 billion post-tax NPV (8%), 17.9% IRR and roughly $3 billion capex. Designated under FAST‑41 and backed by a planned $20–30 million raise, the listing aims to secure US capital and partners for McDermitt and the Clayton North project in Nevada amid a lithium price rebound of nearly 40% this year.
Technical Brief
- McDermitt resource is stated at 21.5 Mt lithium carbonate equivalent, supporting a 63‑year mine plan.
- 2024 pre‑feasibility work indicates first‑decade production averaging 47,500 t/y of lithium carbonate equivalent.
- Project economics quote a post‑tax NPV8 of $3.2 billion and an internal rate of return of 17.9%.
- Initial development capital for McDermitt is estimated at about $3 billion, excluding later sustaining capital.
- US Elemental will also consolidate the Clayton North lithium project in Nevada under the same corporate vehicle.
- Antarctica Capital plans to contribute $4 million into a broader $20–30 million project advancement equity raise.
Our Take
With lithium prices up nearly 40% this year in the article’s timeframe, long‑life US assets like McDermitt in Oregon/Nevada tend to attract strategic offtake or JV interest in our database, particularly from OEMs seeking IRA‑compliant supply rather than pure financial investors.
Jindalee’s expected ~80% rollover ownership in US Elemental after the SPAC deal is unusually high compared with other mining M&A items in our coverage, signalling that the listing is more about accessing US capital pools for a domestic lithium project than about ceding control.
Prepared by collating external sources, AI-assisted tools, and Geomechanics.io’s proprietary mining database, then reviewed for technical accuracy & edited by our geotechnical team.
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