Allkem neighbour Lithium Energy racing toward maiden brine resource as Solaroz lithium assays fly in
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Lithium Energy is rapidly advancing towards a maiden resource with world class potential at its Solaroz brine project in Argentina on the back of stunning assays from drilling at its flagship site.
Located adjacent to Olaroz, the major Allkem development at the centre of a $15.8 billion merger with Livent that will create the world’s third largest lithium producer, Lithium Energy is well placed to deliver the next major resource in South America’s vaunted Lithium Triangle.
They include assays from drillhole 4 confirming a total 473.5m intersection of lithium rich brines across the upper and lower aquifers with concentrations of up to 508mg/L Li.
It could yet extend further, with sampling and assays pending for another 140m from 647.5m, the depth of the last packer sample, with the hole currently at 787.5m deep.
Intersections of conductive brine now run to 489m in drillhole 5, with an increase in lithium brine concentration of up to 495mg/L as assays from sampling in the lower aquifer are being received.
Completion is pending at both holes, currently at a depth of 787.5m and 640m, respectively, with geophysical hole logging also being undertaken to get measurements for key factors like porosity, specific yield and conductivity.
“Drilling continues to deliver outstanding intersections of lithium rich brines at Solaroz, with assays confirming 473.5 metres of lithium-rich brines (up to 508mg/l Lithium) in SOZDD004 to 647.5 metres depth, with assays for an additional 140 metres (to 787.5 metres depth) in that hole still pending,” LEL executive chairman William Johnson said.
“Total brine intersections for SOZDD005 have also been extended to total 489 metres, with lithium grades so far up to 495 mg/l Lithium.
“These drilling results continue to demonstrate the potential for Solaroz to support a world class resource of lithium and with three rigs soon to be operating concurrently, we are excited to be rapidly advancing towards defining our maiden JORC resource at Solaroz.”
Given its proximity to Allkem’s world class Olaroz brine project and lithium carbonate plant, few companies are better placed to benefit from the mega-merger of the Australian lithium beast and NASDAQ listed DLE lithium practitioner Livent.
“We consider the recently announced Allkem/Livent merger as a clear endorsement of our strategy to rapidly accelerate the development of Solaroz alongside Allkem,” Johnson said.
LEL’s drilling at the Chico I and Chico VI concessions has further validated that strategy.
In drillhole 4 at Chico I, a significant 158m intersection of conductive brines was encountered across the upper aquifer from 120-278m with lithium concentrations of up to 288mg/l.
Beneath a halite salt unit layer, drilling has hit the deep sand unit that comprises the lower aquifer, hitting 315.5m of conductive brines from 332-647.5m with grades including the peak lithium concentration of 508mg/l.
At drillhole 5 in Chico VI, LEL encountered concentrations of up to 433mg/l Li in a 163m hit in the upper aquifer from 110-273m, with 326m of conductive brines in the lower aquifer from 312-638m with grades ranging up to 495mg/l Li.
Assays are still pending for deeper intersections at drill hole 4, giving LEL potential to extend mineralisation at depth.
A maiden resource is due this year.
This article was developed in collaboration with Lithium Energy, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.