Anson inks key approval to begin drilling at Paradox

Anson has received a key approval paving the way for drilling at its Paradox lithium project
Re-entry drilling is designed to deliver a substantial resource increase
The new approval confirms a previous approval granted by the BLM in October 2022

Special Report: Anson has secured endorsement from the US Bureau of Land Management to begin re-entry drilling at the Mineral Canyon and Sunburst Wells within the Paradox project in Utah, USA.

Anson Resources (ASX:ASN) has been gearing up to build a direct lithium extraction (DLE) plant at the Paradox lithium project as it works towards bringing the asset into production.

DLE is nothing new – it’s been used in water treatment for decades – but its use to extract lithium from brines is just now coming into its own.

The process promises to produce cheaper, higher quality, and more environmentally friendly lithium than incumbent processes and could be used literally anywhere there’s an oil and gas well – and there’s a lot of those in America.

Paradox itself hosts 18 historic oil and gas wells – three of which have recorded lithium values.

ASN embed — The proposed Areas of Influence (AOI) for the Western Strategy drilling program at Paradox. Pic: Anson Resources

Western Resource expansion program

Anson has received a key approval from the US Department of Interior Bureau of Land Management (BLM) for its Western Strategy drilling program at Paradox, confirming the previous approval granted by the BLM in October 2022.

ASN plans to re-enter the Mineral Canyon and Sunburst wells to expand the current 1.5Mt lithium carbonate equivalent resource estimate by converting the large exploration target (2.10Bt – 2.56Bt of brine grading 108 – 200ppm Li and 2,000 – 3,000ppm bromine) into indicated and inferred resources.

The program includes the sampling of the thick Mississippian units and the Pennsylvanian clastic horizon.

It is known from previous drilling of the Mississippian units that it is a very large reservoir, which may result in a significant increase in the resource.

This article was developed in collaboration with Anson Resources, 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.