Anson now has the ground it needs to build its lithium plant in Utah
Mining & Resources
Things are falling into place for junior lithium explorer Anson Resources, which has secured the land it needs to build a pilot plant for its flagship Paradox project in Utah.
Anson shares (ASX:ASN) have been on a tear this month, recovering all the ground the stock lost in March after initially disappointing lithium processing results at the Utah plant.
The stock gained 27 per cent yesterday morning after it revealed it had produced first lithium carbonate (LCE) from the project. Battery-grade LCE is used to make cathode material for lithium-ion batteries.
In the past three weeks the company has rocketed more than 340 per cent and was trading at 15c early Friday.
Anson told investors on Friday that it now had 25 acres of land — enough to build a pilot plant and extract brine from the Cane Creek 32-1 well pad to produce battery-grade lithium and other minerals.
The deal included the approval to lease 15 acres of industrial land and the relocation of an industrial lease to abut the Cane Creek well pad.
Anson said the relocation of the industrial lease allows it to pipe brine from the Cane Creek well directly into the pilot plant, which will reduce production and logistics costs.
The Cane Creek well previously produced oil and gas and Anson says it may still be capable of supplying energy for the pilot plant.
Anson purchased the rights to the oil and gas from the well in February this year.
Anson has been contacted for comment.