Eye on Lithium: Liontown spinout MI6 picks up a big lithium, rare earths project in WA

• Minerals 260 plans to pick up the 789km2 Nardoo lithium-REE project in WA
• Tivan teams up with EARTH AI for exploration at the Sandover lithium project 
• Askari kicks off phase II RC drilling at Uis lithium project in Namibia

All your ASX lithium news for Tuesday, March 7

Explorer Minerals 260 (ASX:MI6) is acquiring the large Nardoo lithium-rare earths project comprising seven Exploration Licences (EL) covering an area of 789km2 in WA’s Gascoyne Province, from eMetals (ASX:EMT).

Notably, four of the Els adjoin Red Dirt Metal’s (ASX:RDT) Yinnetharra lithium project and contain the northwestern strike extension of the prospective stratigraphy.

The southwestern most EL adjoins the north western margin of Kingfisher Mining’s (ASX:KFM) Mick Well and Kingfisher Projects – and is interpreted to be in the same structural corridor that hosts Kingfisher’s MW2 Rare Earth Element (REE) discovery.

Historic exploration on the Nardoo tenure has focused on gold, base metals, tungsten and uranium with only limited work undertaken for lithium and REEs.

“Nardoo is a complementary addition to our flagship Moora Project, representing a high-quality geological opportunity in an under-explored region with the potential for large-scale discoveries in a basket of commodities that fits extremely well with our strategic focus and expertise,” MD David Richards said.

Minerals 260 will undertake a detailed review of previous exploration data prior to planning geochemical and geophysical programs designed to quickly define targets for drill testing.

MI6 share price today:

Here’s how ASX lithium stocks were tracking today:

A total of 37 stocks were in the green, 58 were flat and 42 were red.

Who else has news out today? 

TIVIAN (ASX:TVN)

Tivan has announced an exploration alliance with EARTH AI for the Sandover lithium project. 

EARTH AI uses artificial intelligence combined with the deployment of low disturbance drill rigs, to expedites timeframes, reduces costs and minimises impact on country.

The initial term of the agreement is four years, with EARTH AI having the option to extend the term for another two years.

Upon a qualifying grade drill intersection of any mineral being discovered (as specified in the Agreement), EARTH AI will be entitled to a 2% net smelter return royalty for the discovery area (to be formalised by way of a separate royalty deed for any discovery).

Tivan will fund up to 100% of the costs of exploration up to a total exploration expenditure amount of US$4.5 million (or such other amount as is agreed between the parties) including drilling costs. 

EARTH AI will also have a pre-emptive right to acquire Tivan’s interest should Tivan wish to dispose of its interest in the Sandover Project – and vice versa.

The company has concurrently initiated a strategic dialogue with the Central Land Council. The first session is scheduled for early April and will include a discussion of the exploration activities at Sandover. 

ASKARI METALS (ASX:AS2)

The company has kicked off phase II RC drilling on Exclusive Prospecting Licence (EPL) 7345, part of the Uis lithium project in Namibia.

The program commenced on 28 February 2023, and is set to continue for approximately two months, producing at least 4,000 m of chips, samples and data from the project. 

The aim is to test previously untested pegmatites mapped and identified by geologists in the field and which are reported to have visible lithium mineralisation at the surface. 

Assay results from the first phase of drilling are expected to be received soon. 

RED MOUNTAIN MINING (ASX:RMX)

RMX says assay results are pending from its Mustang lithium project in Nevada, USA, after unusual blizzards and extreme weather in the region has slowed down the sampling process.

The pending assay results will provide key indications on target area for the upcoming planned drill program. 

Meanwhile, at the Charlotte lithium project in the Northern Territory, the company is gearing up from initial fieldwork, including geological mapping and soil/rock chip sampling to develop prospective targets for drilling. 

Geophysical surveys may also be undertaken to assist in identifying lithium-rich pegmatitic zones under cover. 

TVN, AS2 and RMX share prices today:

AUROCH MINERALS (ASX:AOU)

Auroch will soon have a firm idea of just what is present at its Nevada lithium project following the successful completion of maiden reverse circulation drilling.

The 15-hole program totalling 2,900m targeted lithium claystone lithologies at the San Antonne East and Western Flats, which are believed to be analogues to the host rock at American Lithium Corp’s TLC deposit and American Battery Technology Corps’ Tonopah Flats deposit.

“We are very pleased with the geological results of our maiden drilling programme at the NLP. The claystone intercepts are extremely encouraging and we are eager to understand their potential to host lithium mineralisation,” technical director Robin Cox said.

“While we await the assay results, the NLP team will continue to work preparing the remaining prospects for drill readiness.”

The company plans to carry out further work on the Traction, Lone Mountain and Heller prospects at the project to firm them up for drill testing.

SAYONA MINING (ASX:SYA)

The company has raised A$54.9 at A$0.315 per share to advance its Québec lithium projects.

The funding will help advance exploration efforts while Sayona continues to progress the restart of its North American Lithium (NAL) operation, together with its other growth projects in Québec, including its emerging northern lithium hub. 

Sayona says its well placed to progress its expanding lithium resource base, with this additional funding adding to its financial resources. 

WINSOME RESOURCES (ASX:WR1)

The company has announced plans to increase its stake in Power Metals Corp to approximately 10%, with additional shares to be secured via flow-through shares private placement.

Winsome and Power Metals are also finalising a technical cooperation agreement under which Winsome will provide technical assistance for upcoming exploration and drilling programs at the Case Lake lithium project, with the aim of establishing a maiden resource as soon as possible. 

Under the offtake agreement acquired by Winsome Resources as part of its original investment in Power Metals, the company is entitled to all offtake rights for lithium, caesium and tantalum from Case Lake at a 5% discount to the quoted Asian Metal price. 

Waratah Capital Advisors, a Canadian-based, battery minerals focused investment company, has also signalled its intention to invest up to C$1.5 million in Power Metals through Waratah’s Electrification and Decarbonization AIE LP Fund. 

Waratah holds interests in multiple lithium and other battery mineral projects around the world, including a key stake in Winsome. 

AOU, SYA and WR1 share prices today:

At Stockhead we tell it like it is. While Auroch Minerals is a Stockhead advertiser, it did not sponsor this article.