• Toyota-Panasonic JV PPES secures 4,000tpa from ioneers US project
  • Galan Lithium discovers pegmatite at Greenbushes South JV with Lithium Australia
  • Drilling at Core Lithium BP33 deposit delivers 66.88m at 1.78% Li2O

 

All your ASX lithium news for Monday, August 1

 

Emerging lithium–boron miner Ioneer (ASX:INR) has signed its second offtake deal in as many weeks.

Last week, the company signed a deal with carmaker Ford to supply around 7,000tpa of lithium carbonate over a five-year term starting in 2025.

And now, it’s set to provide lithium carbonate from the Rhyolite Ridge Project in Nevada to Prime Planet Energy & Solutions (PPES) – a joint venture between Toyota Motor Corporation and Panasonic Corporation.

“This and the previously announced Ford and EcoPro agreements solidify ioneer’s focus on the U.S. Electric Vehicle supply chain infrastructure,” executive chairman James Calaway said.

“We look forward to providing lithium materials to PPES and all our offtake partners for their growth in the EV global market.”

 

Accounts for 19% of production

The 5-year binding agreement is for 4,000 tonnes per annum, which represents around 19% of the mines annual output in the first 5 years of production.

ioneer is expected to produce an annual average of approximately 20,600 tonnes of lithium carbonate/hydroxide along with approximately 174,400 tonnes of boric acid per year over the Rhyolite Ridge project’s 26-year life.

ioneer anticipates commencing production in 2025 to support urgent requirements for battery materials in the United States.

“We have confidence in ioneer’s technology of refining sedimentary sourced lithium and their competitiveness, and are expecting it to strengthen the PPES supply chain,” PPES’s president Hiroaki Koda said.

 

Here’s how ASX lithium stocks were tracking today:

Lithium stocks missing from our list? Shoot a friendly mail to [email protected]

 

A total of 53 stocks were in the green, 32 were flat and 46 were red.

 

Who else has news out today?

 

GALAN LITHIUM (ASX:GLN)

Galan has made a pegmatite discovery at its Greenbushes South joint venture with Lithium Australia (ASX:LIT).

Geological mapping has uncovered a new pegmatite in three main outcrops spanning over an area of about 500m by 400m which appears to remain open along strike.

It follows on the June 2022 discovery of the first pegmatite lens at the project about 15km south of the producing Greenbushes lithium mine.

The company has also received assaying of soil samples over the initial pegmatite discovery which returned results of up to 215 parts per million lithium along with pathfinder elements such as arsenic and caesium.

Geological mapping and geochemical sampling activities are ongoing. There are further soil and rock sample assays pending, including those to be submitted from our newest pegmatite discovery,” MD JP Vargas de la Vega said.

“We have also launched a pilot ground geophysics program to overlay our exploration targeting efforts at Greenbushes South.

“All of this work is driving us towards the key outcome of premium target locations for our initial drilling program.”

 

CORE LITHIUM (ASX:CXO)

Core’s drilling at the BP33 deposit at its Finniss project in the NT has delivered some solid intersections like 66.88m at 1.78% Li2O including 16m at 2.27% Li2O and 9m at 2.24% Li2O.

“Geological logging of theses holes has confirmed that spodumene bearing pegmatite extends at depth to the south with indications that thickness, and grade may improve with depth,” the company said.

“Although the main and southern bodies are currently modelled as separate entities, the location of this drilling also provides support that they are likely continuous.”

The company is confident that intersections outside of the current Mineral Resource at BP33 are expected to deliver “substantial” orebody extensions.

“BP33 south is open at depth with the Ambient Noise Tomography (ANT) survey identifying additional targets at the deposit,” chairman Greg English said.

“The timing of these outstanding results could not have been better, with the final mining approval for BP33 expected in the coming weeks.”

 

ARGOSY MINERALS (ASX:AGY)

The company has completed 94% of total development works at its Rincon project in Argentina, with first production of battery quality Li2CO3 product targeted over coming months.

Argosy also said the 2,000tpa lithium carbonate process plant development works are progressing on schedule and budget.

“The lithium market maintained very positive momentum with lithium carbonate prices forecast to continue around record highs into 2023 and beyond, resulting in very lucrative upcoming product sales revenues,” MD Jerko Zuvela said.

“The company is very excited with our current progress at site and upcoming major milestones, whilst also positively advancing with our strategic developments toward the 10,000tpa expansion operation.

“Becoming the next commercial scale lithium carbonate production operation and transforming into a cashflow generator will lead to a significant near-term growth phase for the company.”

 

POWER MINERALS (ASX:PNN)

A Vertical Electrical Sounding (VES) geophysics survey is underway to support resource drilling and water studies at the company’s Salta project in Argentina, with the aim of supporting resource definition drilling at the Incahuasi salare (aka. salt flat).

The VES survey will then move on to identifying additional lithium brines for resource drilling at the Pocitos and Rincon salares, as well as looking at potential near-surface fresh water in adjacent alluvial fans for future Direct Lithium Extraction (DLE) processing operations.

The company says the surveys will provide key inputs to its water management plans and support positive ESG outcomes.

Plus, drilling is expected to kick off at Incahuasi this quarter with the aim of delivering a maiden JORC mineral resource – which will add to the existing total mineral resource at the Salta project.

 

CXO, GLN, AGY and PNN share prices today:

 

 

 

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