Eye on Lithium: Is India’s new lithium discovery for real?

• India finds lithium resources
• Global push to ensure energy security is continuing
• Kalamanzoo finds outcropping spodumene-bearing pegmatite dykes

All your ASX lithium news, Feburary 10.

India has been crowing about the discovery of a native source of lithium in the Salal-Haimana area of Reasi District of Jammu and Kashmir.

The Geological Survey of India noted that it had established Inferred Resources of 5.9 million tonnes prompting social media to explode with plenty of congratulatory back slapping – and some rather dubious claims.

5.9 million tonnes in J&K is unbelievable !! …We in India can have 2nd best Lithium reserves after Chile @NITIAayog @paramiyer_ @Junaid_Mattu @listenshahid pic.twitter.com/kaWoxhDM3A

— G Force (@gau_dab) February 9, 2023

Such claims aside, it is not entirely clear what the GSI meant with its Inferred Resource estimate, but assuming it means lithium carbonate equivalent, this is barely equivalent to a single (admittedly large) project.

The giant Greenbushes mine in Western Australia for instance was last estimated to have total resources of 360.2Mt at 1.5% Li2O, which works out to about 13.36Mt LCE.

Likewise, Mineral Resources’ Wodgina has Indicated and Inferred Resources of 259.2Mt at 1.17% Li2O, or just under 7.5Mt LCE.

What is clear though is that the global push to find and exploit new sources of lithium that will reduce reliance on China is still underway and more than likely accelerating.

India’s discovery in Jammu and Kashmir – despite spotty details – is likely to spur further exploration and possibly development.

It is unlikely that India would be truly self-sufficient but even the ability to supply part of its demand from local sources will play a role in ensuring some level of energy security.

Here’s how ASX lithium stocks are tracking:

Who’s got news out?

Kalamazoo (ASX:KZR)

Recent mapping and surface sampling at the company’s Marble Bar project has discovered outcropping spodumene-bearing pegmatite dykes with several rock chips assaying more than 1% lithium oxide (Li2O) with a top hit of 2.8% Li2O recorded over a strike length of more than 1.1km.

Visible spodumene was observed in all the highest grade samples.

Drilling at the project has also intersected lepidolite mineralised pegmatite dykes in three prospects with assays returning a top result of 1m at 0.6% Li2O from a down-hole depth of 4m.

Planning is currently underway for the 2023 field exploration program, which includes a significant Phase 2 drilling program and further evaluation of the spodumene-bearing dykes.

Riversgold (ASX:RGL)

Riversgold has lodged the Program of Works for maiden drilling at its Earl Grey prospect just 1.5km east of the Mt Holland lithium mine.

This program, which will begin immediately on receipt of approvals, will test for possible strike and depth extensions of the third-party owned Earl Grey deposit.

The company plans to drill 2,000m worth of reverse circulation holes with the option of diamond tails.