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Eye on Lithium: This $300m capped Canadian lithium play still has 90pc upside, Canaccord says
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- Winsome Resources’ Adina Main deposit could host resources of 40Mt at 1.2%: Canaccord
- Canaccord has given WR1 an initial target price of $3.55/sh
- Today’s ASX lithium updates from SUH, LEL,FBM, L1M, MM1, GL1, SUM, EMC
All your lithium news, Thursday July 13.
Canaccord says Winsome Resources has +40Mt at Adina Main
Last week lithium veterans Canaccord initiated coverage on one of the James Bay originals, Winsome Resources (ASX:WR1).
Chris Evans-led WR1 is currently drilling toward a maiden resource at its flagship Adina project, where it is pulling up thick, shallow and high-grade hits like 47m at 1.64% from 32m depth.
“Following the recent discovery of new zones of mineralisation, and based on reported drilling, our interpretation suggests Adina Main could host resources of 40Mt at 1.2%,” says Canaccord.
“Furthermore, we see significant upside potential to this given the possibility of Adina Main linking to mineralisation identified at Adina East (combined covers a strike of ~1.9km).
“Should this be proven by drilling, we see potential for resources to significantly exceed what we think has already been defined at Adina Main.”
A massive 40Mt with upside, says Canaccord, which has given WR1 an intial target price of $3.55/sh.
“We see the resource potential at Adina as being mispriced by the market (based on peer group valuations) and with a maiden resource estimate and initial studies in 2023 presenting as material de-risking milestones, we initiate a speculative buy rating.”
Lithium prices continue to hold steady following May’s small recovery
According to the latest data from Benchmark Mineral Intelligence (BMI), spot prices for carbonate ($US44,823/t), hydroxide (US$43,745/t) and spodumene (US$3,450/t) fell marginally over the last fortnight by 0.9%, 2.6% and 1.4%, respectively.
Where spodumene prices go from here is open for debate.
“Despite prices at the lower end of transactions remaining stable in the assessment period, Benchmark expects contract price mechanisms tied to the ex-China chemicals market to moderate upwards in the near term, to reflect recent trends in the market across May and June,” BMI says.
“However, contacts expressed doubts over whether feedstock prices would climb significantly throughout H2 2023, given their anticipations of new supply coming online over the period, which could weigh on prices.”
Who’s Hot
The day’s biggest gains
Ausmon Resources (ASX:AOA) +30%
Metal Hawk (ASX:MHK) +27%
Lodestar Minerals (ASX:LSR) +25%
Who’s Not
The day’s biggest falls
Here’s how Aussie lithium stocks are tracking:
Scroll or swipe to reveal table. Click headings to sort. Best viewed on a laptop.
Stocks missing from this list? Email [email protected]
| CODE | COMPANY | THURDAY RETURN [intraday] % | YTD RETURN % | PRICE | MARKET CAP |
|---|---|---|---|---|---|
| AOA | Ausmon Resorces | 29% | -36% | 0.0045 | $3,392,513 |
| MHK | Metalhawk. | 27% | -15% | 0.14 | $7,487,681 |
| LSR | Lodestar Minerals | 25% | 0% | 0.005 | $7,373,589 |
| CTN | Catalina Resources | 14% | -60% | 0.004 | $4,334,704 |
| LM1 | Leeuwin Metals Ltd | 14% | 0% | 0.44 | $17,242,225 |
| AML | Aeon Metals Ltd. | 13% | -33% | 0.018 | $17,542,410 |
| MHC | Manhattan Corp Ltd | 11% | 82% | 0.01 | $26,426,508 |
| LRV | Larvottoresources | 11% | -3% | 0.155 | $9,415,661 |
| FG1 | Flynngold | 10% | -45% | 0.055 | $6,794,787 |
| WCN | White Cliff Min Ltd | 10% | -21% | 0.011 | $11,572,186 |
| TKM | Trek Metals Ltd | 10% | 45% | 0.11 | $44,312,008 |
| FBM | Future Battery | 10% | 117% | 0.115 | $44,923,739 |
| LLO | Lion One Metals Ltd | 9% | -21% | 0.93 | $11,502,917 |
| EFE | Eastern Resources | 9% | -59% | 0.012 | $13,661,411 |
| ICL | Iceni Gold | 9% | 50% | 0.12 | $22,942,857 |
| KTA | Krakatoa Resources | 9% | -16% | 0.037 | $12,354,804 |
| TYX | Tyranna Res Ltd | 9% | 4% | 0.025 | $71,447,782 |
| LPD | Lepidico Ltd | 8% | -19% | 0.013 | $91,659,669 |
| KZR | Kalamazoo Resources | 8% | -38% | 0.13 | $18,611,951 |
| SRZ | Stellar Resources | 8% | 0% | 0.013 | $12,071,571 |
| KOB | Kobaresourceslimited | 6% | 18% | 0.165 | $16,339,583 |
| MRR | Minrex Resources Ltd | 6% | -47% | 0.017 | $17,357,880 |
| INR | Ioneer Ltd | 6% | -8% | 0.35 | $696,106,221 |
| BUR | Burleyminerals | 6% | -18% | 0.18 | $16,843,049 |
| PL3 | Patagonia Lithium | 6% | 0% | 0.19 | $8,820,630 |
| QPM | Queensland Pacific | 5% | -5% | 0.105 | $174,634,792 |
| M2R | Miramar | 5% | -45% | 0.042 | $3,697,560 |
| LPM | Lithium Plus | 5% | -15% | 0.315 | $19,796,460 |
| EG1 | Evergreenlithium | 4% | 0% | 0.355 | $19,118,200 |
| FRS | Forrestaniaresources | 4% | -14% | 0.12 | $10,709,077 |
| GW1 | Greenwing Resources | 4% | -13% | 0.24 | $34,479,248 |
| MIN | Mineral Resources. | 4% | -7% | 71.95 | $13,423,054,049 |
| VUL | Vulcan Energy | 4% | -29% | 4.5 | $722,888,500 |
| ARN | Aldoro Resources | 4% | -19% | 0.13 | $16,802,968 |
| CRR | Critical Resources | 4% | 21% | 0.052 | $79,737,744 |
| AUN | Aurumin | 4% | -57% | 0.026 | $7,289,548 |
| CAI | Calidus Resources | 4% | -27% | 0.1975 | $115,445,931 |
| GT1 | Greentechnology | 4% | -17% | 0.685 | $140,565,165 |
| KAI | Kairos Minerals Ltd | 4% | 39% | 0.029 | $61,154,618 |
| PMT | Patriotbatterymetals | 4% | 135% | 1.76 | $578,484,058 |
| PGD | Peregrine Gold | 3% | -20% | 0.31 | $16,830,783 |
| EMH | European Metals Hldg | 3% | 27% | 0.81 | $98,137,195 |
| CY5 | Cygnus Metals Ltd | 3% | -14% | 0.325 | $70,330,219 |
| PLS | Pilbara Min Ltd | 3% | 35% | 5.075 | $14,751,082,407 |
| LIT | Lithium Australia | 3% | -27% | 0.033 | $39,078,134 |
| RAS | Ragusa Minerals Ltd | 3% | -42% | 0.067 | $9,268,921 |
| TOR | Torque Met | 3% | -6% | 0.17 | $15,895,611 |
| GSM | Golden State Mining | 3% | -19% | 0.035 | $6,497,001 |
| RIO | Rio Tinto Limited | 3% | 1% | 117.085 | $42,225,844,343 |
| IGO | IGO Limited | 3% | 18% | 15.845 | $11,661,924,320 |
| EMS | Eastern Metals | 3% | -3% | 0.072 | $4,657,788 |
| LNR | Lanthanein Resources | 3% | -12% | 0.0185 | $20,188,360 |
| MMC | Mitremining | 3% | 3% | 0.2875 | $10,705,828 |
| PNN | Power Minerals Ltd | 3% | -27% | 0.385 | $27,425,356 |
| WES | Wesfarmers Limited | 3% | 6% | 48.83 | $53,978,039,620 |
| AGY | Argosy Minerals Ltd | 2% | -27% | 0.415 | $568,785,037 |
| AKE | Allkem Limited | 2% | 49% | 16.785 | $10,470,345,772 |
| A11 | Atlantic Lithium | 2% | -23% | 0.475 | $283,297,372 |
| G88 | Golden Mile Res Ltd | 2% | 136% | 0.048 | $15,481,307 |
| ESS | Essential Metals Ltd | 2% | 60% | 0.52 | $136,459,014 |
| DRE | Dreadnought Resources Ltd | 2% | -45% | 0.058 | $189,680,509 |
| JRL | Jindalee Resources | 2% | -2% | 1.84 | $103,855,928 |
| OCN | Oceanalithiumlimited | 2% | -6% | 0.325 | $12,856,480 |
| CHR | Charger Metals | 2% | -27% | 0.325 | $19,876,598 |
| LTR | Liontown Resources | 1% | 118% | 2.88 | $6,254,405,864 |
| VSR | Voltaic Strategic | 1% | 211% | 0.073 | $26,600,958 |
| GLN | Galan Lithium Ltd | 1% | -16% | 0.895 | $298,170,133 |
| CXO | Core Lithium | 1% | -6% | 0.965 | $1,774,883,538 |
| LKE | Lake Resources | 1% | -63% | 0.2925 | $412,508,965 |
| ADV | Ardiden Ltd | 0% | 0% | 0.007 | $18,818,347 |
| 1MC | Morella Corporation | 0% | -33% | 0.008 | $48,788,644 |
| ASN | Anson Resources Ltd | 0% | -16% | 0.155 | $196,931,152 |
| AVZ | AVZ Minerals Ltd | 0% | 0% | 0.78 | $2,752,409,203 |
| INF | Infinity Lithium | 0% | -13% | 0.105 | $48,572,170 |
| MLS | Metals Australia | 0% | -26% | 0.033 | $20,593,194 |
| RLC | Reedy Lagoon Corp. | 0% | -20% | 0.008 | $4,533,757 |
| SYA | Sayona Mining Ltd | 0% | -3% | 0.185 | $1,857,240,534 |
| TKL | Traka Resources | 0% | 38% | 0.011 | $9,584,622 |
| LEL | Lithenergy | 0% | 4% | 0.8 | $82,408,000 |
| AAJ | Aruma Resources Ltd | 0% | -21% | 0.042 | $8,240,478 |
| PAM | Pan Asia Metals | 0% | -39% | 0.25 | $38,816,576 |
| AM7 | Arcadia Minerals | 0% | -39% | 0.125 | $11,756,263 |
| BYH | Bryah Resources Ltd | 0% | -26% | 0.019 | $6,564,600 |
| IMI | Infinitymining | 0% | -44% | 0.155 | $11,854,139 |
| RAG | Ragnar Metals Ltd | 0% | 110% | 0.024 | $9,100,437 |
| TMB | Tambourahmetals | 0% | 71% | 0.18 | $7,608,457 |
| TEM | Tempest Minerals | 0% | -35% | 0.015 | $7,602,325 |
| WML | Woomera Mining Ltd | 0% | -32% | 0.013 | $12,430,529 |
| AZL | Arizona Lithium Ltd | 0% | -45% | 0.034 | $93,890,290 |
| KGD | Kula Gold Limited | 0% | -28% | 0.018 | $6,717,815 |
| ENT | Enterprise Metals | 0% | -50% | 0.005 | $3,747,355 |
| AVW | Avira Resources Ltd | 0% | -17% | 0.0025 | $5,334,475 |
| NVA | Nova Minerals Ltd | 0% | -50% | 0.34 | $71,702,587 |
| A8G | Australasian Metals | 0% | -3% | 0.185 | $9,642,291 |
| VKA | Viking Mines Ltd | 0% | 0% | 0.01 | $10,252,584 |
| SRI | Sipa Resources Ltd | 0% | -31% | 0.022 | $5,019,479 |
| RGL | Riversgold | 0% | -50% | 0.015 | $14,268,922 |
| EPM | Eclipse Metals | 0% | 38% | 0.022 | $44,617,315 |
| EVR | Ev Resources Ltd | 0% | 0% | 0.014 | $13,103,777 |
| MNS | Magnis Energy Tech | 0% | -61% | 0.145 | $161,723,065 |
| THR | Thor Energy PLC | 0% | -33% | 0.004 | $5,837,166 |
| YAR | Yari Minerals Ltd | 0% | -12% | 0.015 | $7,235,367 |
| MXR | Maximus Resources | 0% | -13% | 0.035 | $11,166,952 |
| LLI | Loyal Lithium Ltd | 0% | 8% | 0.32 | $19,036,800 |
| WMC | Wiluna Mining Corp | 0% | 0% | 0.205 | $74,238,031 |
| ZEO | Zeotech Limited | 0% | -6% | 0.044 | $75,060,615 |
| LIS | Lisenergylimited | 0% | -14% | 0.275 | $45,626,401 |
| DAF | Discovery Alaska Ltd | 0% | -9% | 0.029 | $6,792,806 |
| FTL | Firetail Resources | 0% | -44% | 0.089 | $6,853,000 |
| TUL | Tulla Resources | 0% | 6% | 0.35 | $118,262,971 |
| RMX | Red Mount Min Ltd | 0% | 0% | 0.005 | $11,359,255 |
| ENT | Enterprise Metals | 0% | -50% | 0.005 | $3,747,355 |
| FIN | FIN Resources Ltd | 0% | -21% | 0.015 | $9,278,030 |
| DTM | Dart Mining NL | 0% | -33% | 0.037 | $6,374,627 |
| MAN | Mandrake Res Ltd | 0% | 8% | 0.043 | $25,746,677 |
| XTC | Xantippe Res Ltd | 0% | -60% | 0.002 | $22,960,199 |
| IEC | Intra Energy Corp | 0% | -13% | 0.007 | $4,940,471 |
| SBR | Sabre Resources | 0% | 13% | 0.043 | $12,533,906 |
| TMX | Terrain Minerals | 0% | 0% | 0.006 | $6,499,196 |
| TMB | Tambourahmetals | 0% | 71% | 0.18 | $7,608,457 |
| IR1 | Irismetals | -1% | 25% | 1.45 | $116,405,800 |
| MTM | MTM Critical Metals | -1% | 16% | 0.092 | $8,279,253 |
| LRD | Lordresourceslimited | -1% | -46% | 0.09 | $3,379,023 |
| LRD | Lordresourceslimited | -1% | -46% | 0.09 | $3,379,023 |
| PLL | Piedmont Lithium Inc | -1% | 35% | 0.87 | $336,910,200 |
| AZI | Altamin Limited | -1% | -1% | 0.079 | $31,337,340 |
| AS2 | Askarimetalslimited | -2% | -28% | 0.315 | $21,878,545 |
| DLI | Delta Lithium | -2% | 97% | 0.935 | $494,866,234 |
| LLL | Leolithiumlimited | -2% | 148% | 1.205 | $1,209,362,846 |
| EUR | European Lithium Ltd | -2% | 20% | 0.089 | $135,975,765 |
| SCN | Scorpion Minerals | -2% | 14% | 0.08 | $28,347,908 |
| DAL | Dalaroometalsltd | -3% | -29% | 0.071 | $3,162,725 |
| LRS | Latin Resources Ltd | -3% | 252% | 0.345 | $928,385,230 |
| LPI | Lithium Pwr Int Ltd | -3% | -23% | 0.34 | $220,233,146 |
| NKL | Nickelxltd | -3% | -16% | 0.067 | $5,964,034 |
| TON | Triton Min Ltd | -3% | -8% | 0.033 | $53,086,091 |
| MM1 | Midasmineralsltd | -3% | 50% | 0.3 | $22,769,318 |
| SLM | Solismineralsltd | -3% | 1287% | 1.04 | $65,658,494 |
| ALY | Alchemy Resource Ltd | -3% | -39% | 0.014 | $17,082,106 |
| VMC | Venus Metals Cor Ltd | -4% | 72% | 0.135 | $26,562,016 |
| WC8 | Wildcat Resources | -4% | 463% | 0.135 | $93,180,024 |
| PAT | Patriot Lithium | -4% | 0% | 0.265 | $16,881,563 |
| PSC | Prospect Res Ltd | -4% | 8% | 0.13 | $62,405,027 |
| QXR | Qx Resources Limited | -4% | -40% | 0.025 | $23,318,420 |
| STM | Sunstone Metals Ltd | -4% | -32% | 0.025 | $80,131,607 |
| SGQ | St George Min Ltd | -4% | -34% | 0.045 | $39,503,996 |
| BMM | Balkanminingandmin | -5% | -36% | 0.21 | $10,509,843 |
| REC | Rechargemetals | -5% | 133% | 0.315 | $34,842,876 |
| AZS | Azure Minerals | -5% | 629% | 1.64 | $671,206,044 |
| BNR | Bulletin Res Ltd | -5% | -35% | 0.06 | $18,496,239 |
| DYM | Dynamicmetalslimited | -5% | 0% | 0.285 | $10,500,000 |
| NWM | Norwest Minerals | -5% | 4% | 0.056 | $16,380,436 |
| WR1 | Winsome Resources | -5% | 50% | 1.85 | $316,835,058 |
| CMD | Cassius Mining Ltd | -5% | 85% | 0.037 | $19,372,400 |
| MQR | Marquee Resource Ltd | -5% | -3% | 0.036 | $12,566,885 |
| GL1 | Globallith | -5% | -11% | 1.645 | $450,836,667 |
| NMT | Neometals Ltd | -6% | -38% | 0.495 | $290,189,117 |
| ANX | Anax Metals Ltd | -7% | 25% | 0.066 | $29,067,033 |
| IPT | Impact Minerals | -7% | 86% | 0.013 | $39,825,854 |
| ZNC | Zenith Minerals Ltd | -8% | -71% | 0.078 | $29,952,375 |
| AX8 | Accelerate Resources | -9% | -9% | 0.021 | $8,730,840 |
| NIS | Nickelsearch | -20% | -60% | 0.064 | $7,620,829 |
| EMC | Everest Metals Corp | -31% | 197% | 0.235 | $44,007,257 |
Who’s got news out?
Days after applying for the ground early exploration work has kicked off at Southern Hemisphere Mining’s (ASX:SUH) Lago lithium brines project in Chile.
Lago covers 27sqkm near two of the world’s biggest lithium companies, Ablemarle and SQM, in the renowned Atacama region.
Early stages in brine exploration are low cost and quick to advance, SUH says.
“Work has already commenced on this interesting project to ascertain the scale of this new addition to the company’s Chilean mineral asset portfolio,” it says.
“The work will target brines from these nine new concessions that are potentially amenable to both Direct Lithium Extraction (DLE) and/or conventional solar evaporation.”
It looks like Future Battery Minerals (ASX:FBM) has found extensions to the lithium clays in drilling at the Nevada project (NLP).
Drilling hit the so-called ‘Siebert Formation’ which hosts the lithium clays, with intercepts ranging from 76-204m.
“The intercepts indicate that potential extension of Lithium Claystone exist across a strike of at least 3.7km north east–south west and 2.6km east-west, and are shallowing within the Lone Mountain Prospect,” the company says.
“Importantly, the potential extension remains open in multiple directions.”
Assays are due in 4-6 weeks. A new round of drilling is penciled in for mid-Q3.
Multiple pegmatites (rocks that can contain lithium) have been intersected during a maiden aircore drill program on Lightning Minerals’ (ASX:L1M) Dundas project in WA.
A few of the peggies were intersected at end-of-hole and remain open, “presenting further opportunity to determine true thickness”.
“The true width of the discovered pegmatites has not yet been verified due to the limitations of aircore drilling into hard lithologies,” L1M says.
The drilling campaign at Dundas — 5km from Liontown Resources’ (ASX: LTR) 15Mt Buldania/Anna lithium deposit – is about 25% complete.
More lithium-rich brines from drilling at Lithium Energy’s (ASX:LEL) Solaroz project in Argentina, where the company is looking to build on a recently defined 3.3Mt maiden resource.
Drilling has started on Hole 7, which is a big step out from the current resource.
Meanwhile, Hole 6 has encountered lithium-rich brines in the upper aquifer and lower aquifer, with a total intersection of 164m (to date) and lithium concentrations of up to 448 mg/l.
Hole 6 is currently at ~440m with a target hole depth of ~500m. Holes 4 and 5 are complete, with final assays pending.
Midas Minerals (ASX:MM1) has picked up rock chips grading up to 3.82% lithium at the Greenbush and Barbara projects in Ontario, Canada.
“From the limited outcrop and now the results of our reconnaissance sampling, we believe we have identified a prospective corridor for LCT pegmatites at Greenbush extending for at least 1.7km,” MM1 MD Mark Calderwood says.
“Further mapping is planned south of the Greenbush Lake fault in an area with a similar geological setting to Green Technology Metals’ (ASX:GT1) Root lithium project.
“This is happening in parallel to Midas seeking drill permits.”
Results are also pending for 330 assays from sampling at the Yellowknife lithium project, also in Canada.
In Short:
This week’s big winner Everest Metals (ASX:EMC) has given back of chunk of its gains after a small drilling program at the Mt Edon lithium-rubidium project returned sub-economic lithium results.
However, EMC COO Simon Phillips says the hunt for the source of this LCT mineralisation continues “with the proposed stage 2 drilling campaign set to commence in early August 2023”.
Global Lithium (ASX:GL1) has made a hard rock rare earths discovery at the 32.7Mt Manna lithium project in the WA goldfields.
Highlights from drilling include 11m at 2.72% TREO from 55m, including a peak assay of 24.17% TREO over 1m.
And Summit Minerals (ASX:SUM) has a binding agreement to buy 80% of the Castor lithium project in James Bay, Quebec.
The vendors are DG Resource Management (DGRM), which has sold ground to several ASX juniors looking to get a foothold in the world’s hottest lithium province.
