Golden State now waiting on drill results for next big lithium move

Golden State Mining will soon have a clearer idea where in its Yule project it should focus its gold and lithium exploration efforts after completing reconnaissance aircore drilling.

The company is particularly keen on uncovering the lithium potential of the Yule East area having already planned an reverse circulation program totalling about 1,500m for early 2022 to test four lithium-caesium-tantalum (LCT) targets that it had previously identified.

Proving up a lithium resource will be invaluable given that growing appetite for lithium-ion batteries has led consultancy Wood Mackenzie to project that 20 more mines the size of Greenbushes will be needed by 2030 to meet demand.

First assay results from the 16,326m Phase 3 aircore program over 18 targets at Golden State Mining’s (ASX:GSM) Yule South, North and East areas are expected in late December with further results expected to provide a steady stream of news throughout January and February 2022.

“We are very pleased to have completed an extensive aircore drill program focusing on gold and lithium target areas at the Yule project in the highly prospective Mallina Basin,” managing director Michael Moore said.

GSM holds over 700sqkm of tenements in the underexplored region of WA. It plans to develop and refine further targets “particularly in the exciting Yule East project area where a large granite pluton of the Split Rock Supersuite is interpreted to serve as a fertile source for LCT pegmatite mineralisation in the Mallina Basin”.

Based on a range of spatial, geochemical, and geochronological evidence, the company believes that the Mallina Basin is a highly prospective target area for LCT pegmatite mineralisation.

Aircore drilling

The aircore drilling program of 213 holes had been carried out over 18 target areas – 12 new areas with 10 at Yule East and two at Yule North, and six existing target areas at Yule South.

This program recorded a wide range of rock types including interpreted altered and sheared metasedimentary types, metamorphic and mafic schists and granitoid/porphyritic intrusive bodies.

As such, Golden State will subject selected drill holes to its lithium-base metal assay suite analysis and additional petrological studies while all holes with suitable transitional to fresh lithic fragments will undergo end-of-hole multi-element analysis.

Upcoming activity

Besides the expected assay results from the aircore drilling, the company has also mapped out an aggressive exploration program once the new year begins.

It will kick off 2022 with a soil geochemistry program at the Four Mile Well project near Leonora before starting the 1,500m lithium-focused RC drill program at Yule East and Yule South.

The latter will be followed up by more aircore and RC drilling of gold and lithium targets based on the outcomes of the recent air-core drilling.

This article was developed in collaboration with Golden State Mining, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.