Liontown Resources leaps 60pc on WA lithium find
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Liontown Resources leaped almost 60 per cent after confirming widespread lithium mineralisation at a newly acquired project in Western Australia’s Eastern Goldfields.
Initial rock chip sampling at Liontown’s Buldania site revealed high-grade mineralisation over an extensive area.
Better results included 4.6 per cent lithium oxide and 3.5 per cent lithium oxide.
The news sent Liontown (ASX:LTR) soaring as much as 83 per cent to a Monday high of 2.2c before closing up 58 per cent at 1.9c.
The mineralisation is associated with primary spodumene with little apparent depletion of lithium.
There has been limited previous lithium exploration in the area due to a focus on gold and nickel.
Sampling was to follow-up gold and nickel exploration work that had reported numerous lithium-rich pegmatites.
Pegmatites — rocks formed from lava or magma that often contain rare earth minerals and crystals — are the primary source of lithium.
Initial drilling is planned for late this year.
Both lie in the southern part of WA’s Eastern Goldfields in a region known for hosting significant lithium deposits including Mount Marion and Bald Hill.