DRILLING TO COMMENCE EARLY OCTOBER AT LAKE’S CAUCHARI LITHIUM PROJECT
- Drilling is anticipated to show a likely extension of the high grade lithium brine sequence from adjoining world-class lithium resources based on recent seismic lines.
- Drill locations chosen – up to four holes to be drilled.
Argentine-focused lithium exploration and project development company Lake Resources NL (ASX: LKE) is pleased to confirm that following recent positive discussions with relevant authorities in Argentina this week, drill hole locations have now been determined for the upcoming drill program at the 100%-owned Cauchari Lithium Brine Project.
The initial plan is to drill three holes, with a possible fourth hole, to depths of 400 metres. Drilling is anticipated to show a likely extension to the high grade lithium brines in adjacent properties, and work is likely to commence in early October, barring any unforeseen delays.
Third party drill results on the adjoining project include 600mg/L lithium with high flow rates and 470mg/L close to the lease boundary. Based on recent seismic lines, Lake expects these high grade lithium brines to extend into its leases and brine bearing sediments are estimated to extend to 300-400 metres deep, based on the interpretation of the seismic line completed by Lake.
Lake’s Cauchari Lithium Brine Project adjoins the proven Cauchari lithium brine projects of SQM/Lithium Americas (soon to be Gangfeng/Lithium Americas), with an indicated resource of 8.7 Mt lithium carbonate equivalent (LCE) and an additional measured resource of 3 Mt LCE, and the Cauchari resource of Orocobre/Advantage Lithium with an inferred resource of 3.0 Mt LCE (*1), which is in the process of being upgraded to measured and indicated classification. Lake originally secured the 18,000 hectare Olaroz-Cauchari leases in early 2016 and is the only ASX junior exploration company with a large lease portfolio in this world class lithium brine province.
Managing Director Steve Promnitz said, “Discussions with relevant authorities in Argentina this week support the commencement of drilling early next month.
“This is a material development for Lake given the Cauchari leases show an extension from the adjoining proven lithium brine project which aims to be in production in two years. We will be drilling approximately 400-500 metres away from nearby high grade results which we aim to repeat.
“Lake is the only junior exploration company with such highly prospective and large exploration projects in Olaroz-Cauchari, and successful drilling will add materially to the value of our assets here.
“We are also working hard to deliver a maiden resource estimate for Kachi very soon. Interest in this project from offtake partners is very high.
“We also note recent reports by the Argentine Government with respect to temporary changes to export taxes, and we confirm that they have no impact on Lake. It is business as usual for us in Argentina with all projects advancing to plan.”