- Drilling and geophysics point out the existence of a giant brine basin at Liberty Lithium Brine Venture USA, with brine intersected over 400 m vertically.
- oGeological similarities confirmed with the close by Silver Peak lithium brine producer Albemarle, in Clayton Valley Nevada, with encouraging preliminary lithium assay outcomes, aquifers and salinity.
- Lithium brine specialists have proposed further drilling to intersect deep lithium brines within the centre of the basin, in a extra beneficial setting, additional west of latest drilling.
- Discussions proceed with varied USA based mostly battery provide members who’re eager to work with potential new lithium builders throughout the USA, together with with Stardust who purpose to IPO in June.
- QXR and IG Lithium Possibility Agreements are being amended to facilitate enterprise additional drilling.
- QXR goals to offer an replace quickly on progress with gold exploration in Queensland.
Porous conglomerates saturated with brines have been intersected beneath positive grained lake sediments with sandy layers. The geology intersected could be very encouraging as it’s much like the manufacturing sequences of Clayton Valley Nevada, the place Albemarle’s producing lithium brine deposit is positioned 1. Detailed downhole geophysics along with preliminary downhole brine sampling (packer sampling) exhibits growing salinity with depth, along with giant brine volumes, each encouraging for locating a probably financial lithium brine deposit within the properties.
Though the utmost lithium assay values have been 50mg/l Li over 15 metres close to the bottom of gap #2 (Desk 2), the salinity and conductivity elevated with depth, at ranges much like identified producers. Ingress of contemporary water into the aquifers might clarify the decrease lithium values in drill holes #1 and #2 being positioned near a variety entrance fault on the sting of the basin. These preliminary holes have been positioned close to the sting of the basin partly for logistics and entry causes in addition to the floor lithium anomaly.
Gap #2 additionally intersected thick porous brine horizons – important for future success- which is taken into account encouraging, along with the geological similarity to Clayton Valley NV (Albemarle’s Silver Peak mine). These similarities embrace basal porous conglomerate models containing brine beneath finer grained lake sediments. Nevertheless, the very best producing horizons at Clayton Valley are tuff models throughout the sediment package deal which haven’t been intersected in drillholes up to now, however which outcrop 4km to the southwest of gap #2 (Determine 4).
Outcomes have been analysed by exterior lithium brine specialists to provide interpretations, together with the globally recognised Hydrominex Geoscience Consulting. Lithium brine specialists have suggested further drilling is required to probably intersect deep lithium brines within the centre of the basin, additional west of drilling undertaken by QXR, based mostly on lab outcomes up to now.
QXR Managing Director, Stephen Promnitz, stated:“QXR has outlined a brand new giant scale brine basin, saturated with brines, on the Liberty Lithium Brine Venture. A big near-surface brine area with lithium potential is uncommon up to now within the USA. The geological setting, with conglomerates loaded with brines, is much like Albemarle’s producing deposit. We’re but to seek out tuff horizons much like Clayton Valley, that are the very best brine aquifers – though they do outcrop close by, suggesting they might exist throughout the basin. Floor and downhole geophysics make it compelling for additional drilling to the west, within the centre of the basin underneath deeper sediments, which can intersect greater grade lithium brine, in comparison with the drilling up to now.”
Subsequent Steps
Purposes for additional drillholes have been submitted a while in the past. To offer operational flexibility, an amended drill program has been submitted to regulators for approval. Bulk volumes of brine might be submitted for testwork with chosen direct lithium extraction (DLE) suppliers, in addition to with lithium refiner Stardust Energy Inc, with whom QXR holds at Letter of Intent (ASX announcement 29 Feb 2024). Stardust expects to record on NASDAQ in June by way of a c.US$490m deal after which plans to construct a lithium refinery in Oklahoma.
Discussions proceed with varied USA based mostly battery provide members who’re eager to work with potential new lithium builders throughout the USA.
QXR and IG Lithium are presently discussing amendments to the Possibility Agreements to facilitate the enterprise of additional drilling.
Background
The Liberty Lithium Brine Venture, positioned in SaltFire Flat, California, covers contiguous claims over 102km2 (25,300 acres), being one of many largest single lithium brine tasks within the USA (Determine 1). The Firm entered an Choice to Buy Settlement and an Working Settlement (Possibility Agreements) to earn a 75% curiosity within the giant scale Liberty Lithium brine venture in California, USA, from vendor IG Lithium LLC (ASX announcement 5 October 2023). Primarily based on outcomes acquired up to now, the Firm is presently in dialogue with IG Lithium concerning potential renegotiation of the Possibility Agreements to permit an extended time frame to conduct further drilling previous to any future commitments.
Two vertical diamond drill holes have been accomplished (369m & 443 metres depth), spaced 4km aside (Determine 2, 3). Holes have been centred over an intensive lithium brine floor anomaly and important MT geophysical goal, interpreted as a sequence of conductive brine bearing aquifers at depth. Brine horizons have been intersected in each holes with quite a few brine aquifers intersected in drillhole #2 (ASX announcement 8 Feb 2024).
QXR entered right into a Letter of Intent with Stardust Energy Inc., a growth stage American producer of battery-grade lithium merchandise, to evaluate the lithium brines from the Liberty Lithium Brine Venture. The events intend to judge choices to probably provide Stardust Energy with lithium brine merchandise, depending on outcomes, on a non-exclusive foundation for processing into battery-grade lithium supplies for electrical autos (ASX announcement 29 Feb 2024). The Firm plans to share the outcomes of the 2 gap drill program with Stardust as a part of ongoing discussions.
Click here for the full ASX Release
This text consists of content material from QX Assets, licensed for the aim of publishing on Investing Information Australia. This text doesn’t represent monetary product recommendation. It’s your duty to carry out correct due diligence earlier than appearing upon any data offered right here. Please check with our full disclaimer right here.