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- Galan Lithium’s (GLN) high-grade maiden lithium resource at the Hombre Muerto West Project in Argentina has exceeded expectations
- The new resource has significantly increased Galan’s expectations of grade, impurities and size of the project
- The company also increased its combined mineral resource by 158 per cent from 685,000 tonnes of lithium carbonate equivalent to 1.77 million tonnes
- Galan has planned further work to better define the mineral resources
- Company shares are down four per cent on the market and trading for 24 cents each
Galan Lithium’s (GLN) high-grade maiden lithium resource at the Hombre Muerto West (HMW) Project has exceeded expectations.
The company has reported a maiden inferred mineral resource for the Pata Pila and Rana de Sal tenements of 1.08 million tonnes of contained lithium carbonate equivalent (LCE) at 946 milligrams per litre (mg/l) of lithium.
This has significantly exceeded Galan’s expectations of grade, impurities and size of the project and its tenements.
Galan’s total combined mineral resource also increased by 158 per cent from 685,000 tonnes of LCE at 672mg/l lithium to 1.77 million tonnes LCE at 837mg/l lithium.
The mineral resource estimations were undertaken by SRK Consulting and was based upon results from drill holes within Pata Pila and Rana de Sal.
“We are delighted to deliver a JORC reported maiden resource estimate resulting in an approximate 1.1 million tonnes of LCE product within the HMW project area,” Managing Director Juan Pablo Vargas de la Vega commented.
“With the new combined resource of 1.8 million tonnes of LCE and flexibility of two solid projects, our strategy is now stronger to advance towards commercial development and to demonstrate the economic product viability,” he added.
The HMW Project is located on the western shores of Hombre Muerto, a lithium-bearing evaporated Lake, in Argentina. It is located approximately 1400 kilometres northwest of Buenos Aires.
It hosts the world’s largest reserves of lithium with 60 per cent of global annual production coming from the project.
The project comprises of two exploration permits covering a total area of 3843 hectares.
Galan has now planned further work to better define the mineral resources from HMW which will include additional drilling to provide better geological definition and mineralisation potential.
Additionally, complementary works will include the new HMW resource for the inclusion in the scoping and pre-feasibility study.
Galan is down four per cent on the market and shares are trading for 24 cents each at 12:18 pm AEDT.
