Join our daily newsletter At The Bell to receive exclusive market insights
- Lake Resources (LKE) aims to undertake new drilling at its 100 per cent owned lithium brine projects at Olaroz, Cauchari and Paso in north-west Argentina
- Located in the Jujuy province, the 10-hole, 4000 metre (m) drill program will begin in January 2022
- Brines will be sampled and tested, followed by an anticipated pre-feasibility study once a resource has been identified
- The program runs in parallel with DFS development work at the Kachi Lithium project, LKE eyes an expanded resource base in response to accelerating lithium demand
- Lake Resources shares are up 2.4 per cent to trade at 86 cents at 10:37 am AEDT
Lake Resources (LKE) aims to undertake new drilling at its 100 per cent owned lithium brine projects at Olaroz, Cauchari and Paso.
The 10-hole, 4000 metre (m) drill program will begin in January 2022, with the projects located in Jujuy province in northwest Argentina.
The drill program will start at the northern areas of the Olaroz leases which cover 30 kilometres (km) on the eastern side of established lithium producers.
A second rotary drill rig is being sourced to potentially work alongside the diamond rig to quickly quantify brines, develop the aquifers and conduct pumping tests.
Additionally, passive seismic geophysics are currently underway to be potentially followed by detailed electromagnetic geophysical surveys over key areas.
Brines will be sampled and tested with environmentally friendly lithium extraction methods, followed by a scoping study and an anticipated pre-feasibility study once a resource has been identified.
Lake has previously confirmed high-grade lithium brines zones at its Cauchari project where results averaged 493 mg/L lithium over 323 m and anticipates similar potential from Olaroz and Paso.
The company says it holds mining leases over 47,000 hectares over the three projects.
The program runs in parallel with DFS development work at Lake’s flagship Kachi Lithium project, as the company eyes an expanded resource base in response to accelerating lithium demand.
Lake Resources managing director, Steve Promnitz, says the move follows further upgrades in lithium demand and increased electric vehicle production plans.
“Now is the perfect time to expand our resource base, with Argentina gaining increasing international investment due to the quality of its lithium resources,” he said.
“Having recently visited the project site and engaged with local stakeholders, we are keen to ramp up activity early in the new year to seize this window of opportunity for Lake.”
Lake Resources shares are up 2.4 per cent to trade at 86 cents at 10:37 am AEDT.
