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- Argosy Minerals (AGY) is about to begin production well rotary drilling works and diamond drilling at the Rincon lithium project in Salta Province, Argentina
- The rotary drill rig arrived at the site last week and will drill two production wells up to 300 metres in depth to update the brine ore reserve estimate
- The diamond drill rig is expected to arrive later this week to conduct a resource expansion drilling program to increase the current JORC indicated mineral resource estimate
- Managing Director Jerko Zuvela says the works will enhance the long-term viability and status of the Rincon project
- Shares in Argosy are trading 3.08 per cent higher at 33.5 cents 10:23 am AEST
Argosy Minerals (AGY) is commencing its production well rotary drilling works this week at the Rincon lithium project in Salta Province, Argentina.
The rotary drill rig arrived at the site last week and will drill two production wells up to 300 metres in depth.
The company will then conduct pump testing and associated works to facilitate the brine ore reserve estimate preparation and subsequently complete an upgraded feasibility study.
The diamond drill rig is expected to arrive later this week to conduct a resource expansion drilling program to increase the current JORC indicated mineral resource estimate. Drilling is expected to commence next week.
The current defined exploration target is estimated as 262,000 tonnes to 479,000 tonnes of lithium carbonate between the depth interval of 102.5 to 300 metres below ground level.
The combined JORC indicated mineral resource and exploration target estimates outline the potential for a range of up to 507,000 tonnes to 724,000 tonnes of contained lithium carbonate to a depth of 300 metres.
Managing Director Jerko Zuvela said the works will enhance the long-term viability and status of the Rincon project.
“Argosy’s pathway to being a battery quality lithium carbonate producer and cash flow generator is nearing, and we look forward to a significant near-term growth phase from our operations this year and beyond at our Rincon lithium project.”
The planned resource expansion works is said to prove the exploration target estimate and may materially increase the current resource estimate, project mine life and provide scope to considerably increase the annual production capacity.
Shares in Argosy were trading 3.08 per cent higher at 33.5 cents 10:23 am AEST.
