PriceSensitive

Anson Resources (ASX:ASN) completes further studies at Paradox Brine Project

Mining
ASX:ASN      MCAP $161.0M
29 June 2020 13:00 (AEST)
Anson Resources (ASX:ASN) - Executive Chairman & CEO, Bruce Richardson

Source: YouTube

Anson Resources (ASN) has completed land and cultural studies and spring environmental studies over its Paradox Brine Project claims in Utah, U.S.

The completion of the land and cultural surveys marks the final step in the application process for an industrial lease. It also follows the completion of the public consultation and Utah Resource Development Coordinating Committee (RDCC) processes.

The completion of these studies marks further progress in the development of Anson’s planned bromine and lithium plant.

Additionally, Anson has appointed the local supplier of electricity to commence an engineering study to supply power to the proposed production plant.

“One of the great advantages of working in the U.S. is the excellent existing infrastructure. The agreement by the local electricity supply company to conduct an engineering study indicates that there is no impediment to the supply of power for the project, a major input requirement for the production process,” Executive Chairman and CEO Bruce Richardson said.

The company reports electricity representatives visited the site just days after Anson submitted an application — a testament to the importance of the project.

“Discussions with potential gas suppliers have also progressed with one oil and gas producer reportedly burning up to 300,000 cubic feet a day of gas,” Bruce added.

This means Anson can make use of gas that would have been otherwise wasted.

Anson has now begun negotiating with the School and Institutional Trust Lands Administration (SITLA) regarding annual lease fees. The proposed plant sits on a lease owned by SITLA.

These are expected to be completed within a few weeks and, once completed, SITLA will prepare an industrial lease agreement for Anson to consider.

Now that the spring environmental surveys have been completed, a plan of operations can be submitted to the USA Bureau of Land Management (BLM).

If this gets approved, Anson can conduct its re-entry program to increase bromine and lithium carbonate equivalent (LCE) estimated tonnages in the JORC indicated and inferred categories.

The completion of this further re-entry program will allow Anson to extend its Preliminary Economic Assessment to stage three of its project, expansion of the sodium bromide plant and a commercial lithium carbonate plant.

Anson is up 9.09 per cent and shares are trading for 2.4 cents each at 12:37 pm AEST.

Related News