- Arcadia Minerals (AM7) expects a significant mineral resource increase for its Bitterwasser project in Namibia, following receipt of the final drilling results
- The latest results come from the final 32 holes from the 64-hole follow-up auger program and has returned grades peaking at 811 parts per million lithium
- The company expects the revised mineral resource estimate to be completed by the end of quarter two of this year
- AM7 is also undertaking bench scale test work for lithium extraction by using both organic and sulphuric acids with the aim of producing a battery grade lithium product
- At market close shares are down 7.02 per cent at 26.5 cents
Arcadia Minerals (AM7) is expecting a significant mineral resource increase for its Bitterwasser project in Namibia, following receipt of the final drilling results.
In February, the company completed a 64-hole follow-up auger drilling campaign across the Eden Pan with drill holes completed to a depth of 9.6 metres.
Initial assay results from 32 holes returned significant lithium mineralisation which the company said confirmed the existence of continued mineralisation.
Now, assay results for the outstanding holes have been received with all holes returning lithium mineralisation.
The pick of the new results from the middle green clay unit came from the centre of the pan at shallow depths as the company expected, with grades peaking at 811 parts per million lithium.
“The drilling results bode well for a significant increase to the existing mineral resource of 15 million tonnes,” Chief Executive Officer Philip Le Roux said.
“…Especially considering that the maiden mineral resource was derived from 16 drill holes and that 43 holes of the 64-hole follow-up auger drilling campaign intersected the Middle Green Clay Unit, all of which were significantly mineralised to a similar tenor than what we’ve seen from our first drilling campaign at the Eden Pan,” he continued.
The company expects the revised mineral resource estimate (MRE) to be completed by the end of quarter two of this year.
Furthermore, a regional study has identified seven additional pans, most of which have not been tested for lithium mineralisation.
If the mineralisation proves to be similar in mode and tenor to that at the Eden pan, Arcadia said this would significantly increase the potential for an increase in the MRE tonnage associated with the project.
In conjunction with the resource upgrade work, AM7 is undertaking bench scale test work for lithium extraction by using both organic and sulphuric acids with the aim of producing a battery grade lithium product.
Through its subsidiary, Brines Mining and Exploration Namibia, the company has also exercised a first option to acquire 25 per cent of Bitterwasser Lithium Exploration (BLE).
Consideration for this stake in the company was $92,000 and AM7 can acquire the remaining 75 per cent by exercising an additional option within two years from April 12, and paying $184,000.
The BLE licences bring Arcadia’s land holding to a combined 4031 square kilometres.
At market close, shares were down 7.02 per cent to 26.5 cents.