Lithium Energy Limited (ASX:LEL) has further extended the massive intersections of conductive brines at the fourth (SOZDD004) and fifth (SOZDD005) holes currently being drilled at the company’s flagship Solaroz Lithium Brine Project in Argentina.
The project is located next to Allkem’s flagship Lithium Facility in the Salar de Olaroz basin located in the heart of South America’s world renowned ‘Lithium Triangle’.
A third drill rig has now mobilised to Solaroz, with drilling at Hole 6 (SOZDD006) located on the Chico VI concession set to commence shortly. Hole 6 is located along a ~15km zone between SOZDD001 and SOZDD003
The $10.6Bn merger of Allkem and Livent highlights the world class location of the Olaroz Salar in Argentina, where Allkem shares the lithium rights with Lithium Energy and Lithium Americas Corporation, Executive Chairman, William Johnson, said.
Drilling continues to extend outstanding intersections of lithium rich brines at Solaroz, with 473.5m of brines now encountered in SOZDD004 so far and 417.5m in SOZDD005.
Further assay results to current drill hole depth (almost 800m at SOZDD004) are yet to be received, with potential for the intersections to therefore increase even further in each hole.
As previously reported, the significance of these intersections at SOZDD004 and SOZDD005 cannot be overstated as they highlight the continuity of massive zones of lithium rich brines along a ~15km zone between previously drilled Solaroz drillholes SOZDD001 and SOZDD003.
With three rigs soon to be operating concurrently, we are excited to be rapidly advancing towards defining our maiden JORC resource at Solaroz and consider the Allkem/Livent merger as a clear endorsement of our strategy to accelerate the development of Solaroz alongside Allkem.
Solaroz comprises eight mineral concessions totalling approximately 12,000 hectares, located on the Salar de Olaroz basin within South America’s ‘Lithium Triangle.’ The Olaroz Salar covers ~45,000 hectares (approximately ~30km long and ~15km).
Lithium Energy is one of only three groups that control the lithium concession rights on the Olaroz Salar, with the remainder of these lithium rights held by Allkem Limited and Lithium Americas Corporation.
Allkem’s flagship Olaroz Lithium Facility, in a joint venture with Tokyo Stock Exchange listed Toyota Tsusho Corporation has been extracting lithium brine and producing lithium carbonate since ~2015.2 Lithium Americas’ Cauchari-Olaroz development project (in a joint venture with Ganfeng Lithium) is under construction on the neighbouring Salar de Cauchari.
Earlier this week, Allkem announced a US$10.6Bn merger with lithium processing technology company, Livent Corporation.
This merger highlights the premium value being placed on large scale lithium brine projects in Argentina, where Argentina is regarded as the country with the most supportive jurisdiction for lithium production within South America’s prolific lithium triangle. Lithium Energy’s Solaroz Project comprises a substantial portion of the lithium rights in the Olaroz Salar basin that hosts Allkem’s flagship Olaroz Lithium Facility.
Lithium Energy considers this Allkem-Livent merger as a significant endorsement of its strategy to accelerate the development of Solaroz alongside Allkem at Olaroz.
For further information please visit: https://lithiumenergy.com.au/
