Usha Resources Ltd (TSX-V:USHA) said that drilling operations have commenced for a third hole, JP23-02, at the Jackpot Lake Lithium Brine Property in Clark County, Nevada, which it wholly owns.
The company plans to drill hole JP23-01 immediately after developing and conducting the initial sampling of JP23-02. Both holes, JP23-01 and JP23-02, are being twinned with JP22-01 and JP22-02, respectively, to ensure the integrity of each hole as they progress to their planned depth of 2,000 feet.
Additionally, Usha Resources revealed that it has initiated preliminary work on its NI 43-101 resource estimate, a key step in evaluating the project's potential.
In a statement, Deepak Varshney, CEO of Usha Resources, expressed enthusiasm about the drilling progress, commenting: "We are thrilled to return to Jackpot Lake and resume drilling. The work to date has demonstrated that Jackpot contains the right system for a major lithium discovery, and by exploring to a depth of 2,000 feet, we aim to gather a more comprehensive understanding of the mineral potential within our project area, further enhancing the overall resource estimation and project feasibility of Jackpot Lake."
The aim of the drilling program is to expand upon the initial findings, which indicate that Jackpot Lake exhibits a geological setting similar to Clayton Valley. Clayton Valley is home to Albemarle's Silver Peak Nevada Lithium Mine, the sole lithium-producing mine in North America.
Preliminary results from the program indicate that the soils at the Jackpot Lake Project contain lithium levels comparable to those in Clayton Valley. Sampling from shallow surface soils within JP22-02 yielded an average lithium content of 334 parts per million (ppm) and a high of 820 ppm. These findings compare favorably to the reported average of 100 ppm for the Esmeralda Formation, a potential source of lithium enrichment in Clayton Valley.
The drilling has also identified a geologic system resembling that of Clayton Valley, with significant evaporitic crystallization present throughout the advanced holes. JP22-02 contained a 146-foot interval of evaporites, along with clay, sand interbeds, and cross-cutting laminations. Moreover, a large zone of higher-porosity sand and conglomerate, estimated to be at least 273 feet, suggests the presence of a potentially pumpable aquifer.
These positive findings support the company's plan to conduct a 43-101 resource estimate. The stratigraphy encountered in JP22-02 closely matches that of JP22-01, indicating favorable stratigraphy throughout the basin. This similarity, particularly in the basal conglomerates and evaporites, further supports the belief that Dry Lake, where Jackpot is located, shares a geologic setting with Clayton Valley.
Usha Resources aims to reach a depth of 2,000 feet with each of the JP23-01 and JP23-02 holes, potentially expanding on the previously identified higher-porosity zones. These zones are believed to contain the most promising brines. Depending on the sample results, the company will proceed with further drilling or complete its maiden resource estimate, which would position it among a select group of companies in the United States.
Usha Resources, headquartered in Vancouver, British Columbia, is a mineral acquisition and exploration company focused on developing battery and precious metal properties with high growth potential. The company's strategic portfolio includes the Jackpot Lake lithium project in Nevada, the White Willow lithium project in Ontario, and the Lost Basin gold-copper project in Arizona.
Contact the author at jon.hopkins@proactiveinvestors.com