Jindalee Resources Limited (ASX:JRL) has started drilling at its 100%-owned McDermitt Lithium Project in the far north of the US state of Nevada, near the border with Oregon.
Company personnel and contractors are on site with six HQ3 core holes will be drilled to test the thickness and grade of lithium-bearing sediments.
These were mapped and sampled in previous fieldwork.
Drilling on the first hole, MDD-01, is at 30 metres depth and will advance to an estimated total depth of 100 metres.
Minimal overburden
The hole has intersected minimal overburden over flat lying, finely laminated sediments, which were light grey coloured, indicating oxidisation, in the upper part of the hole, becoming darker green to dark brown downhole.
Core recovery to date has been excellent, typically 100%.
Assay results are expected from mid-October, assuming the expected drilling productivity and no other impediments.
READ: Jindalee Resources completes test work on Prospect Ridge magnesite
Jindalee also has a large and growing land package in the Widgiemooltha district of Western Australia’s Goldfields that is prospective for gold, nickel and lithium.
Bolt-on acquisitions
Following completion of a comprehensive regional targeting exercise a number of minor bolt-on acquisitions have recently been made to further consolidate ground in the district.
The company is determining the best way to monetise this highly prospective and rare landholding in one of the world’s premier mining districts.
Jindalee has received approaches from parties active in the immediate area, and other groups attracted by the district’s history of discovery across several commodities, and availability of infrastructure and processing options.
At June 30, 2018, Jindalee held cash and marketable securities worth $5 million which, combined with the company’s tight capital structure of only 34.9 million shares on issue, provide a strong base for leverage into new opportunities.