Galan Lithium Ltd (ASX:GLN) has hit 166 metres of lithium-bearing brines at its Candelas Lithium Brine Project in Hombre Muerto, Argentina.
The hole was completed to a depth of 401 metres and intersected a substantial amount of brine from depths of around 235 metres to the end of the hole.
Coarse clastic sediments were found between 235 and 311 metres before encountering fractured basement lithologies from 311 metres.
“Exceptional results” confirm high-grade lithium
Galan Lithium managing director Juan Pablo Vargas de la Vega said: “These initial results are exceptional, confirming the presence of high-grade lithium-bearing brines within a geological setting unique to the Hombre Muerto Salar.
“We have encountered exceptionally good grades with low impurities which are comparable to the rest of Hombre Muerto Basin where Livent, POSCO and Galaxy have their operations.
“We believe we have a potential world-class lithium project on our hands which we are keen to further demonstrate in our ongoing drilling.”
Field conductivity measurements from brine samples to the end of the hole is demonstrated in the table below:
Two further assays were also received from brine samples using both the modified bailer method and a packer test including:
310 – 330 metres: 771 magnesium/I lithium; and
353 – 354 metres: 806 magnesium/I lithium
Brine samples have been sent for analysis and the hole will now be cement-cased at the top of the brine with downhole geophysical profiling conducted, comprising a short or long electrical resistivity survey.
READ: Galan Lithium’s drilling confirms thick lithium-bearing brines at Candelas, shares jump
Earlier this month the company confirmed thick, high-grade lithium-bearing brines at the project recording a 119-metre intercept of brine from a depth of 235 metres.
Investors responded positively to the results with share jumping almost 37% at the time in early trading to a new 12-month high of 43 cents.
The magnesium/lithium ratio, being less than 3, is comparable with high-quality brines being mined elsewhere in Argentina and in particular by Livent Corp (NYSE:LTHM) at its nearby Fenix operation.
The company aims to fast track exploration work at Candelas to target a resource as soon as possible with a drilling program comprising five holes along the 15-kilometre extent of the Candelas channel.
Detailed flow rate test work will also take place in the coming months and the drill rig will be moved to the second site.
- Jessica Cummins