Anson Resources Ltd (ASX:ASN) has intersected high-grade lithium brines in recent drilling at the Skyline Unit 1 well at its Paradox Brine Project in the US state of Utah.
The new assays include a lithium grade of 193.5 ppm which is 91% higher than the lithium grade of the Cane Creek 32-1 well brine used in test work to date.
Flow rates at Skyline were substantially higher than seen during the re-entry of Cane Creek 32-1, supporting Anson’s theory that the fracturing by the geological structures will assist with brine flow without the need for extraction pumping.
High concentrations of bromine and iodine were also found and are comparable to brines sampled from historic oil wells in the Long Canyon region.
Anson executive chairman Bruce Richardson said: “The successful re-entry of the Skyline Unit 2 well is a further step forward in establishing a JORC a resource and fast-tracking the Paradox Brine Project into production.
“The increase in grade and the higher flow rate at Skyline are expected to have a significant positive impact upon the economics of the Paradox Brine Project.
“These improvements as well as the continued high concentrations of iodine and bromine which are further potential contributors to the economics of the project will be considered in the PFS which will be conducted later this year.”
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The higher grade lithium assays and higher flow rates confirm Anson’s interpretation that Roberts Rapture and the cross-cutting structures act as ‘traps’ and concentrate lithium in the central and southern project areas.
These structures, which continue to increase in frequency to the south, are geologically interpreted to be causing high pressure resulting in the artesian flow of brine to surface.
Due to the high flow rates, Anson decided to carry out down-hole geophysical logging to develop hydraulic parameters for the brine-producing interval before proceeding to sample other clastic zones at the Skyline well.
Skyline Unit 1 and Cane Creek 32-1 assays with historic results from the Long Canyon area
READ: Anson Resources intersects strong brine flow at Skyline well in Utah
Richardson continued: “For some time, Anson has considered that the lithium grade will improve as our exploration program gets closer to the high-grade historic assay results that were recorded at Long Canyon No 1, and it is pleasing that this theory is proving correct.
“This theory will be further rested at Long Canyon No 2 well where a re-entry program has already commenced.”
Next steps
Ongoing test work includes:
Temperature;
pH;
Dissolved oxygen;
Reduction-oxidation potential;
Specific electrical conductance; and
Total dissolved solids.