Ion Energy Ltd (CVE:ION) (OTCQB:IONGF) (FRA:5YB) has revealed that an expanded exploration program at its flagship Baavhai Uul lithium salar project in Mongolia will start in the coming quarter - the first drilling for lithium salars ever in the Asian country.
It comes after an initial seismic survey has been completed with 'encouraging' early results and the exploration is fully funded after a C$5.75 million placing was successfully completed last month.
The work will include drilling 21 holes through prospective basins, while sampling of sediments and aquifers will be completed during the drilling phase, said ION Energy.
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In addition, exploration will also begin at the company's recently acquired 100% owned Urgakh Naran Lithium salar project with drilling and geophysics planned.
This work will cover five salars located in the central part of the Urgakh Naran basin. The basin is centered on an area that is six kilometres (km) wide and more than 20 km long.
"On the back of the recently completed private placement, the company has no financing overhang and with a successful start to early exploration efforts, expects to deploy more than double the earlier anticipated resources to aggressively explore its highly prospective Mongolian lithium salar projects," said Ali Haji, CEO of ION Energy in a statement.
ION's flagship, 81,000 plus hectare Baavhai Uul lithium brine project, represents the largest and first lithium brine exploration licence award in Mongolia.
The firm also holds the 29,000 plus hectare Urgakh Naran highly prospective Lithium Brine licence in Dorngovi Province in Mongolia.
Contact the author at giles@proactiveinvestors.com