One World Lithium Inc announced it has started drilling a fourth hole on its Salar del Diablo lithium brine property in Mexico.
The company said that DDH-4 (diamond drill hole) is drilling around 16 kilometres (km) north of DDH-3, and 34 km south of DDH-2 in the upper portion of the borehole.
DDH-4 is anticipated to be drilled to a depth of up to 600 metres (m), with the goal of encountering a suspected deep brine system, according to a statement.
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Drilling at DDH-3 stopped at 230m because of difficulties in accessing the hole location, OWL told investors.
OWL’s operator at Salar del Diablo, Montgomery & Associates, recommended the drilling location for DDH-4, noting that “the bore hole may intersect historic and current hydrothermal activity that are evident and is often a source of lithium, such as in the Lithium Triangle in Argentina and Chile.”
DDH-4 may intersect hydrothermal activity at less than 600m, OWL said. If drilling at DDH-4 returns favourable results, OWL added that it may choose to drill additional holes in the southern concessions.
Salar del Diablo covers 103,450 hectares in the State of Baja California, Mexico. OWL currently owns a 60% property interest and on completion of the program, it will have earned an additional 20% property interest and has an option to purchase a further 10% for a 90% property interest.
The firm is progressing Salar del Diablo at a prime time in the lithium market, with the spot price of lithium carbonate increasing 23% from the previous month’s average to hit US$19,000 per metric ton, according to Fastmarkets.
Separately, the company said it had delayed the proof of concept testing program to review other patented processes in the same field of use, with the intention to look at forming a joint venture in the future.
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