Pan Asia Metals Ltd (ASX:PAM) has received positive assays from another four drill holes completed at the Reung Kiet Lithium Project in southwest Thailand.
Overall, the new batch of results confirm an extensive lithium mineralised zone at the property, bolstered by robust thickness and grades with shares as much as 14% higher intraday to A$0.53.
What’s more, the recently intersected lithium oxide grades are in line with other lithium mica projects in PAM’s global peer group.
Tin, tantalum, rubidium, caesium and potassium mineralisation occur in association with lithium and are all potentially valuable by-products with the grades encountered in line with other lithium mica projects in the global peer group.
Assays for other holes are expected shortly, while drilling continues at the Reung Kiet property.
“Great success” at Reung Kiet
Speaking to the results, Pan Asia Metals managing director Paul Lock said: “We continue to be very satisfied with the assay results we are seeing.
“Our infill and extensional drilling continue to reward us with great success and the prospective zone at Reung Kiet prospect still remains open to the north and south and at depth on many sections.
“The assay results we have received compare favourably with the lithium mica peer group and we are on track to deliver a mineral resource in the first quarter of 2022.
“Our drilling results suggest that a 10,000 tonnes per annum lithium chemical plant is a realistic objective.”
The results are in
As one of PAM’s key assets, Reung Kiet represents a priority exploration opportunity.
In the past, open-pit mining extracted tin from Reung Kiet’s weathered pegmatites and was conducted into the early 1970s.
The old pit is roughly 500 metres long and up to 125 metres wide, and it forms part of a prospective zone that runs for at least 1 kilometre across the property.
The Reung Kiet pegmatite trend is divided into two main parts —RK North and RK South — and each measures roughly 500 metres long.
The whole 1-kilometre trend remains open to the north, south and down dip on many sections, and additional infill and extensional drilling is underway to better understand its prospectivity.
A full suite of the latest results from the four drill holes are:
- Hole RKDD023 hosts 27.9 metres of composite mineralisation at 0.70% lithium oxide from 72.95 metres. This includes 14.15 metres at 0.81% Li2O, 590 parts per million (ppm) tin, 117ppm tantalum oxide, 305ppm caesium 0.28% rubidium and 2.75% potassium from 107.25 metres.
- Hole RKDD024 hosts 38.05 metres of composite mineralisation at 0.56% lithium oxide from 65.15 metres. This includes 10.15 metres at 0.93% lithium oxide, 741ppm tin 105ppm tantalum oxide, 309ppm caesium, 0.32% rubidium and 2.71% potassium from 112.5 metres.
- Hole RKDD025 hosts 27.75 metres of composite mineralisation at 0.54% lithium oxide from 19.15 metres. It includes 6.45 metres at 0.84% lithium oxide, 460ppm tin, 66ppm tantalum oxide, 307ppm caesium, 0.27% rubidium and 2.18% potassium from 28.05 metres.
- Hole RKDD026 hosts 22.8 metres of composite mineralisation at 0.84% lithium oxide from 11.95 metres, including 10.5 metres at 0.93% lithium oxide, 340ppm tin, 98ppm tantalum oxide, 455ppm caesium, 0.27% rubidium and 2.97% potassium from 35.5 metres.
It’s hoped the latest results will contribute to Reung Kiet’s upcoming mineral resource, which will form part of a scoping study that considers an initial production run of as much as 10,000 tonnes per annum of lithium carbonate equivalent and other by-products.
Forward work program
PAM has more drill holes planned at both the Reung Kiet and Bang I Tum lithium prospects.
Here, the company hopes to define mineral resources and exploration targets in the coming months.
At Reung Kiet, drilling will focus on deeper holes at RK South, seeking to extend higher grade zones down-dip.
Assay results for holes RKDD027 to RKDD030 are expected shortly and will be reported as they become available.
Further ahead, results for holes RKDD031 through RKDD035 are expected by year-end.
Finally, samples from holes RKDD036 to RKDD042 have recently been dispatched to the laboratory.