Usha Resources Ltd (TSX-V:USHA) said it has begun exploration work at its Jackpot Lake Lithium Brine Project in Clark County, Nevada, and aims to commence drilling in late summer or early fall pending the receipt of permit approvals.
The Vancouver-based company said the upcoming program is focused on sourcing a domestic supply of lithium in Nevada in line with US President Joe Biden’s $3.1 billion plan to shift the country away from gas-powered cars to electric vehicles by boosting domestic manufacturing of batteries.
Local Nevada firm Rangefront Mining Services has been contracted to provide geological services, and following discussions with Rangefront, Usha said it now plans to increase the scope of its maiden drilling program to 2,700 metres over six holes from 900 metres over three holes to better define a 43-101 resource estimate.
READ: Usha Resources closes final tranche of its previously announced non-brokered private placement for total gross proceeds of $1,353,602
“Usha is very excited to have begun our journey at Jackpot Lake and capitalize on our geographical advantage on US soil and to partner with the team at Rangefront,” Usha CEO Deepak Varshney said in a statement.
“We believe they are the right team to work with and their engagement will provide us with consistency and accessibility to a variety and depth of innovative approaches that will accelerate our goals,” he added.
Usha said it has begun the permitting process for Jackpot Lake after a successful site visit by the company’s technical team to review drill sites for the construction of access roads and drill pads in preparation for drilling.
The drill program is fully financed following the recent completion of an oversubscribed private placement for gross proceeds of $2,895,401, the junior exploration company said.
“With a well-funded treasury, we anticipate the remainder of 2022 to be an extremely active year and we look forward to a busy and productive field season at Jackpot Lake as we also proceed with our other catalysts, including the Nicobat Nickel spin-out,” Varshney said.
The Jackpot Lake Lithium Brine Property is located within Clark County, 35 kilometres northeast of Las Vegas, Nevada, and comprises of 140 mineral claims that total 2,800 acres. The project is exploring a “playa” that appears to be within a closed basin that may contain potentially lithium-rich brines, Usha said.
The geologic model is similar to that of Albemarle’s Silver Peak Nevada Lithium Mine, which has operated continuously since 1966, where sediments from lithium-rich surrounding source rocks accumulate and fill the deposit leading to a potential concentration of lithium brine due to successive evaporation and concentration events, the company noted.
The project is considered to be “drill-ready” based on previous work which successfully delineated a 5 x 2 kilometre anomaly within a closed basin that suggests the presence of a highly concentrated brine, it added.
Usha is aiming to complete the resource estimate for Jackpot Lake by the fourth quarter of 2022.
Separately, the company announced the launch of its corporate introduction video which allows shareholders and the general public to meet CEO Varshney and to learn about the company and its project. The video can be accessed here.
Apart from Jackpot Lake, Usha has within its portfolio Nicobat, a nickel‑copper‑cobalt project in Ontario, along with Lost Basin, a gold-copper project in Arizona.
Contact the author at jon.hopkins@proactiveinvestors.com