Royal Helium Ltd (TSX-V:RHC, OTCQB:RHCCF) said it has sampled up to 81.3 milligrams per liter (Mg/L) of lithium brine underlying Climax-2 at its Climax helium project in southwest Saskatchewan, in addition to the previously-announced lithium assays in Climax-1.
The company said the Climax-2 lithium brine zone is believed to be an extension of the same pool found in Climax-1, and appears to extend well beyond the coverage area of a detailed 3D seismic survey it conducted this year.
"These tests not only continue to show some of the highest lithium assays in western Canada but are also indicating a very large potential pool size which really substantiates our reasoning to develop this lithium play further,” Royal Helium president and CEO Andrew Davidson said in a statement.
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“As indicated in our previous news release, we have already applied for the mineral rights to all of Climax and are awaiting issuance from the province," he added.
The Climax project is approximately 60,000 hectares in size, making it one of the largest lithium exploration projects in Western Canada.
Located about 160 kilometers (km) south of Swift Current in southwest Saksatchewan, Climax-2 is approximately 2.7 km southeast of Climax-1, with both wells testing the lithium-bearing brine zone within the Duperow formation.
Royal Helium said it will explore all options to develop the lithium project so as to maintain its focus on exploiting the helium already discovered at Climax and elsewhere.
Royal Helium controls over 1,000,000 acres of prospective helium land in southern Saskatchewan and southern Alberta. All of its lands are in close vicinity to highways, roads, cities and importantly, close to existing oil and gas infrastructure in particular to existing helium-producing locations.
With stable, rising prices and limited, non-renewable sources for helium worldwide, the company intends to become a leading North American producer of the high-value commodity.
Contact the author at jon.hopkins@proactiveinvestors.com