(MENAFN - ProactiveInvestors - Australia) Lithium Australia NL (ASX:LIT) is now the 100% owner of the Greenbushes lithium project which is adjacent to the globally significant lithium mine owned by Talisman Lithium.
The Greenbushes area, 200 kilometres south of Perth, hosts the world's largest lithium mine which currently produces circa 40% of global lithium supply.
Lithium Australia will now use its advanced exploration techniques to target sites for further evaluation within the Greenbushes project.
Initial phases of exploration have already commenced.
Adrian Griffin, managing director, commented: 'While Lithium Australia is building a portfolio of lithium exploration and development projects across Australia, there is no doubt the southwest region of Western Australia is not just highly prospective but has a long and proven record in lithium mining.
'To therefore secure such a large tenement package in close proximity to known mined reserves and resources, as well as regional mining infrastructure and expertise, certainly reflects the intensity of our business strategy to evolve over the near-term as both project developer and leading lithium processing technologist.'
Lithium Australia portfolio
Lithium Australia has projects in the following jurisdictions:
- Western Australia: The Gascoyne; Pilgangoora; Ravensthorpe; Seabrook; Lepidolite Hill; Greenbushes; Lake Johnston; and Widgiemooltha projects;
- Northern Territory: Bynoe;
- Queensland: Cape York; and
- Mexico: A 25% interest in the Electra lithium project.
Within these projects the company has various corporate alliances and joint ventures with Pilbara Minerals Ltd (ASX:PLS), Focus Minerals Ltd (ASX:FML), Alix Resources Corp (CVE:AIX), Cazaly Resources Ltd (ASX:CAZ), Tungsten Mining NL (ASX:TGN), Venus Metals Corporation Limited (ASX:VMC) and Lefroy Exploration Ltd (ASX:LEX).
Phase 2 in Mexico gets green light
The company's joint venture partner at the Electra project in Mexico, Alix Resources, has now accepted the Phase 2 proposed budget.
This will initiate a drilling program at its newly discovered Agua Fria site within Electra containing lithium-rich clay formations.
Electra is being targeted for interpreted extensions of the lithium-bearing clays that extend from the Sonora Lithium Project.
Sonora is one of the world's largest lithium resources held in joint venture between Bacanora Minerals Ltd (CVE:BCN) and Rare Earth Minerals plc (LON:REM).
Highlights of the Agua Fria discovery include:
- Significant lithium-rich clay layers identified southwest of the large Tule Concession within the Electra lithium project;
- Clay horizons traced for 4.5 kilometres on strike, with indications of width attaining over 800 metres;
- Apparent thickness of target layers reaching 20-30 metres; and
- Assays up to 1,190ppm lithium and additional assays are pending.
The Electra Project is presently owned 25% by Lithium Australia and 75% by Alix Resources.
Lithium Australia may earn up to 65% by contributing to various project expenditures and making progress payments in cash and shares.