FREE DAILY STOCK MARKET NEWS

FREE DAILY STOCK MARKET NEWS

Latin On Track to Upgrade Colina Lithium

7 June 2023 16:12
ASX: LRS

After months of anticipation, Latin Resources is now on the doorstep of delivering a major upgrade to the Colina deposit’s 13.3Mt @1.2% Li 2O resource later this month, with assays from 135 diamond drill holes for the Project’s resource definition drilling campaign now returned.

Drilling Brazilian Lithium

Independent consultant SGS Geological Services commenced the mineral resource update, using the numerous high-grade assays returned from the nearly 40 thousand metres of drilling completed in the lead-up to the upgrade, with the latest significant intercepts including:

○ SADD093: 8.16m @ 1.36% Li2 O from 318.00m
○ SADD096: 13.80m @ 1.35% Li2 O from 283.30m
○ SADD107: 22.00m @ 0.98% Li2 O from 309.00m
○ SADD112: 8.36m @ 1.50% Li2 O from 243.59m
○ SADD114: 16.93m @ 1.36% Li2 O from 187.07m

The objective of the campaign was two-fold, to increase the overall base resource of the deposit and strengthen the confidence level of the lithium orebody by converting a significant amount of Inferred Resources into the Indicated Resource category, and in both cases, the campaign has been a resounding success.

null

Figure 1: Colina Deposit drill collar plan highlighting potential MRE growth areas, including Colina West and Colina South

Results repeatedly highlighted both grade consistency and pegmatite continuity within the known deposit as well as constantly expanding the size of the deposit with each step out drill hole, with mineralisation having been extended over a 2 km long by 1km wide corridor, following the rig encountering lithium-bearing pegmatite swarms to the west and south-west of the known deposit.

Latin has now provided SGS with updated wireframes of Colina’s mineralisation to incorporate the newly uncovered high-grade pegmatite swarms into the upcoming resource upgrade.

Keeping up the Pace

While anticipation for the MRE upgrade is high, Latin has no plans to slow down, with the Company keeping its fleet of eight rigs on site and operating at full capacity following the update to hit a number of compelling new targets unearthed by the resource definition drilling campaign and demonstrate the Project’s potential to grow even further beyond the upcoming upgrade.

The fleet will undertake a step-up drilling campaign to the south-west, where high-grade mineralisation was shown to continue and remain open, as well as test a number of new targets within the newly christened ‘Colina Corridor’ identified by regional exploration mapping and geochemical sampling.

Drilling is also set to provide further material for metallurgical testwork, following up on previous work which produced lithium concentrates of up to 7.96 per cent Li2O with recovery rates exceeding 80 per cent.

Looking Ahead

Following the delivery of the MRE update later this month, the Company also plans to move ahead with the deposits Preliminary Economic Assessment, which it paused following the confirmation that the deposit hosted an additional pegmatite swarm, allowing for the new MRE to be included in the PEA.

The Company said following the PEA, it will immediately move on to a Definitive Feasibility Study.

“With all the planned drilling for our MRE upgrade now complete and assay results received, SGS has commenced the resource estimation process and this is on track to be released in June. We are all eagerly awaiting the outcome of this process, as we believe that we will see a significant expansion in the JORC resource for Colina, given the exceptional results, we have been seeing in our drilling this year,” Latin’s Vice President of Operations – Americas Tony Greenaway said.

“Our drilling rigs are still turning on site, with all eight rigs operational. This next phase of drilling will focus on the continued expansion of the Colina deposit to the south-west, where our high-grade mineralisation remains open, infill drilling to increase the JORC classification of the defined resources, and testing of new areas along strike, where our regional teams have identified multiple new target areas through mapping and geochemical sampling.”

LRS’s Australian Stock Exchange-listed share price has risen 5.88 per cent today, currently selling at 18c (12:44 pm UTC+ 8 hours).

The Market Bull Logo

FREE DAILY STOCK MARKET NEWS

Join our mailing list to receive the latest stock market news.

You have Successfully Subscribed!

Share This