304 holes throughout >93,000m completed across Latin Resources’ Colina deposit, part of the advanced Salinas lithium project in Brazil
Results to feed into resource update ahead of advanced economic studies
Exploration focus turns to the Planalto prospect with four rigs spinning
Special Report: Latin Resources has completed extensive resource drilling of its advanced-stage Salinas lithium project in Brazil, with results to shape and update the Colina deposit’s current 63.5Mt @ 1.3% Li2O resource ahead of a pivotal definitive feasibility study (DFS).
Brazil is emerging as a globally significant hard rock lithium supplier centred within the “Lithium Valley” in Minas Gerais State, a well-established mining region with major iron ore operations.
Not far from Latin Resources’ (ASX:LRS) Salinas is Canadian miner Sigma Lithium which is already producing from its 109Mt @ 1.41% Li2O Grota do Cirilo mining complex at a run rate of 270,000tpa.
Resource extension drilling and a US$100m processing plant upgrade will see those figures increase to ~150Mt and 520,000tpa, respectively.
It is certainly heating up in Brazil and Latin Resources is keeping to pace.
Imminent resource upgrade
All assay results from an extensive 304-hole, 93,909m infill drilling program at LRS’s Colina deposit have now been received and will define a sizeable upgrade to its current 63.5Mt mineral resource estimate (MRE).
Results for the last 45 holes collectively intercepted ~1,116m of significant lithium mineralisation at a >0.5% cutoff.
Highlight Li2O intercepts from the last 45 assays include:
29.13m @ 1.65% Li2O from 241.00m in hole SADD218
33.92m @ 1.93% Li2O from 275.49m in hole SADD275
26.43m @ 1.75% Li2O from 244.00m in hole SADD288
The MRE upgrade will provide the basis for Colina’s planned DFS which is pencilled in for release in Q3 this year.
LRS believes that a considerable portion of the current 22.47Mt @ 1.21% Li2O inferred resource is likely to convert to the higher confidence to indicated and measured categories.
These indicated and measured resources will form the basis for conversion into probable and proven mining reserves as part of the DFS.
LRS VP Operations – Americas Tony Greenaway says results for the infill campaign have confirmed that Colina is a very consistent deposit, with new results showing very similar pegmatite thicknesses and grades to the existing models.
“In addition, the geometry of the extensive Colina pegmatite swarm has proven to be equally as consistent, with new results matching very closely with the previously modelled resource,” Greenaway says.
Drilling for the DFS is ongoing with eight rigs undertaking sterilisation drilling and two rigs undertaking geotechnical drilling as part of the Colina DFS. A single rig is undertaking regional exploration drilling at the southern tenements.
Overview of the Salinas lithium project. Pic supplied: (LRS)
Exploration to focus on Planalto, a Colina lookalike
Four drill rigs have relocated to LRS’ Planalto prospect where previous drilling intersected thick high-grade spodumene pegmatites at depth that showed 9.25m @ 1.21% Li2O from 395.29m and 16.14m @ 1.29% Li2O from 425m, including a 7.14m @ 1.63% Li2O intersection from 434m.
The pegmatite mineralisation intersected so far across three sections at Planalto show strong similarities to the Colina deposit and the new 6,000m drill campaign is aimed at testing the full up-dip extent of the pegmatites to the west.
Plan view of the Planalto exploration drilling program. Pic supplied: (LRS)
The current interpretation indicates that the high-grade mineralisation intersected at depth in hole SADD223 extends to the near surface.
“Early indications from the five new holes completed so far, are that the previously intersected high-grade pegmatites continue up dip to the west,” Greenaway says.
“The mineralisation intersected at Planalto is very similar to the Colina deposit, comprising very coarse grained spodumene crystals within a clean quartz and feldspar pegmatite system.
“Planalto is a very high priority target for us given the close proximity to Colina and proposed processing infrastructure.
“Any additional minable pegmatites could have a significant benefit in both scale and operational optionality to the proposed mine.”
This article was developed in collaboration with Latin Resources, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
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