Alchemy Resources (ASX:ALY) is planning follow-up drilling on lithium targets uncovered at the Karonie Project in Western Australia.
The $15.31 million market capitalisation company plans further drilling once detailed lithium and rare earth element (REE) infill soil sampling on the Taupo North prospect has been completed.
The company has received results from the recent lithium drilling campaign at Karonie, which returned up to 0.1% lithium oxide (Li2O), with associated pathfinder elements up to 45 parts per million (ppm) tantalum oxide (Ta205), 4,480ppm rubidium (Rb), and 40ppm tin (Sn).
Alchemy says these results outline a new zone that remains open along strike, with associated lithium-in-soils anomalism, extending for 3km to the southeast.
Commenting on the recent results, Alchemy Resources Chief Executive Officer James Wilson says: “The results at Taupo North show that the pegmatite system remains fertile several kilometres west of where we previously discovered spodumene and lepidolite outcropping at Mesquite.
“The results at Taupo North show that the pegmatite system remains fertile several kilometres west of where we previously discovered spodumene and lepidolite outcropping at Mesquite“
Further work is needed to test this area, and our crews have commenced soil sampling, and heritage clearance planning to allow follow-up drill programs near term. In the meantime, 2 gold focussed drill programs will commence shortly to follow up targets at Challenger and Western Brown.”
Diamond core drilling and reverse circulation (RC) drilling will be completed on the Challenger and Western Brown prospects, beginning in early September 2023.
Challenger is an advanced gold target with intercepts of up to 16m at 1g/t gold (from 112m) in ISRC10353. Mineralisation is hosted within a thick high-iron quartz dolerite sill, which is a similar host rock to the mineralisation at Ramelius Resources’ (ASX:RMS) Bombora deposit and the Golden Mile.
A significant Au-Bi-Mo-Te-W-Sb anomaly, which the company says is considered the best pathfinder for mineralisation, has been recognised from the aircore drilling in the area.
In addition, heritage survey requests have been submitted to clear the areas adjacent to Taupo North for future drilling programs.
Alchemy Resources is an Australian exploration company, focused on the discovery and development of gold, base metal, and battery metals within Australia.
As of 30 June 2023, the company had $5 million cash at hand, according to its latest quarterly report.
Write to Aaliyah Rogan at Mining.com.au
Images: Alchemy Resources
