Delta Lithium (ASX:DLI) has updated the Mineral Resource Estimate (MRE) for its wholly owned Mt Ida Lithium Project in the Goldfields region of Western Australia.
The $399.49 million market capitalisation company says the updated combined inferred and indicated MRE now stands at 14.6 million tonnes (Mt) @ 1.2% lithium oxide (Li2O) at a 0.55% Li2O cut-off.
This represents a 136% increase in indicated mineral resources to 7.8Mt @ 1.3% Li2O, as well as a 15% increase in combined indicated and inferred mineral resources, which previously sat at from 12.7Mt.
Delta reports the MRE also represents a 21% increase in global contained Li2O, which now stands at 180,000 tonnes and a 98% increase in the global MRE for the Sister Sam pegmatite, which is now at 9.3Mt @ 1.3% Li2O.
The company notes this increase positions it to complete Scoping Studies and undertake detailed feasibility studies on the longer-term concentrate project at Mt Ida, with design and engineering works already underway.
It also positions the company for a potential 10-year-plus mining operation at Mt Ida, which remains on track for approval to begin later this year.
Drilling continues at Mt Ida, with 3 reverse circulation (RC) rigs undertaking lithium and gold grade control drilling and exploration and 2 diamond rigs undertaking geotechnical, metallurgical, and mineral resource infill drilling.
The company also notes a maiden independent MRE for gold at Mt Ida is being finalised and is scheduled to be reported in the coming days. This new resource is expected to complement the upgraded lithium MRE and lithium strategy at Mt Ida.
Speaking on the upgrade, Delta Lithium Managing Director James Croser says: “What a fantastic result for the development of our Mt Ida Lithium Project and a true credit to the teamwork and tenacity of Delta’s staff over the last 12 months since our maiden Mineral Resource.
The objective of this resource update was to provide a higher level of confidence in the mineralisation at Mt Ida, particularly Sister Sam and Timoni, and thus enable confirmation of an economic lithium project. We’ve done just that, more than doubling the indicated Mineral Resource and confirming continuity and grade where it matters in the potential early years of a mine, while also growing the contained lithia in the deposit by 20%.
“The objective of this resource update was to provide a higher level of confidence in the mineralisation at Mt Ida, particularly Sister Sam and Timoni, and thus enable confirmation of an economic lithium project. We’ve done just that…”
The company is now able to undertake detailed engineering and design, on a larger indicated lithium resource, and the Delta team have commenced activities to deliver this next milestone. We believe Mt Ida has great potential to support a mine life of greater than ten years and deliver great value for shareholders.”
Delta Lithium is a lithium explorer and developer focused on bringing high-quality, lithium-bearing pegmatite deposits located in Western Australia into production.
The company’s Mt Ida project is located about 100km northwest of Menzies in Western Australia.
Delta Lithium had $84.312 million cash and cash equivalents at hand as of 30 June 2023, according to its latest quarterly report.
Write to Adam Drought at Mining.com.au
Images: Delta Lithium
