Desert Minerals (ASX:DSM) announces a maiden JORC mineral resource estimate of 264.9 million tonnes @ 1,006 parts per million (ppm) lithium (Li) at the Scotty Lithium Project in Nevada, US.
The resource comprises 139.8 million tonnes (Mt) @ 1,002 ppm Li in the indicated category and 125.1Mt @ 1,011 ppm Li in the inferred category.
Desert Minerals has also defined an exploration target of 218–327Mt grading 990–1,490 ppm Li northwest of the resource. The company notes the potential quantity and grade of the target are conceptual in nature, as there has been insufficient exploration to estimate a mineral resource.
Executive Chairman Peretz Shapiro says the maiden Scotty resource validates the company’s belief in the project’s potential.
“A shallow resource of 264.9Mt @ 1,006 ppm Li demonstrates both scale and grade within one of North America’s premier lithium districts,” Shapiro says.
The resource is based on 11 sonic drill holes totalling 1,301.4m. According to Desert Minerals, the mineralisation occurs within a volcanic clay domain forming a laterally continuous, stratabound unit with a consistent five-zone stratigraphic sequence.
Notably, the project’s best intercept — SC23-003 with 124.97m @ 1,237 ppm Li — sits outside the resource boundary, roughly 2.1km from the nearest neighbouring drill hole, and is included only within the exploration target.
The resource uses a 750 ppm lithium cut-off grade and assumes conventional open-pit mining, 75% lithium recovery, and a lithium carbonate price of US$15,000 ($20,987) per tonne.
Desert Minerals holds a 51% interest in Scotty through American Consolidated Lithium, with Loyal Metals (ASX:LLM) holding 49%.
The company says future work will focus on drilling between the resource boundary and SC23-003 to test continuity.
Desert Minerals is a mineral resource explorer focused on projects within tier one mining jurisdictions across Australia and North America.
Write to Paula Fabe at Mining.com.au
Images: Mining.com.au
