Australian lithium explorer Krakatoa Resources (ASX:KTA) has delivered lithium grades up to 4.3% lithium oxide (Li2O) following a geochemical sampling program at its King Tamba Project in Western Australia.
The company says multiple rock chip results returned results greater than 2% Li2O, with peak assays including 4.3% Li2O, 1.7% rubidium oxide (Rb2O), and 0.5% caesium oxide (Cs2O).
Krakatoa reports the results confirm the presence of an 800m mineralised zone enriched in Li-Cs-Rb with elevated tantalum (Ta) and Niobium. This zone is noted to be open to the north and south.
Therefore, Krakatoa plans to expand sampling coverage across the greater King Tamba tenement package in the coming months.
Following today’s results, the company’s share price has doubled to $0.046 as of 2:55pm AEST. Krakatoa has a $20 million market capitalisation.
The company notes its newly identified Wilsons prospect outcrops over 250m and is drill-ready, with plans in motion to begin an imminent reverse circulation (RC) drill program.
Further work is currently underway at Wilsons to determine the exact mineralogy within samples gathered during the rock sampling program.
Commenting on the results, Krakatoa Resources Chief Executive Officer (CEO) Mark Major says: “The results are very encouraging, with a high-tenor multielement soil anomaly present across multiple sample lines, and even more impressive, it is supported with a series of six samples from an outcropping pegmatite target area returning Li2O values in excess of 1%, with a peak result of 4.3% Li2O from sample KS04381 at the newly defined Wilsons Prospect.
“The results are very encouraging”
This prospect sits in line with the soil anomaly and is flanked by them. This area is surprisingly just a few hundred metres south of the historical mine zone. Other areas have also been investigated, and we look forward to uncovering more lithium-dominated zones to target with drilling.”
Krakatoa Resources is an explorer with a focus on ‘high-value’ metals in order to emerge as a prominent electrical energy, precious metal, and critical elements producer.
The company’s King Tamba Project is located about 80km northwest of Mount Magnet within the Dalgaranga Greenstone Belt of Western Australia and currently hosts a maiden Mineral Resource Estimate (MRE) of over 5 million tonnes with 0.14% Rb2O with lithium credits.
Krakatoa had $1 million cash at hand at the end of 31 March 2023, as stated in its latest quarterly report released on 26 April 2023.
Write to Adam Drought at Mining.com.au
Images: Krakatoa Resources
