Lanthanein Resources (ASX:LNR) has entered into a binding farm-in agreement with Gondwana Resources (ASX:GDA) to earn a 70% interest in the Lady Grey Lithium Project in Western Australia.
By fulfilling certain stipulations, under the two-stage agreement, Lanthanein can earn a 50% interest in the tenement via stage one, while earning 20% via stage two.
Following today’s (6 December) announcement, the company’s share price soared 108.33% to $0.012 as of 4pm AEDT.
Lanthanein Resources Technical Director Brian Thomas says this transaction positions the company with a prospective lithium asset in a desired jurisdiction in Western Australia.
“With credit to Lanthanein’s management team, the company has managed to secure the rights to earn up to a 70% interest over 77km-square of prospective ground, immediately adjacent to one of the largest operating lithium mines in Western Australia.
Plans for evaluation and field work will commence immediately to assess potential for lithium pegmatites and I look forward to undertaking discovery focussed drill programs earmarked for early 2024.”
The project is considered to be ‘highly prospective’ for lithium-caesium-tantalum (LCT) pegmatites and drilling is planned to be undertaken in February – March 2024.
Interpretation and planning are currently underway within the project to target zones of potential pegmatite accumulation and associated lithium mineralisation.
Lanthanein has received approvals for a program of work (PoW) for 193 aircore holes and 50 reverse circulation (RC) drillholes.
The Lady Grey project sits on the Southern Cross – Forrestania Greenstone Belt, a proven tier-one lithium mining district in Western Australia.
Lanthanein Resources is an emerging mineral explorer focused on rare earths in tier-one mining jurisdictions of Western Australia and South Australia.
As of 30 September 2023, the company had $1.628 million cash and cash equivalents at hand, according to its latest quarterly report.
Write to Aaliyah Rogan at Mining.com.au
Images: Lanthanein Resources
