Lithium Energy (ASX:LEL) has uncovered a new ‘significant’ graphite discovery ahead of the definition of a maiden JORC Mineral Resource Estimate (MRE) at its wholly owned Corella Graphite Project in Queensland.
The company says assays from a recently completed maiden reverse circulation (RC) drilling program demonstrate multiple ‘outstanding’ intercepts of graphite in excess of 15% total graphitic carbon (TGC), with individual intercepts up to 27.4% TGC.
Lithium Energy reports it has engaged a consultant geologist to delineate a maiden JORC inferred Mineral Resource Estimate (MRE) for Corella, with the compilation of the geological database from its March/April 2023 drilling program for initial resource modelling expected to begin shortly.
This work is expected to feed into the maiden JORC MRE for Corella and is being undertaken in conjunction with the company’s plan to build its overall graphite inventory as part of proposed development options to create a vertically integrated battery anode material manufacturing production facility.
Lithium Energy is currently undertaking a Prefeasibility Study (PFS) to advance the facility, which will utilise bulk concentrate produced from the company’s ‘world-class’ and ‘high-grade’ Burke Graphite deposit as feedstock.
Additionally, it is believed this new ‘significant’ graphite discovery adds to the company’s Burke deposit, which hosts a JORC indicated and inferred total mineralised resource estimate of 9.1Mt @ 14.4% TGC.
Key results from drilling include hole CGRC012 with 83m @ 14.8% TGC from 8m, including 23m @ 27.4% TGC from 13m; hole CGRC008 with 133m @ 10.1% TGC from surface, including 9m @ 20.5% TGC from 110m; and hole CGRC003 with 142m @ 9.5% TGC from surface, including 6m @ 16.1% TGC from 35m and 10m @ 13.4% TGC from 44m.
The maiden March/April 2023 drilling program comprised 16 RC drillholes totaling 1,569m.
Speaking on the discovery, Lithium Energy Executive Chairman William Johnson says: “As we advance with the Pre-Feasibility Study for our Australia-based vertically integrated battery anode material manufacturing business, confirming a new graphite discovery at Corella is a highly positive development.
“As we advance with the Pre-Feasibility Study for our Australia-based vertically integrated battery anode material manufacturing business, confirming a new graphite discovery at Corella is a highly positive development.”
The potential to add additional graphite from Corella to the already high-grade Resource at the Burke Tenement and thus expand overall Burke Project graphite inventory offers the potential for significantly expanded development options for this exciting project. We are looking forward to the maiden JORC Mineral Resource Estimate for Corella based upon these positive drilling results.”
Lithium Energy is an ASX-listed battery minerals company actively working to develop its flagship Solaroz Lithium Brine Project in Argentina, as well as the Burke Graphite deposit in Queensland.
The company’s Corella Project is located about 40km west of the township of Cloncurry near the Flinders Highway that links Mt Isa to Townsville. It comprises EPM 25696, which covers a total area of 19.74km-square.
Write to Adam Drought at Mining.com.au
Images: Lithium Energy Ltd
