Emerging diversified clean energy company Pan Asia Metals (ASX:PAM) has delivered an updated exploration target for the Bang I Tum Lithium prospect in southern Thailand.
The $38.4 million market capitalisation company says the new exploration target stands at 16-25 million tonne (Mt) @ 0.40-0.70 lithium oxide (Li2O) and represents a circa 80-100% increase in tonnage to the previous exploration target (8-14Mt @ 0.5-0.8 Li2O).
Pan Asia reports the potential quantity and grade of the exploration target are conceptual in nature, and that there has been insufficient exploration to estimate a Mineral Resource Estimate (MRE). It is currently uncertain if further exploration will result in the estimation of a mineral resource.
However, Pan Asia aims to report on an inaugural mineral resource for Bang I Tum later in 2023, and is currently testing the exploration target with further drilling. This drilling is anticipated to continue for the next 2-3 months, with results expected in the near term.
A metallurgical test work program is also planned in conjunction with drilling in order to evaluate potential metallurgical performance of the mineralisation.
The company notes this new exploration target takes into account newly acquired information which has served to extend the previous exploration target to the east, north, and west, with some of these zones remaining open and awaiting drill testing.
This exploration target is situated about 8km northeast of its Reung Kiet Lithium prospect in southern Thailand, in which the company retains a 100% interest through a special prospecting licence.
Commenting on the increase, Pan Asia Metals Managing Director Paul Lock says: “We have provided this drill supported Exploration Target update as guidance to the potential size of the Bang I Tum Lithium prospect. It is based on our interpretation of mineralisation, geometry, geochemistry and geology, and is supported by 28 diamond drillholes, 7 with assay results, as well as surface soil and rock-chip sampling and associated geological observations.
We are aiming to report an inaugural Mineral Resource later this year. Based on this exploration target and associated observations, we consider that Bang I Tum has the potential to be considered larger than the Reung Kiet Lithium prospect, where an updated Mineral Resource is nearing completion.
“Based on this exploration target and associated observations, we consider that Bang I Tum has the potential to be considered larger than the Reung Kiet Lithium prospect”
Combined, these prospects show potential for a long life project, and their proximity to each other positions PAM well for shared plant and feed blending options which will help achieve optimum feed blends, grades and recoveries.”
Pan Asia represents the only trader in battery metals with ‘advanced’ lithium projects in South-East Asia, specifically Thailand. The company has a goal of producing innovative, high-value products with a minimal carbon footprint.
Both the Reung Kiet and Bang I Tum tenements are located in southern Thailand about 70km northeast of Phuket and are considered prospective for lithium mineralisation.
Pan Asia had $2.61 million cash at hand at the end of 31 March 2023, as stated in its latest quarterly report released on 28 April 2023. However, the company expected to receive an additional $1.2 million, being the outstanding portion of a $4.5 million placement on 31 January 2023.
Write to Adam Drought at Mining.com.au
Images: Pan Asia Metals