Battery minerals-focused explorer Solis Minerals (ASX:SLM) has mobilised a drill rig to start a maiden drilling program at its Jaguar Lithium Project in Brazil.
The company reports the drilling program began yesterday (22 June 2023) — 22 days after signing an option agreement to acquire the project. The initial program is designed to test the strike extent, thickness, orientation, and down-dip extent of the pegmatite body along the known strike length of 1.4km.
Solis says the first hole will target the down-dip extent of the main outcropping pegmatite in the Jaguar artisanal workings to provide a better understanding of the structural controls and orientation of the mineralisation. This will be followed by step-out drill fences to define the continuity of the system.
The company expects the maiden drilling program to take about 90 days to complete. Additionally, all drill core will be processed at Solis’ nearby facilities and sent to SGS laboratories in the State of Minas Gerais for assaying. Currently, assay results are received about 20 days after submitting samples for testing.
Shares in Solis Minerals have spiked 11.58% to trade at $1.06 at 11:48am AEST.
Commenting on the maiden drilling program, Solis Executive Director Matt Boyes says: “We are delighted to announce the commencement of our maiden drilling program at Jaguar a mere 22 days after executing the option agreement over the project. The program is designed to provide our first indication of the potential strike, depth, and thickness, along with confirmation of mineralisation style and grade.
“It’s an extremely exciting time for the company and its shareholders as we drill at a previously underexplored pegmatite in what we hope will become Brazil’s next major lithium province”
It’s an extremely exciting time for the company and its shareholders as we drill at a previously underexplored pegmatite in what we hope will become Brazil’s next major lithium province. I look forward to arriving on site as the first core is pulled from our maiden drillhole.”
On 31 May 2023, Solis executed a binding option agreement to acquire Jaguar for a US$300,000 option fee to conduct due diligence and a US$700,000 option exercise fee to acquire the project.
Within 12 months of paying the option exercise fee, Solis will be required to pay a deferred consideration of $2.9 million and issue 3 million performance rights to the vendors once an inferred mineral resource of 10 million tonnes @ 1% Li2O or greater is delineated within 24 months of issuing the performance rights.
Solis Minerals is a battery minerals explorer that holds the 24,800-hectare Borborema Lithium Project in northeast Brazil and its recently acquired Jaguar Lithium Project in Bahia state.
Along with these projects, the company also holds 32,400 hectares of combined licences and applications for ‘highly prospective’ iron oxide copper-gold (IOCG) and porphyry copper projects in southwestern Peru.
Write to Harry Mulholland at Mining.com.au
Images: Solis Minerals
