Junior explorer West Cobar Metals (ASX:WC1) has intersected ‘thick’ intervals of green claystone and ‘clayey tuffaceous’ sequences at its Big Smoky Valley Lithium Project in Nevada.
The intersections come from the company’s latest RC drilling program in the area, under which West Cobar drilled 6 holes at Big Smoky Valley and 2 holes at its Montezuma Well Project.
Both Big Smoky Valley and Montezuma form part of West Cobar’s wider Nevada Lithium Project in the US.
All up, the company drilled for 1016m across the two project areas, with samples from Big Smoky Valley submitted to a laboratory for lithium assay testing.
West Cobar, which has a $6.3 million market capitalisation, says at Montezuma, it intersected a ‘thick bouldery conglomerate’.
However, unspecified ‘drilling difficulties’ in this area meant the company had to abandon the 2 drillholes at 64m and 75m, respectively, within the alluvial cover zone, which West Cobar says was ‘much thicker’ than expected.
The company will now evaluate whether or not it’s worthwhile to return to this area for future drilling at depth with a more substantial drill rig.
West Cobar says the Big Smoky Valley and Montezuma projects host similar geology to known lithium deposits in Nevada, and the area is prospective for large-scale sedimentary-hosted lithium claystone deposits.
On top of its Nevada Lithium Project assets, West Cobar owns the Salazar Rare Earth Elements Project in Western Australia, the Hermit Hill Lithium Project in the Northern Territory, and the Bulla Park Copper Project in New South Wales.
As of 30 September, West Cobar had $1.3 million cash and cash equivalents at hand, according to its latest quarterly report, although the company completed a $2.3 million capital raise in November.
Write to Joshua Smith at Mining.com.au
Images: West Cobar Metals
