Galan Lithium (ASX: GLN) has increased its footprint in Argentina’s highly prospective Hombre Muerto by completing its purchase of the Del Condor and Pucara lithium brine projects.
The company revealed in February it was acquiring the projects which are adjacent to its existing Hombre Muerto West (HMW) tenements.
Combined, Del Condor and Pucara comprise two claim blocks and cover 1,804 hectares and will be incorporated into the wider HMW project.
According to Galan, HMW is now believed to be a continuous polygon of 7.5km strike, up to 2.5km in width and 718m in depth.
The wider HMW project has an existing indicated resource of 1.37 million tonnes at 946 milligrams per litre of lithium. The resource is based on the Pata Pila, Deceo III and Rana de Sal claims within the project that abut Del Condor and Pucara.
“Once again this is a great team effort and despite COVID-19 constraints, the team in Argentina has delivered on our original vision in 2017,” Galan managing director JP Vargas de la Vega said.
“HMW is now a significant polygon, the acquisition and annex of these new tenements consolidates the project as a genuine lithium development in Argentina,” he added.
Advancing HMW lithium brine project
A preliminary economic assessment at HMW has been underway since July.
With the addition of Del Condor and Pucara to HMW, Galan has engaged SRK Consulting to begin an updated resource estimate that includes these claims.
Galan also plans to undertake a geophysical survey in the March quarter next year to evaluate further exploration upside.
Once the resource update has been received, Galan will incorporate it into the economic assessment which is scheduled for release in the current quarter.
HMW officially became Galan’s flagship project in August after conceptual modelling revealed it had “exceptional potential” as a world class lithium brine project with high lithium recoveries and low impurities.
Pond modelling returned higher grades of 4.8% lithium (25.6% lithium carbonate equivalent) compared to the previous front runner Candelas of 3.1%.
HMW is within one of the world’s largest lithium brine operating regions near where NSYE-listed Livent Corp has been producing lithium carbonate for 20 years and Galaxy Resources (ASX: GXY) is developing Sal de Vida. POSCO is also advancing its own Sal de Vida project.