Pan Asia Metals almost doubles lithium target tonnes in new Bang I Tum exploration plan

Pan Asia Metals (ASX: PAM) has updated its exploration target at the Bang I Tum lithium project in southern Thailand, releasing a possible resource between 16 million tonnes and 25Mt.

That grade is estimated to come in at between 0.4% and 0.7% lithium oxide.

That compares with the previous exploration target of between 8Mt and 14Mt at between 0.5% and 0.8% lithium oxide.

The company says this represents somewhere between an 80% and 100% expansion of the exploration.

However, Pan Asia cautions that the potential quantity and grade are conceptual in nature, and that “there has been insufficient exploration to estimate a mineral resource”.

The first resource estimate is expected later this year.

New target gives guidance

Managing director Paul Lock said that the company has provided the new target to give guidance as to the potential size of Bang I Tum.

Apart from the interpretation of geometry and geochemistry, the update is based on results from 28 diamond drill holes, seven with assays results so far, as well as surface soil and rock chip sampling.

“Based on this exploration target and associated observations, we consider that Bang I Tum has the potential to be considerably larger than the Reung Kiet lithium prospect,” he added.

Reung Kiet lies 8km to the south and its resource stands at 10.4Mt, grading 0.45% lithium oxide, for a contained 113,000 tonnes.

A resource grade there is imminent.

“Combined, these prospects show potential for a long life project and their proximity to each other positions well for shared plant and feed-blending options.”

Grades also estimated for tin and other metals

Both projects are located in southern Thailand.

Bang I Tum’s dyke swarm is more than 300m wide, that at Reung Kiet has a dyke swarm width of about 100m.

The Bang I Tum prospect hosts a significant historic tin mine that extends for almost 2km along strike.

Mining the tin was done by open cut and was abandoned when hard rock was reached.

At Bang I Tum, grades have also been estimated for tin, tantalum, rubidium, caesium and phosphorus (for phosphate).

The company says these are all potential by-products, with tin and tantalum grades being “significant”.