Power Minerals charged up over impressive maiden Incahuasi lithium numbers
Power Minerals (ASX: PNN) has achieved a critical milestone with the unveiling of an impressive initial JORC mineral resource for the Sisifo lithium brine licence at the Salta lithium-brine project in Argentina.
The company’s maiden Sisifo JORC mineral resource estimate is a significant 249,308 tonnes of lithium carbonate equivalent (LCE) at 198 mg/l lithium concentration and includes measured resource of 160,556 tonnes LCE and indicated resource of 74,517 tonnes LCE and an inferred resource of 14,235 tonnes LCE.
Lithium triangle
The Salta Project consists of five salares (salt lakes) that sit within seven mining leases, over a total project area of 147.07 sq. km in Argentina’s world class “lithium triangle.”
The Incahuasi salar is located immediately adjacent to Ganfeng Lithium’s project and the Rincon salar is adjacent to Rincon Mining, recently acquired by Rio Tinto (ASX: RIO) for US$825 million.
It has been estimated that Argentina’s current 40,000 tonnes of lithium carbonate production could triple by 2024-2025 to 120,000 tonnes, largely thanks to the lithium triangle projects.
Power Minerals managing director, Mena Habib, said the receipt of the maiden Incahuasi JORC mineral resource is an important step forward in the company’s aim of becoming a lithium brine developer in Argentina.
Excellent result
“It is an excellent result in both size and quality, that ‘adds value’ and positions Power with several development and corporate options. The resource was based on strong, consistent technical results and is a significant addition to our lithium resource inventory at the Salta Project. Drilling is ongoing at the Rincon salar, with the results to be included in a further upgrade of the Salta mineral resource,” Mr Habib said.
IMEx Consultant Inc, which prepared the estimates in accordance with Australasian JORC Code regulations, said the initial results support the concept that brine enriched in lithium occurs in large quantities within the pores of the aquifer and may be favourable for production at Incahuasi.
Simple brine chemistry
It also suggested that the make-up of the surface brine chemistry will simplify Power Minerals’ production strategy and process testing.
The first phase of Power’s ongoing JORC mineral resource expansion drilling campaign at the Salta lithium project resource will include test work and the mineral resource estimate at the Incahuasi salar to further assess that potential.
The current programme results will also play a role in a future update of the Salta project’s JORC mineral resources.
Next steps
Proposed next evaluation and development steps include pumping well tests to be conducted to determine lithium brine extraction rates and to obtain bulk brine samples for confirmation QA/QC and processing tests.
The brine will be supplied to Power Minerals’ direct lithium extraction partner Sunresin for test work at a pilot plant in Salta to take advantage of the unique brine characteristics.
In-depth studies will be conducted into an environmental baseline and hydrology assessments to inform the approvals process for production scenarios.
Additional core drilling will be undertaken to enhance understanding, size, and quality of the lithium brine resource, especially deeper holes to intersect basement.
Furthermore, corporate opportunities with nearby peer lithium projects and interested parties will be assessed.
Power Minerals also targeting the confirmation of a maiden JORC mineral resource at Laguna Verde lithium project which it acquired from Ultra Lithium Inc.