Red Mountain Mining reports high-grade lithium results from Lithic surface sampling

Red Mountain Mining (ASX: RMX) has reported more high-grade results from reconnaissance lithium surface sampling at the Lithic project in Nevada.

An additional 29 samples were collected from areas of claystone outcrop in the western parts of the mineral claim, returning lithium assay values up to 1541 parts per million.

Ten of the samples returned grades of over 1000ppm lithium, which are considered highly anomalous given the high mobility of lithium in the weathered surficial environment.

A typical mineral resource cutoff grade for claystone lithium in central Nevada’s Big Smoky Valley and Clayton Valley is around 500ppm.

Based on the strong sampling results, Red Mountain said it would generate maiden drill targets for a fully-funded program at Lithic.

Preparations are due to commence for a drill permit application to be lodged with the Nevada Bureau of Land Management.

Lithic location

The Lithic project is located on the on the southern flank of the Big Smoky Valley, 20 kilometres north of Century Lithium’s Clayton Valley project, and 18km north of Albemarle’s Silver Peak brine recovery project.

Lithic comprises 115 claims across 9.61 square kilometres of a generally-flat alluvial outwash plane with exposed fines-dominant sediments beneath lithic tuff caps.

The outcrops are finely laminated mudstone beds and volcanic tuff and ash layers.

This mixed unit of lacustrine sedimentary beds with minor volcanics is believed to be similar to host rocks found at Clayton Valley and American Lithium’s TLC deposit.

Red Mountain’s claim area is known to contain a significant basin of volcanic lacustrine sediments capable of hosting lithium.

Tuffaceous sediments are also pervasive in the area, with many containing significant lithium concentrations.

Capital raising

Earlier this week, Red Mountain announced an $850,000 capital raising directed towards advancing its US lithium exploration projects at Lithic and Mustang.

The company recently intersected high-grade lithium claystone in 80% of drillholes completed at Mustang during a Phase 1 maiden campaign.

The mineralisation was reported in eight out of 10 holes, with seven of them hitting thick and consistent lithium from or near surface.

Lithic and Mustang were acquired in late 2022 from Chariot Corporation subsidiary Lithic Lithium.