Core Exploration Ltd (ASX:CXO) has received a maiden resource estimate for the BP33 lithium deposit of 1.4 million tonnes grading 1.4% lithium oxide.
This expands the overall JORC resource by 70% to 3.45 million tonnes grading 1.4% lithium oxide at the Finniss Lithium Project in the Northern Territory.
The potential to expand the maiden BP33 Mineral Resource is considered high and drilling will recommence next month at BP33 to test extensions to the south.
READ: Core Exploration doubles Grants resource as it prepares PFS with an eye to near-term production
Core’s managing director Stephen Biggins said: “We see the addition of resources at BP33 as highly valuable addition to the Finniss Project, and a first step in demonstrating strong potential for incremental growth to potential mine life that can be delivered by the highly prospective ground position over the Bynoe Pegmatite Field near Darwin in the Northern Territory.
“We strongly believe that the BP33 deposit remains open to the south based on previous drilling delivering wide and high-grade intersections of lithium mineralisation, and we look forward to expanding the resources at BP33 and the Finniss Project through our ongoing exploration and resource drilling.”
PFS expected next month
Core is in the final stages of completing a pre-feasibility study (PFS) and expects to deliver the results next month.
The study is for the development of a spodumene concentrate and/or direct shipping ore operation from the Grants lithium deposit.
Subject to positive results from the PFS, the company then expects to complete a full feasibility study for the development of mining and processing lithium from the Finniss Lithium Project.
Core is aiming to complete regulatory approvals, financing and internal approvals, and commence production at Grants at the end of 2019.
Expansion potential within overall Finniss Project
While exploration will commence targeting southern extensions to BP33 near to the drill intersection of 75 metres at 1.68% lithium oxide, many other opportunities exist.
Core will also recommence aggressive exploration and resource expansion drilling campaigns in coming weeks over the larger Finniss Lithium Project area.
The aim will be to substantially grow the resource base for the Finniss Lithium Project to underpin a potential long-life lithium mining and production business.