Proactive Investors - Run By Investors For Investors

Prospect Resources Ltd intercepts visible pegmatite at Arcadia Lithium Project

Visible results from the first drill hole at Arcadia suggests potential lithium mineralisation continues down dip from historical workings.
Prospect Resources Ltd intercepts visible pegmatite at Arcadia Lithium Project

Prospect Resources Ltd (ASX:PSC) has intercepted 12.35 metres of visible spodumene bearing pegmatite (known to host lithium) in its first drill hole at the Arcadia Lithium Project in Zimbabwe.

The hole was drilled adjacent to the historical main pit and confirms continuity of spodumene bearing pegmatites from historical workings.

The project hosts the Arcadia Lithium Deposit, which is a historically producing mine and has an initial exploration target of 15-18 million tonnes at 3-5% lithium.

Historical drilling in 1969 and 1981 confirmed the pegmatite extends at least 1,500 metres along strike with grades of 3.5-5.5% lithium.

This current program plans to drill 30 holes to average depths of 50 metres.


Arcadia Lithium Project

Prospect recently exercised an option giving it a 63% interest in the project located in one of the three well known lithium camps in Zimbabwe.

The project hosts a historically mined lithium deposit, which has produced over 15,000 tonnes of mixed lithium ore.

Drilling in 1969 and 1981 confirmed the pegmatite extends at least 1500 metres along strike with grades of 3.5-5.5% lithium.

Drilling is in progress and a second rig has been secured and will be brought onsite as needed.

Visible results from the first drill hole are in line with expectations from historical data.


Zimbabwe

Arcadia is located 35 kilometres from Harare in Zimbabwe.

Zimbabwe is a proven jurisdiction for lithium production having been the 5th largest global producer at its peak.


Analysis

Visible results from the first drill hole at Arcadia suggests potential lithium mineralisation continues down dip from historical workings.

This is an early positive sign that Prospect has a good opportunity to fast-track a pathway to defining a JORC resource.

The Arcadia Lithium Project hosts shallow pegmatite extending over a 1,500 metre strike length.

The high grades and large tonnage potential, given the known strike length, make this a significant project.

The company is well funded having recently raised $2.67 million in a heavily oversubscribed placement at $0.014.

Prospect's share price is up 460% year to date, currently trading at $0.028.

With 30 holes planned to be drilled in the current program, further news is expected regarding assay results.


African gold projects

Prospect has 3 gold projects in Africa; the Gwanda East and Penhalonga Gold projects in Zimbabwe and the recently acquired Moba Gold Project in the Democratic Republic of Congo.

The Gwanda East gold project, also in Zimbabwe, recently produced its first gold.

The project has a number of historically producing gold mines and ore from the Prestwood Main mine is currently being stockpiled ready for processing.

The short term production plan is for three shafts within the project to be extracting ore.

The cash flows generated from this production will help to propel growth in gold production and lithium exploration and development.

 

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX emerging companies with distribution in Australia, UK, North America and Hong Kong / China.

View full PSC profile View Profile

Prospect Resources Ltd Timeline

Related Articles

savannah
December 14 2018
Savannah Resources sees potential to increase the current mineral resource estimate of the Mina do Barroso project
Tin metal
December 06 2018
The company is aiming to scale-up production at Uis, once one of the world's leading tin mines, after a hiatus of more than 20 years
London Stock Exchange sign
November 27 2018
The gold producer believes the listing will facilitate improved access to gold and African-focused institutional investors.

© Proactive Investors 2019

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use