Global Geoscience Ltd (ASX:GSC) will be fully funded to complete a pre-feasibility study on the Rhyolite Ridge Lithium-Boron Project in Nevada, U.S., after receiving commitments to raise $6 million via a share placement at $0.075 each.
The Rhyolite Ridge Project is a high quality, lithium-boron-strontium asset located close to existing infrastructure in Nevada with a significant potential to grow and advance.
The net proceeds from the placement will be used for preliminary metallurgical test work, resource and exploration drilling and to define a maiden JORC-compliant resource estimate for the South Basin area.
8800 metres of drilling has been undertaken at South Basin in 2010-2011 by American Lithium Minerals Inc, in conjunction with Japan Oil, Gas and Metals National Corporation.
Global has obtained access to this substantial exploration database, which would cost over $3 million to replicate.
An exploration target of 200-300 million tonnes grading 0.64-1.06% lithium carbonate equivalent (LCE) and 0.6-1.2% boron has been calculated by Global for part of the South Basin area.
Notably, 84 rock chip samples collected by Global from outcrops over a strike length of 2.5 kilometres at South Basin returned grades of up to 2.0% LCE.
Most importantly, testing of rock chip samples show that >90% of total lithium content can be recovered using a weak-acid digest (leach).
This provides evidence that the hosted lithium can be extracted without the need for high-cost processing.
In June, Global secured an option to acquire a 100% interest in the Rhyolite Ridge Lithium-Boron Project from a private Nevada company.
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