Investors were buoyed by drill results from Rare Earth Minerals (LON:REM) in Mexico as its shares jumped 14% in early deals.
The company said it intersected 84 metres of clays at its Fleur – El Sauz lithium project in northern Mexico, the thickest intercept so far from the current programme.
The three holes completed to date have extended the strike length of the clay-bearing sedimentary succession on the La Ventana lithium deposit by 1.7 kilometres (km) to the southeast, bringing the total length to 6.7km.
Chairman David Lenigas said: “REM is pleased to report that the first three holes of the drill programme have clearly established continuity of the clay units over a strike length of 1,700 metres on the joint venture lands.
“These clay sequences form a part of the basin that hosts the adjacent 60 million tonne La Ventana lithium deposit, which is estimated to contain a resource grading the equivalent of 1.6% lithium carbonate (Li2CO3).”
The company also unveiled a £300,000 placing at 0.045p a share and £150,000 equity swap deal with investment firm Yorkville Advisors.
He added: “REM is also pleased to have its first corporate investor with YAGM [YA Global Master SPV] now holding 19.3% of the company.”