THE BOURSE WHISPERER: Lithium Australia (ASX: LIT) informed of progress at the company’s polymetallic tin-lithium Sadisdorf project in Saxony, Germany where the company is farming into a Joint Venture with German company Tin International AG.
Lithium Australia said the Sadisdorf project has the potential to provide feed to a commercial scale SiLeach® lithium carbonate plant.
The project is located on the doorstep of the German automotive industry, which is rapidly gearing up to produce large numbers of electric vehicles.
Late last year, LIT announced a JORC (2012) Inferred Mineral Resource of 25 million tonnes grading 0.45 per cent lithium oxide (Li2O) (at a cutoff of 0.3% Li2O) at the project.
Sadisdorf JV partner Tin International AG has previously defined a JORC (2012) tin Inferred Mineral Resource of 3.36 million tonnes at 0.44 per cent tin (at a cutoff of 0.25% tin).
The JV is just about to complete a diamond-drilling program at the Sadisdorf project, which was designed to validate historical drilling data and increase confidence in future mineral resource estimates.
LIT explained that geological logging of the core has shown encouraging visual indications.
The company has made completion of sampling and assaying of the remaining core a priority over April and May and it expects to provide a further update from Sadisdorf, including assay results from the completed drill program, in coming weeks.
“The mineralisation encountered in the drilling to date supports our vision of unlocking the value of the historic tin-tungsten mine Sadisdorf by adding lithium as an additional value driver,” Lithium Australia managing director Adrian Griffin said in the company’s announcement to the Australian Securities Exchange.
“Further metallurgical evaluation, including SiLeach® testing, will follow the drilling program with results being announced as they become available.”