Successful permitting progress in Jujuy, Argentina
The applications adjoin the production leases owned by Orocobre and SQM/Lithium Americas and have the potential to display lithium in the same aquifers.
Nearly 50,000 Ha of prime lithium brine areas were applied for "pre-boom" by the private company that was acquired by Lake Resources in Nov 2016. Some administrative issues led to delays in these applications being processed. These have now been resolved with applications totalling ~49,000 hectares now successfully moving to permitting stage.
Lake's subsidiaries are working closely with the local regulators to promptly progress the applications to allow access to the areas.
Lake's Managing Director, Steve Promnitz, said: "This is a very significant development for Lake Resources. In a sought after area, we are working cooperatively with relevant authorities to progress these projects into full scale exploration.
"The applications were made well before lithium exploration assets started commanding very high valuations, and Lake has been fortunate to secure applications in an area that can only be described as first grade. The true value of these applications will be realised through comprehensive exploration."
The locations of Lake's Olaroz - Cauchari Lithium Brine Project in relation to Orocobre and SQM/Lithium Americas projects are illustrated in Figure 1 in link below.
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About Lake Resources NL
Lake Resources NL (ASX:LKE) is undertaking an aggressive exploration programme to explore and develop prime lithium projects in Argentina, owned 100%, among some of the largest players in the lithium sector. Lake holds one of the largest lithium tenement packages in Argentina (~170,000Ha) secured prior to a significant 'rush' by major companies with three key lithium brine projects located in the Lithium Triangle which produces half of the world's lithium. Lake also holds one large package of lithium pegmatite properties which were an unappreciated source of lithium in Argentina until recently.
The three key brine projects, Olaroz/Cauchari, Paso and Kachi, have similar settings to major world class brine projects being developed in the highly prospective Jujuy and Catamarca Provinces. One project is located next to Orocobre's Olaroz lithium production and SQM/Lithium Americas Cauchari project. The Kachi project covers 50,000 Ha over a salt lake south of FMC's lithium operation and near Albemarle's Antofalla project.
Drilling at Kachi has shown conductive brines in thick porous sands with results anticipated over the coming months. Surface sampling has revealed positive lithium results which will be expanded through the drilling program and geophysics. Exploration and permitting over Kachi and the other projects will provide several catalysts for the company's growth as these areas are assessed for major discoveries.
Significant corporate transactions continue in adjacent leases with development of SQM/Lithium Americas Olaroz/Cauchari project with an equity/debt investment over $300 million and Advantage Lithium's equity transaction in some of Orocobre's leases. LSC Lithium has also raised over $60 million on a large lease package in similar areas as Lake's properties. Nearby projects of Lithium X were subject to a takeover offer of C$265 million in December 2017.
Lake Resources NL