REG - Arkle Resources PLC - Lithium and Magnesium Identified in Botswana

Arkle ResourcesAnnouncement

25/02/2025 07:00

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RNS Number : 2651Y  Arkle Resources PLC  25 February 2025

25 February 2025

 

 

 

Arkle Resources PLC

("Arkle" or the "Company")

 

Lithium and Magnesium Identified in Botswana Exploration

 

Highlights:

·    Lithium identified in every sample from the regional surface samples
in Makgadikgadi Pans.

·    Significant grades of magnesium also found in some samples.

Arkle is pleased to announce the results of the analyses of the preliminary
regional sampling from part of its 937 sq. km licenses in the Makgadikgadi
Salt Pans in Botswana. Lithium was identified in all 20 samples. Despite the
lower grades of lithium in this first pass sampling, it is normal for lithium
to fluctuate in these environments, so the Directors believe locating higher
lithium levels in other parts of the Pan in Arkle's expansive license is
highly plausible. The key point is that Lithium has been detected in all
samples and that higher levels may be found in other areas.

There are also significant grades of magnesium that may be economically
extracted as an additional product under a new process of Direct Lithium
Extraction (DLE). The DLE process is potentially more efficient,
environmentally friendly and cost effective than traditional extraction
methods. The high levels of magnesium detected in all of the samples,
including 8 samples that were over 1% magnesium content, creates a compelling
potential magnesium deposit which will also guide further exploration work on
the Pan.

Next steps will be preparation for shallow drilling to access brines down to a
depth of 30m to obtain a bulk sample analyses for Direct lithium Extraction.
The results are shown in Table 1:

 

Table 1

 SAMPLE        ME-MS89L   ME-MS89L

 DESCIRPTION   LI (PPM)   MG (%)
 148-S1        65         2.77
 148-S2        37         1.12
 148-S3        46         2.2
 148-S4        36         1.72
 148-S5        34         1.27
 148-S6        29         1.01
 148-S7        23         0.4
 148-S8        39         1.74
 148-S9        20         0.47
 148-S10       32         1.04
 148-S11       21         0.55
 148-S12       14         0.23
 148-S14       27         0.98
 148-S15       18         0.49
 148-S16       12         0.23
 075-S1        16         0.27
 075-S2        27         0.78
 075-S3        25         0.6
 075-S4        30         0.93
 075-S5        32         0.88

Li - Lithium, Mg - Magnesium

 

The current results are from the second stage of a three-part exploration of
Arkle's ground.

 

Stage 1 - already reported, revealed brines at an average depth of 1 metre
over the block.

 

Stage 2 - the results reported today are from small samples to see if the
brines contained lithium.

 

Stage 3 - is an extensive drilling campaign to evaluate the grade of contained
lithium and, as a consequence of today's magnesium results an additional focus
on magnesium.

 

It should be noted that recent advances in the extraction of metals from
brines, Direct Lithium Extraction (DLE) has the potential to make production
more efficient and also allows magnesium extraction using membranes which may
be significantly cheaper than historic production methods. This offers an
additional stream of future revenue at low additional costs.

 

Demand for magnesium is strong and expected to grow globally by 7% each year.
Magnesium alloys are significantly lighter then steel or aluminium so ideal
for batteries, EV's and aircraft use. It is designated a 'Critical Material'
by the United States Administration. China currently dominates global
production.

John Teeling, Chairman, commented: "I am very pleased to report these results.
We expected to find Lithium traces in the brines, and we have in all samples.
The grades in these samples from one part of the pans near the edge are low,
but lithium grades can vary significantly over an area and remember we have
access to 937 sq. kms of ground.

 

"What is seriously interesting is the widespread presence of good grades of
magnesium above 1%. Modern extraction methods make Magnesium an asset. Eight
of 20 samples have grades above 1%. Also within the licence on the edge of the
pan is mapped ultrabasic rock. Ultrabasic rocks are known to contain a very
high magnesium content which may be the source of the high levels of magnesium
noted in the brines.

 

"It is important to note that explorations for brines is cheaper than hard
rock. Holes are typically less than 30 metres deep. The ground is flat, and
access is easier.

 

"We now need to plan and execute a defined grid drilling programme."

 

This announcement has been reviewed and approved by Gavin Berkenheger (CGeol)
in his capacity as the Qualified Person for the purposes of the AIM Note for
Mining, Oil and Gas Companies issued by the London Stock Exchange.

 

Market Abuse Regulation (MAR) Disclosure

 

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law
by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is
disclosed in accordance with the Company's obligations under Article 17 of
MAR.

 

ENDS

Enquiries:

 

 Arkle Resources PLC
 John Teeling, Chairman                 +353 (0) 1 833 2833
 Jim Finn, Finance Director             +353 (0) 1 833 2833

 SP Angel Corporate Finance LLP

Nominated Adviser & Joint Broker
 Matthew Johnson                        +44 (0) 203 470 0470
 Adam Cowl

 First Equity Limited
 Joint Broker
 Jason Robertson                        +44 (0) 207 374 2212

 BlytheRay                              +44 (0) 207 138 3204
 Megan Ray

 Teneo
 Luke Hogg                              +353 (0) 1 661 4055
 Mollie McLernon
 Molly Mooney

 

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