REG - Bradda Head Lithium - Completion of Phase 2 Drilling at San Domingo

Bradda Head LithiumAnnouncement

16/01/2024 07:01

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RNS Number : 7597Z  Bradda Head Lithium Ltd  16 January 2024

 

 

 

 

16 January 2024

 

Bradda Head Lithium Ltd

("Bradda Head", "BHL" or the "Company")

 

New Lithium Discoveries at Bradda Head's San Domingo Project, Following
Completion of Phase 2 Drilling

 

Bradda Head Lithium Ltd (AIM:BHL, TSX-V:BHLI), the North America-focused
lithium development group, announces final results from core drilling at the
San Domingo Central target area ("Central Target Area"), Arizona, completed on
2 December 2023. This is the second of three sets of assays to be released
from the Company's 18,950 feet (5,776m) programme, and include very
encouraging results across all the target pegmatites (see PR dated 13 November
2023 for results from the San Domingo North target area).

 

Results from the San Domingo Central Target Area are highlighted by the
following intervals:

 

·    7.28m at 1.27% Li(2)O in hole SD-DH23-069 from 27.43m depth at White
Ridge

·    5.18m of 0.88% Li(2)O in hole SD-DH23-072 at White Ridge

·    5.06m @ 0.49% Li(2)O in hole SD-DH23-083 at Joker

·    2.17m @ 0.58% Li(2)O with 92ppm Sn at Jumbo

·    26.52m @ 0.27% BeO with 4.44m @ 0.40% BeO and 0.02% Li(2)O in hole
SD-DH23-075 at White Ridge

·    Jumbo drill hole SD-DH23-037 (see PR dated 27 March 2023) encountered
9.54m @ 1.85% Li(2)O from 46.24m, highlighting the high grades and shallow
nature of lithium mineralisation in a hole that is 400m away to the southwest
of hole SD-DH23-069

 

  Summary:

·    Shallow lithium mineralised intercepts were encountered at the
Central Target Area, with 90% of significant intercepts at <100m depth.

 

·    The pegmatites at White Ridge host 7.28m of 1.27% Li(2)O, starting at
27.43m in hole SD-DH23-069. In a parallel pegmatite, hole SD-DH23-072
intersected 5.18m of 0.88% Li(2)O at 23.77m (Figure 1 below).

 

·    Spodumene observed as the dominant lithium mineral with minor amounts
of lepidolite.

 

·    Coarser spodumene (>20cm, and dominant at San Domingo) has better
preservation than finer grained (1-3cm) spodumene, thus, crystal size is
important to overall lithium content and simple low-cost recovery methods.

 

·    Elements such as tin, tantalum (Ta(2)O(5)) and beryllium (BeO) are
found to be highly anomalous in the Central Target Area, including 0.40% BeO
with 118 ppm Ta(2)O(5) over 4.44m in SD-DH23-075 over 4.44m and within 26.52m
at 0.27% BeO

 

·    Tantalum, tin, beryllium, rubidium, caesium, and niobium were
consistently found to be strongly anomalous within, or peripheral to, our best
lithium intercepts, providing excellent pathfinders for targeting,
interpretation, and guides to this 'Kathleen Valley' LCT-style of lithium
deposit.

 

·    These, and prior near surface drill hole intercepts in the Central
Target Area, offer potential opportunity for open-pit development when further
drilling proves up mineable resources. The shallow nature of mineralisation is
a compelling argument for continued exploration.

 

·    The final news release, to include results from Morning Star, will
follow as soon as data finalisation, compilation, and interpretation is
completed.

 

 

Figure 1: Cross-section at White Ridge showing holes SD-DH23-069, 072, and 073

 

 

 

 

Ian Stalker, Executive Chairman, commented:

"These results support our view of a near surface potential spodumene lithium
resource in the Central section of our San Domingo (SD) property. The results
complement and add to the previous reported results in the same area. We have
known spodumene mineralisation at both Midnight Owl in the north of our SD
property and have now added additional near surface intercepts in the Central
section.

 

"Our team has been working diligently throughout the year to interpret the
data, and the arrival of the results in December was something of a Christmas
present to ourselves! We are also confident that they will be a springboard to
the next programme. We are encouraged by this second phase of exploration
drilling, continue to be excited for the future at SD, and look forward to the
next and final set of results from this drilling programme.

 

"It also needs to be noted that the nature of the mineralisation encountered
to date is simple and shallow; no deep drilling as been undertaken, although
this will be considered at a later stage of our Company's development. Deeper
drilling may indeed reveal less mobilisation of the lithium due to weathering
and, as a result, broader zones of mineralisation.

 

"We continue to ensure, via corporate cost reductions and in the field project
work, that we are properly positioned to be ready for the next wave of lithium
demand and subsequent commodity price increases."

 

Table 1: San Domingo Central Targets Drill Hole Summary

 

 Hole Number  From (m)  To (m)   Int (m)  Li(2)O (%)  Sn (ppm)  Ta(2)O(5) (ppm)  BeO%  Target
 SD-DH23-069  15.97     23.26    7.29     0.17        --                         0.19  White Ridge
              27.43     34.72    7.28     1.27        91        92               0.17
              27.43     41.91    14.48                          146              0.22
 SD-DH23-070  7.01      9.60     2.59     0.20
              57.00     59.89    2.90     0.04                                   0.11
              116.43    118.11   1.68     0.07
 SD-DH23-072  23.77     28.96    5.18     0.88        48
 SD-DH23-073  41.79     47.30    5.52     0.04                  113
 SD-DH23-074  26.00     30.63    4.63     0.04
 SD-DH23-075  25.76     28.74    2.99     0.04
              23.16     49.68    26.52                                           0.27
              45.23     49.68    4.44                           118              0.40
 SD-DH23-076  18.99     22.95    3.95     0.12
              45.42     54.56    9.13     0.08                  42

 SD-DH23-079  42.37     57.15    14.78    0.03                                         Jumbo
 SD-DH23-081  109.58    111.74   2.17     0.58        92
              124.36    133.50   9.12                           105
              136.86    138.07   1.22                 252
              142.25    142.65   0.40     0.55
              146.61    148.74   2.13     0.33        68

 SD-DH23-083  28.13     33.19    5.06     0.49        49                               Joker

*All drill depths are from surface

 

Figure 2: San Domingo Project, land, phase I and II drill holes, and target
areas

 

This exploration campaign was designed to test for shallow lithium
mineralisation on targets proximal to existing roads and access, to maximise
our ability to test as many pegmatites as possible from the same or proximal
drill platforms, keeping disturbance to a minimum. Some holes were drilled
longitudinally and others perpendicular to the surface-exposed pegmatites,
with holes designed to test lateral and vertical zoning. Other holes were
step-outs from the previous drilling campaign, such as holes at Joker and
Jumbo, both taking advantage of existing roads or minimal new roads to lessen
impact on the drill permits.

 

The White Ridge target is a surface expression of parallel,
northeast-southwest to north-south trending pegmatites with several historic
mines excavated on spodumene mineralisation. Drill hole SD-DH23-069 was
drilled longitudinally and intercepted coarse spodumene crystals at a depth of
27.43m, finding 7.28m @ 1.27% Li(2)O, with 91ppm Sn, 92 ppm Ta(2)O(5), and
0.17% BeO. Drill hole SD-DH23-072 was designed to cross cut the White Ridge
mine (See Figure 3, surface sample with 1.45% Li(2)O), finding 5.18m of 0.88%
Li(2)O at a depth of 23.77m and also contains 48ppm Sn.

 

Drill holes at Joker cross cut a steeply west dipping, and roughly 15-20m
wide, pegmatite with surface expression of 0.25km strike length. Overall, the
drill holes contain an abundance of fine-grained spodumene although
geochemical results were generally low, interpreted as a lithium depletion of
the spodumene, possibly due to localised hydrothermal activity. The visible
spodumene at Joker reached high volume percentage, between 25% and 50%, but
the depletion of lithium due to localised processes produced low grade
intercepts such as 5.06m of 0.49% Li(2)O, 18.29m of 0.05%, and 10.67m of 0.06%
Li(2)O. The pegmatite is open at depth and to the south, however, further work
at Joker will depend upon targeting less altered zones.

 

The Jumbo target sits on a hill with limited access and holes were drilled
with intentions to extend mineralisation down dip and along strike. Hole
SD-DH23-081 was a step-out and down-dip hole looking to extend prior
intercepts, such as 9.54m at 1.85% Li(2)O in hole SD-DH23-037 (See PR dated 27
March 2023). While thinner, hole SD-DH23-081 encountered 2.17m at 0.58% Li(2)O
and 0.55% Li(2)O over 0.40m at depths of 109.58m and 142.25m, extending
mineralisation to the south. Due to limited access to the west and south,
where greater potential exists, no holes were drilled in these preferred
locations.

 

The final news release, to include results from Morning Star, will follow as
soon as data finalisation, compilation, and interpretation is completed.
Morning Star is approximately 1km to the southwest of Jumbo, along the
prominent NE-SW corridor of pegmatites seen on the 10.5km long San Domingo
district trend.

Figure 3: San Domingo Central drilling, pegmatites, and target areas

 

 

For further information, please visit the Company's
website: www.braddaheadltd.com (http://www.braddaheadltd.com/) .

 

QAQC

Core samples were split on-site and bagged with sample tracking tags. Samples
were shipped by the Company directly to SGS Laboratories in Burnaby, B.C.,
Canada where SGS prepped then analysed all samples using sodium peroxide
fusion combined ICP-AES and ICP-MS, method GE_ICM90A50. Certified standards
were inserted into the sample stream and reviewed by the Qualified Person. Mr.
Wilkins consents to the inclusion of the technical information in this release
and context in which it appears.

 

Qualified Person (BHL)

Joey Wilkins, B.Sc., P.Geo., is Chief Operating Officer at BHL and the
Qualified Person who reviewed and approved the technical disclosures in this
news release. Mr. Wilkins is a graduate of the University of Arizona with
a B.Sc. in Geology with more than 37 years of experience in mineral
exploration and is a qualified person under the AIM Rules and a Qualified
Person as defined under NI-43-101. Mr. Wilkins consents to the inclusion of
the technical information in this release and context in which it appears.

 

 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF THE MARKET
ABUSE REGULATION (EU No. 596/2014) AS IT FORMS PART OF UK DOMESTIC LAW BY
VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018. UPON THE PUBLICATION OF
THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS INSIDE
INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN AND SUCH PERSONS
SHALL THEREFORE CEASE TO BE IN POSSESSION OF INSIDE INFORMATION.

 

ENDS

 

 

Contact:

 

 Bradda Head Lithium Limited        +44 (0) 1624 639 396
 Ian Stalker, Executive Chairman

 Denham Eke, Finance Director

 Beaumont Cornish (Nomad)           +44 (0) 2076 283 396
 James Biddle / Roland Cornish

 Panmure Gordon (Joint Broker)      +44 (0) 2078 862 500
 Hugh Rich

 Shard Capital (Joint Broker)       +44 (0) 2071 869 927
 Damon Heath / Isabella Pierre

 Red Cloud (North American Broker)  +1 416 803 3562
 Joe Fars

 Tavistock (Financial PR)           + 44 20 7920 3150
 Nick Elwes / Adam Baynes           braddahead@tavistock.co.uk

 

 

 

About Bradda Head Lithium Ltd.

Bradda Head Lithium Ltd. is a North America-focused lithium development
group. The Company currently has interests in a variety of projects, the most
advanced of which are in Central and Western Arizona: The Basin
Project (Basin East Project, and the Basin West Project) and the Wikieup
Project.

 

The Basin East Project has an Indicated Mineral Resource of 17 Mt at an
average grade of 940 ppm Li and 3.4% K for a total of 85 kt LCE and an
Inferred Mineral Resource of 210 Mt at an average grade of 900 ppm Li and
2.8% K (potassium) for a total of 1.09 Mt LCE. In the rest of the Basin
Project SRK has determined an Exploration Target of 250 to 830 Mt of material
grading between 750 to 900 ppm Li, which is equivalent to a range of between
1 to 4 Mt contained LCE. The Group intends to continue to develop its three
phase one projects in Arizona, whilst endeavouring to unlock value at its
other prospective pegmatite and brine assets in Arizona, Nevada,
and Pennsylvania. All of Bradda Head's licences are held on a 100% equity
basis and are in close proximity to the required infrastructure. Bradda Head
is quoted on the AIM of the London Stock Exchange with the ticker of BHL, on
the TSX Venture Exchange with a ticker of BHLI.

 

Technical Glossary

 

 Kt                          Thousand tonnes
 Ppm                         Parts per million
 Exploration Target          An estimate of the exploration potential of a mineral deposit in a defined

                           geological setting where the statement or estimate, quoted as a range of
                             tonnes and a range of grade (or quality), relates to mineralisation for which
                             there has been insufficient exploration to estimate a Mineral Resource.
 Inferred Mineral Resource   That part of a Mineral Resource for which quantity and grade (or quality) are

                           estimated on the basis of limited geological evidence and sampling. Geological
                             evidence is sufficient to imply but not verify geological grade (or quality)
                             continuity. It is based on exploration, sampling and testing information
                             gathered through appropriate techniques from locations such as outcrops,
                             trenches, pits, workings, and drill holes.  An Inferred Mineral Resource has
                             a lower level of confidence than that applying to an Indicated Mineral
                             Resource and must not be converted to an Ore Reserve.  It is reasonably
                             expected that the majority of Inferred Mineral Resources could be upgraded to
                             Indicated Mineral Resources with continued exploration.
 Indicated Mineral Resource  That part of a Mineral Resource for which quantity, grade (or quality),

                           densities, shape and physical characteristics are estimated with sufficient
                             confidence to allow the application of Modifying Factors in sufficient detail
                             to support mine planning and evaluation of the economic viability of the
                             deposit.  Geological evidence is derived from adequately detailed and
                             reliable exploration, sampling and testing gathered through appropriate
                             techniques from locations such as outcrops, trenches, pits, workings, and
                             drill holes, and is sufficient to assume geological and grade (or quality)
                             continuity between points of observation where data and samples are gathered.
 Sn                          Tin
 Ta(2)O(5)                   Tantalum pentoxide

 

 

Forward-Looking Statements

Neither TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release. This News Release
includes certain "forward-looking statements" which are not comprised of
historical facts. Forward-looking statements include estimates and statements
that describe the Company's future plans, objectives or goals, including words
to the effect that the Company or management expects a stated condition or
result to occur. Forward-looking statements may be identified by such terms as
"believes", "anticipates", "intends to", "expects", "estimates", "may",
"could", "would", "will", or "plan". Since forward-looking statements are
based on assumptions and address future events and conditions, by their very
nature they involve inherent risks and uncertainties. Although these
statements are based on information currently available to the Company, the
Company provides no assurance that actual results will meet management's
expectations. Risks, uncertainties, and other factors involved with
forward-looking information could cause actual events, results, performance,
prospects, and opportunities to differ materially from those expressed or
implied by such forward-looking information. Forward looking information in
this news release includes, but is not limited to, following: The Company's
objectives, goals, or future plans. Factors that could cause actual results to
differ materially from such forward-looking information include, but are not
limited to: failure to identify mineral resources; failure to convert
estimated mineral resources to reserves; delays in obtaining or failures to
obtain required regulatory, governmental, environmental or other project
approvals; political risks; future operating and capital costs, timelines,
permit timelines, the market and future price of and demand for lithium, and
the ongoing ability to work cooperatively with stakeholders, including the
local levels of government; uncertainties relating to the availability and
costs of financing needed in the future; changes in equity markets, inflation,
changes in exchange rates, fluctuations in commodity prices; delays in the
development of projects, capital and operating costs varying significantly
from estimates; an inability to predict and counteract the effects of COVID-19
on the business of the Company, including but not limited to the effects of
COVID-19 on the price of commodities, capital market conditions, restriction
on labour and international travel and supply chains; and the other risks
involved in the mineral exploration and development industry, and those risks
set out in the Company's public documents filed on SEDARplus. Although the
Company believes that the assumptions and factors used in preparing the
forward-looking information in this news release are reasonable, undue
reliance should not be placed on such information, which only applies as of
the date of this news release, and no assurance can be given that such events
will occur in the disclosed time frames or at all. The Company disclaims any
intention or obligation to update or revise any forward-looking information,
whether as a result of new information, future events or otherwise, other than
as required by law.

 

 

 

 

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