REG - Bradda Head Lithium - Drill Rig Mobilised to San Domingo

Bradda Head LithiumAnnouncement

10/08/2023 07:00

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RNS Number : 8635I  Bradda Head Lithium Ltd  10 August 2023

10 August 2023

 

Bradda Head Lithium Ltd.

 

Drill Rig Mobilised to San Domingo Pegmatite District, Arizona

 

Bradda Head Lithium Ltd. (AIM:BHL, TSXV:BHLI, OTCQB:BHLIF) ("Bradda Head",
"Bradda", "BHL" or the "Company"), the North America-focused lithium
development company, is pleased to announce drill rig mobilisation for its
Phase 3 drill programme at the San Domingo pegmatite district, Arizona. This
represents the second large-scale drill programme conducted in less than one
year at San Domingo, underscoring the Company's commitment to exploring and
unlocking the potential of our 23km(2) land package within this highly
prospective pegmatite district.

 

Summary:

 

·    Bradda Head was granted an exploration permit to drill at its Northern
claim block in the San Domingo Pegmatite district. A rig has been mobilised
and the Company expects to commence drilling this month. See Figure 1 for
overview of priority target areas.

·    The Phase 3 drill programme has been rigorously designed, benefiting
from a comprehensive array of data and analyses. Bradda's team of geologists
conducted an extensive soil geochemistry survey, undertook a thorough
structural mapping programme, reviewed previous GPR geophysical data, and
carried out additional ground truthing to optimize the locations and potential
effectiveness of this exploration campaign.

·    This has resulted in the identification of several new high priority
targets which the Company is excited about and anticipates making new
discoveries and extending known lithium mineralization from the previous
programme.

·    The first two phases of drilling completed in March 2023 yielded
promising results, with the best intercept reported as 31.85m at 1.6% Li(2)O
at the Midnight Owl prospect in the Northern claim block. Phase 3 drilling
will aim to extend this known lithium mineralization.

·    San Domingo's strategic location in Arizona places it at the heart of
the burgeoning battery supply chain in the Western US. Bradda's 23km(2)
pegmatite district is steeped in a history of lithium mining, with spodumene
ore previously mined in the 1940s and 1950s on a small scale from surface at
various historic lithium mines within Bradda's claim boundaries.

·    The Company is eager to advance its exploration efforts and work
towards delineating the first shallow and potentially open pitable lithium
resource at San Domingo.

·    Bradda Head will continue to provide regular updates on the Company's
progress at San Domingo, and extends our gratitude to all stakeholders for
their support as Bradda work towards unlocking the full potential of this
remarkable pegmatite district.

 

Charles FitzRoy, CEO of Bradda Head Lithium, commented:

 

"We are thrilled to initiate the Phase 3 drilling programme at San Domingo,
building on the successes of our previous phases and leveraging the valuable
insights gained from our geologists' groundwork. The aim of this programme is
to delineate the first resource at San Domingo, and we are confident in the
project's potential to contribute significantly to the developing battery
supply chain in the Western US.

 

"San Domingo's rich history of lithium mining, combined with the positive
results from the first two drilling phases, has only increased our enthusiasm
and confidence in the project's potential. We remain committed to conducting
responsible exploration and maximizing the value of this valuable asset. We
have only just scratched the surface of what we have at San Domingo with just
over 1% of the area drilled from this first programme. We look forward to
sharing further developments of this exciting project.

 

"The groundwork conducted by our geologists and the comprehensive data
analysis have been crucial in designing this Phase 3 drill programme. Our
team's efforts are aimed at unlocking the full potential of San Domingo, and
we are excited about the possibilities this exploration campaign holds for
Bradda Head and its stakeholders.

 

"As well as progressing its pegmatite projects, Bradda Head recently announced
further positive assay results from its lithium in clay Basin project in
Arizona. With almost 0.4Mt of LCE already in compliant resources Bradda Head
has the largest publicly announced lithium resource in Arizona and the Company
expects that resource number to grow significantly this year."

 

Figure 1: San Domingo overview showing priority target areas for Phase 3 drill
programme

 

 

 

Background

 

 

San Domingo's strategic location in Arizona places it at the heart of the
burgeoning battery supply chain in the Western US. As the demand for lithium
and other battery-related minerals continues to soar, Bradda Head aims to play
a pivotal role in meeting the region's requirements while adhering to the
highest standards of environmental stewardship.

 

San Domingo is steeped in a history of lithium mining, with spodumene ore
previously mined in the 1940s and 1950s on a small scale from surface at
various historic lithium mines within Bradda's claim boundaries. Building on
the successful outcomes of the first two phases of drilling, which concluded
in March this year and yielded significant lithium mineralisation in
approximately 60% of the holes drilled. The Company are eager to advance its
exploration efforts and work towards delineating the first shallow and open
pit lithium resource at San Domingo.

 

The Phase 1 and 2 7,000m diamond core drilling programme was designed to test
the thesis that San Domingo is similar in structure to other well-known zoned
pegmatites. The hundreds of pegmatites at San Domingo are hosted within a 1.6
Ba package of Proterozoic metamorphosed greenstone altered biotite-schists,
chlorite-schists, amphibolites, and muscovite-schists. These largely
sedimentary host rocks to pegmatites are established as critical to the
development of lithium-bearing bodies worldwide.

 

Out of the 7,000m planned, 7,300m (47 holes completed) was drilled with
positive results demonstrating high-grade intersections. This scout drilling
programme was completed on 10 March, of which, assays for 47 of the holes have
been received.

 

The Company increased its claims by 75% to cover 23km(2) in 2022, following on
from SRK's 3D remote mapping of the Company's whole San Domingo claims, and
Bradda's geological fieldwork, thereby strengthening its position in what
Bradda believes has the potential to be a world class lithium district 1 
(#_ftn1) with the potential to deliver a Tier 1 asset.

 

In 2022 Bradda completed a soil sampling survey covering c.11% or just under
3km(2) of its 23km(2) of pegmatite ground in Arizona, yielding highly
prospective follow-up drill targets and a 3km trend on the area covered by the
soil sampling (see PR dated 21 November2022) with the same elemental
signatures that have been seen at known lithium mineralisation locations
globally.

 

The programme was expanded to cover and additional 17km(2) in early 2023,
culminating in a total of 3,885 samples. Samples were collected on 100m spaced
lines with sample spacing at 50m, North-South lines.

 

The soil geochemistry strongly indicates the pegmatite swarms are largely of
the LCT (lithium-caesium-tantalum) mineralisation type, the most significant
for lithium deposits and what is commonly associated with economic occurrences
of lithium and tantalum. LCT-type pegmatites are generally found in the
Western Australian pegmatite district, like Tianqi and Albemarle's
joint-venture Greenbushes lithium mine. The soil geochemical dataset was
thoroughly examined by a geochemist, the result of which point to localization
of Li bearing pegmatites along a phosphorous-magnesium geochemical and
possible metamorphic boundary. Many of our Li-bearing pegmatites are found
along this metamorphic front.

 

Initial results from the programme were released in February 2023 (see PR
dated 06 February 2023) demonstrating the presence of multiple lithium bearing
pegmatites. With the best result BHL has intersected 31.85 meters at 1.60%
Li(2)O in drill hole SD22-024 which includes 3.21 meters at 3.74% Li(2)O on
the Midnight Owl target.

 

Spodumene crystals are observed in all six holes drilled on the Jumbo target,
with assays for the last hole (SD-DH23-038a) showing multiple intersections of
Li(2)O grades between 1.01% and 2.44% Li(2)O. Previous results from Jumbo
include 9.54m @ 1.85% Li(2)O in SD-DH23-037 and 4.02m @ 1.27% Li(2)O in
SD-DH23-035 both at shallow depths.

 

Bradda continues to expand its knowledge of the property through both
innovative and traditional exploration techniques whilst intelligently and
proactively doing everything commercially possible to sample the Company's
entire pegmatite district to ensure follow-up drill programmes hit more
high-priority targets and to continue to keep intersecting further lithium
bearing pegmatites.

 

The Phase 3 drill programme has been rigorously designed, benefiting from a
comprehensive array of data and analyses. Bradda's team of geologists
conducted an extensive soil geochemistry survey, undertook a thorough
structural mapping programme, reviewed previous GPR geophysical data, and
carried out additional ground truthing to optimize the locations and potential
effectiveness of this exploration campaign.

 

This has resulted in the identification of several new high priority targets
which the Company is excited about in order to make new discoveries or extend
known lithium mineralization from the previous programme. A NOI (Notice of
Intent) exploration drilling permit was granted by the BLM giving us
permission to commence operations in the northern part of the claim block, see
Figure 1 for overview of priority target areas.

 

Bradda Head will continue to provide regular updates on the progress of the
Company's exploration efforts at San Domingo, and extend our gratitude to all
stakeholders for their support as Bradda work towards unlocking the full
potential of this remarkable pegmatite district.

 

 

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

 

 

Qualified Person (BHL)

Joey Wilkins, B.Sc., P.Geo., is Head of North America 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
Canadian National Instrument 43-101 - Standards of Disclosure for Mineral
Projects ("NI 43-101"). 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 QP. 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

 

 

For further information, please contact:

 

 Bradda Head Lithium Limited        +44 (0) 1624 639 396
 Charlie FitzRoy, CEO

 Denham Eke, Finance Director

 Beaumont Cornish (Nomad)           +44 20 7628 3396

 James Biddle/Roland Cornish

 Panmure Gordon (Joint Broker)      +44 20 7886 2500

 John Prior

 Hugh Rich

 Shard Capital (Joint Broker)       +44 207 186 9927
 Damon Heath

 Isabella Pierre

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

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

 Adam Baynes

 

 

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.

 

As previously announced in a press release on 16 January 2022, the Basin East
Project has an Indicated Mineral Resource of 21.2 Mt at an average grade of
891 ppm Li and 3.5% K for a total of 100 kt LCE and an Inferred Mineral
Resource of 73.3 Mt at an average grade of 694 ppm Li and 3.2% K for a total
of 271 kt LCE. In the rest of the Basin Project SRK has estimated an
Exploration Target of between 300 to 1,300 Mt of material grading between 600
to 850 ppm Li which is equivalent to a range of between 1 to 6 Mt 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 Ventures exchange with a ticker of BHLI, and on the US
OTCQB market with a ticker of BHLIF.

 

Competent Person SRK

The Mineral Resource statement for the Basin Project was authored by Martin
Pittuck, CEng, MIMMM, FGS who works for SRK Consulting (UK) Ltd, an
independent mining consultancy. Mr. Pittuck has over 25 years' experience
undertaking and reviewing Mineral Resource estimates and has worked on lithium
clay estimates for over 5 years. Mr. Pittuck consents to the inclusion of the
resources information in this press release and context in which they appear.
Martin Pittuck is a Qualified Person as defined under NI 43-101.

Reference is made to the report entitled "Independent technical report on the
Basin and Wikieup Lithium clay projects, Arizona, USA" dated October 18, 2022
with an effective date of June 10, 2022  was prepared by Martin Pittuck,
CEng, MIMMM, FGS, and Kirsty Reynolds MSci, PhD, FGS and reviewed by Nick Fox
MSc, ACA, MIMMM. The Report is available for review on SEDAR (www.sedar.com)
and the Company's website www.braddaheadltd.com.

 

 

Technical Glossary

 Li(2)O      Lithium Oxide
 pegmatite   A pegmatite is an igneous rock showing a very coarse texture, with large
             interlocking crystals usually greater in size than 1 cm (0.4 in) and sometimes
             greater than 1 meter (3 ft). Most pegmatites are composed of quartz, feldspar,
             and mica, having a similar silicic composition to granite. However, rarer
             intermediate composition and mafic pegmatites are known.
 Spodumene   Spodumene is a pyroxene mineral consisting of lithium aluminium inosilicate,

           LiAl(SiO3)2, and is a source of lithium. Spodumene contains 3.73% lithium.

 Lepidolite  Lepidolite is a lilac-gray or rose-colored member of the mica group of

           minerals with chemical formula K(Li,Al)3(Al,Si,Rb)4O10(F,OH)2. 2  3  It is the
             most abundant lithium-bearing mineral 4  and is a secondary source of this
             metal. It is the major source of the alkali metal rubidium. Lepidolite
             contains 3.58% lithium.

The formula to convert lithium in parts per million (PPM) to lithium oxide is
to multiply Li ppm times 2.1527, then is reported in percent.

 

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", "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 SEDAR. 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.

 1  (#_ftnref1) See PRs dated 09 May 2023, 27 March 2023, 06 February 2023, 21
November 2022, 13 September 2022, 08 August 2022, 18 July 2022, 21 June 2022
and 02 November 2021.

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