REG - Bradda Head Lithium - Metallurgical Scoping Study at San Domingo

Bradda Head LithiumAnnouncement

30/10/2024 07:00

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RNS Number : 1243K  Bradda Head Lithium Ltd  30 October 2024

30 October, 2024

 

Bradda Head Lithium Ltd

("Bradda Head" or the "Company")

 

Metallurgical Scoping Study, San Domingo Pegmatite Project-Moving Further
Along the Potential Production Pathway, Completion of TSX-V Delisting

 

Bradda Head Lithium Ltd (AIM:BHL), the North America-focused lithium
development group, is pleased announce the commencement of a further
metallurgical particle sorting study on the composite samples collected in
2023 from San Domingo drill core. The purpose of this new test-work plan in
addition the 20 November 2023 reported metallurgical work, is to move Bradda
Head closer to a potential production decision later in 2025.

 

The study will be supervised and guided by ABH Engineering Inc.("ABH"), an
international leader in scoping, design, and installation of mineral
processing facilities for the mining industry. ABH, located in Vancouver, BC,
Canada, will oversee the scoping study which will investigate the potential to
increase mill feed grade, reduce product impurities, and reject baren rock
before it enters any milling process. The goal of testing is to lower cut-off
grades and increase potential profit.

 

Essential elements the Company is looking to achieve from the scoping study
are:

 

·      Increased mill feed grade, resulting in higher metal production,
lower OPEX, higher mill recoveries, and potentially, increased NPV;

·      Early barren rock rejection to reduce fine tailings, reduce
transportation costs, examine potential for direct shipping or high-grade
local ROM (run-of-mine), reduced toll milling charges, reduce mill and
tailings for lower CAPEX, and lower environmental impacts such as lower water
consumption, reagents, footprint;

·      Examine waste sorting and lower cut-off grades that result in
dramatic increase in reserves and resources, potential to extend mine-life;
and

·      It is also important to note that market quality Li(2)O
concentrate (Li(2)O grades of 6.0% from ¼" crush and 5.5% from 3/8" crush)
was produced previously from a 1.03% Li(2)O composite drill hole composite
samples using dense media separation (DMS), a simple low-cost gravity approach
(PR Nov 20, 2023).

 

The study will utilize AI-powered XRT or laser sorting machines that, in part,
will examine potential mechanisms to sort lithium mineralized rock (spodumene)
from gangue rock such as quartz, feldspar, and muscovite. The systems
incorporate dual energy x-ray transmission or laser sensors to identify
valuable minerals, generating results that could provide data to determine
high-level economic models, obtain grade recovery curves, profit recovery
curves, and lead to quantified economic ore sorting changes to CAPEX and OPEX.

 

Ian Stalker, Executive Chairman, commented:

 

"We're excited to embark with this new AI-powered analysis which we believe
will add to the  positive gravity concentrate metallurgical results from
2023. We believe we're on the path towards developing mineable resources at
San Domingo, and these additional mineral and metallurgical results may well
be pivotal towards unlocking the near-term value on this US based pegmatite
project."

 

 

As a reminder of the 20 November 2023 PR, metallurgical results reported SGS
Canada commissioned HLS (heavy liquid separation) testing on a 1.03% Li(2)O
composite from Jumbo target drill holes from San Domingo. The test produced
encouraging results:

 

·    The 1.03% Li(2)O sample produce an 'in spec' lithium oxide
concentrate product with a 6.0% Li(2)O grade and an interpolated recovery of
contained lithium to the concentrate of 50.3%, at a ¼" size crush size.
Tailings rejection was considered efficient in this scenario with the
rejection of 60.6% mass and a loss of only 2.1% lithium.

 

·    Alternately, at a crush size of 3/8" (9.5 mm), a concentrate was
produced with a grade of 5.5 % Li(2)O at a 55.5% recovery of contained lithium
oxide. This is still considered in spec in the current market.

 

·    Using the medium-grade sample, the flotation feed, a combination of
middling product from the HLS testing at a crush size of ¼" and under sized
fraction (minus 0.85 mm), recorded an upgraded value of 1.57% Li(2)O with Li
distribution of 47.0% and a mass distribution of 30.5%.

 

 

TSX-V Delisting

The Company also confirms that its ordinary shares have been delisted from the
TSX-V. The delisting will not affect Bradda Head's listing on AIM and its
ordinary shares will continue to be listed on AIM under the symbol "BHL".

 

Qualified Person (Bradda Head)

Joey Wilkins, B.Sc., P.Geo., is Chief Operating Officer at Bradda Head 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 38 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.

 

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

 

 

ENDS

 

 

Contact:

 

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

 Denham Eke, Finance Director

 Beaumont Cornish (Nomad)           +44 20 7628 3396

 James Biddle / Roland Cornish

 Panmure Liberum (Joint Broker)     +44 20 7886 2500
 Kieron Hodgson / Rauf Munir

 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 / Josephine Clerkin     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 a Measured Mineral Resource of 20 Mt at an
average grade of 929 ppm Li for a total of 99 kt LCE and an Indicated
Mineral Resource of 122 Mt at an average grade of 860 ppm Li and an
Inferred Mineral Resource of 499 Mt at an average grade of 810 ppm Li for a
total of 2.81 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 and
on the TSX Venture Exchange with a ticker of BHLI.

 

Technical Glossary

 

 Kt                          Thousand tonnes
 %                           Percent
 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
 Li(2)O %                    Lithium Oxide
 Cs                          Cesium
 Ta                          Tantalum
 Ta(2)O(5)                   Tantalum pentoxide
 K                           Potassium
 Rb                          Rubidium

 

 

 

Beaumont Cornish Limited ("Beaumont Cornish") is the Company's Nominated
Adviser and is authorised and regulated by the FCA. Beaumont Cornish's
responsibilities as the Company's Nominated Adviser, including a
responsibility to advise and guide the Company on its responsibilities under
the AIM Rules for Companies and AIM Rules for Nominated Advisers, are owed
solely to the London Stock Exchange. Beaumont Cornish is not acting for and
will not be responsible to any other persons for providing protections
afforded to customers of Beaumont Cornish nor for advising them in relation to
the proposed arrangements described in this announcement or any matter
referred to in it.

 

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