REG - Bradda Head Lithium - San Domingo Drilling Results

Bradda Head LithiumAnnouncement

06/02/2023 07:00

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RNS Number : 9471O  Bradda Head Lithium Ltd  06 February 2023

 

06 February 2023

 

Bradda Head Lithium Ltd.

 

San Domingo Drilling Results Demonstrate Further Potential for an Extensive
Lithium Pegmatite District in 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, announces significant high grade lithium bearing minerals
intercepted at multiple locations from the initial set of results from its
first diamond core drilling programme at the Company's 23km(2) San Domingo
pegmatite district in Arizona. 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 1 
(#_ftn1) . This is the first extensive drilling campaign undertaken at San
Domingo since the 1950's and is the maiden program under BHL.

 

Highlights include:

 

·   31.85m @ 1.60% Li(2)O (including 3.90m @ 2.88% Li(2)O, and 20.03m @
1.97% Li(2)O (including 7.06m @ 1.92% Li(2)O, 3.21m @ 3.74% Li(2)O and 3.81m @
3.25% Li(2)O)) in SD-DH22-024

·    9.75m @ 0.78% Li(2)O (including 5.36m @ 1.20% Li(2)O) in SD-DH22-003

·    4.27m @ 1.86% Li(2)O in SD-DH22-005

·    2.44m @ 1.63% Li(2)O in SD-DH22-001

 

Summary:

 

·    Bradda Head commenced a 7,000m diamond core drilling programme at its
San Domingo lithium pegmatite district in Arizona in Q3 2022 as a first pass
exploration effort. Once completed, this programme (see map below) will have
tested just over 1% of the 23km(2) that Bradda holds in Arizona.

·    Out of the 7,000m planned, 5,700m (36 holes completed so far) have
been drilled with positive results, as set out in the table below. Partial
assays have been received back with Lithium bearing minerals observed in c.75%
of the holes drilled. This first pass phased drilling programme is expected to
be completed by the end of February.

·    Based on the success of Phase 1 at the Northern Claim block (see map)
as highlighted by the results noted above, Bradda Head has already commenced a
detailed soil survey over its entire 23km(2) land package (see PR dated 21
November 2022). Remaining drilling results of the programme will be reported
as and when received.

·    The above detailed soil survey programme is scheduled to be completed
by early March and along with an ongoing structural mapping programme, will be
used to more accurately and efficiently target our Phase 3 drilling programme
(due to start H2 2023) building on areas covered by Phase 1 and 2 (Central
Claim block), and also to explore the potential at the c.99% of our claims at
San Domingo that remain untested.

·    It is Important to note that this first programme has been focussed
on shallow drilling and with positive intersections of lithium mineralisation
recorded at shallow depths (from surface in some holes) in multiple locations
across an area in the Northern claim block at San Domingo (see map and hole 24
cross-section below), where partial assays have now been received. A shallow
Open Pit Mining approach therefore seems the route to follow.

·    Phase 2 of this programme at the Central Claim Block has commenced;
assays are pending.

·    North American assay laboratories are currently running at capacity
and as a consequence turnaround times on assay reporting are excessive, +8 -12
weeks on occasions, as well as being subject to last minute delays and
disruption. Bradda therefore expects all results to be received by the end of
H1 2023.

·    Assay results for c.50% of our 36 completed holes are pending.

 

 

Charles FitzRoy, CEO of Bradda Head Lithium, commented:

 

"These results are encouraging and set the scene for what we believe has the
potential to define a world class lithium pegmatite district in Arizona, near
vital infrastructure and battery end-users within the US and the wider
developing North American battery hub. The US is investing US$135bn in its EV
and critical minerals supply chain, all Bradda's assets are located in the US
for the US market, these results are therefore extremely supportive of our
business model. ESG is front and centre in our approach and we are working to
develop these assets with as low a carbon footprint as possible.

 

"The initial results from this first drill programme at San Domingo highlights
a distinct district scale potential. As a result, Bradda is in the process of
designing a follow-up drilling programme in H2 of this year aimed at testing
additional ground within the much wider 23km(2) of lithium pegmatite claims
held in Arizona. Funds are already in place for this work, and ongoing
exploration work by our geologists suggests that we have only just scratched
the surface of what we have at San Domingo with just over 1% of the area
tested from this first programme. We intend to keep the market updated on our
progress and we look forward to sharing further developments of this exciting
project.

 

"As well as progressing its pegmatite projects, Bradda Head recently announced
a 2(nd) resource update in less than 12 months at its lithium in clay Basin
project in Arizona. Further drill programmes are planned to start at the Basin
in H1 of this year, which we believe will likely lead to further resource
growth at our flagship clay asset. With almost 0.4Mt of LCE already in
compliant resources Bradda Head now has the largest publicly announced lithium
resource in Arizona and 2023 is expected to be yet another resource growth
year for the Company!

 

"The success of our current programmes at our San Domingo Pegmatites, and also
at our Lithium in Clay Basin Project, both located in Arizona, USA, continue
to highlight the risk diversification approach followed by Bradda that
separates us from many of our peers in the 'Lithium' space."

 

 

 

 

San Domingo Overview map:

 

 

 

Phase 1 - Northern Claim Block:

 

 

Hole 24 Cross-section:

 

 

 

 

 

San Domingo Phase 1 drill highlights so far:

 

 Phase  Drill Hole Number  From* (m)  To (m)   Interval (m)  Lithium Oxide (Li(2)O) %  Target Area
        SD-DH22-001        27.43      29.87    2.44          1.63                      Northern Claims
        SD-DH22-001        59.31      68.28    8.96          0.48                      Northern Claims
        SD-DH22-002        23.04      25.73    2.68          0.04                      Northern Claims
        with               34.67      35.27    0.58          0.06                      Northern Claims
        SD-DH22-003        0          9.75     9.75          0.78                      Northern Claims
 1      with               0          5.36     5.36          1.20                      Northern Claims
        and                9.75       22.86    13.11         0.05                      Northern Claims
        SD-DH22-004        44.93      50.23    5.3           0.07                      Northern Claims
        SD-DH22-005        0          4.27     4.27          1.86                      Northern Claims
        and                40.84      53.49    11.8          0.04                      Northern Claims
        SD-DH22-006        8.53       11.13    2.59          0.05                      Northern Claims
        and                11.89      28.35    16.15         0.02                      Northern Claims
        SD-DH22-007        14.63      16.76    2.13          0.03                      Northern Claims
        SD-DH22-008        106.34     112.78   6.43          0.04                      Northern Claims
        SD-DH22-009        No significant Intercepts                                   Northern Claims
        SD-DH22-010        2.29       27.04    16.85         0.16                      Northern Claims
        with               4.08       20.33    8.36          0.21                      Northern Claims
        and                35.11      38.86    6.43          0.09                      Northern Claims
        SD-DH22-011        2.74       6.71     3.96          0.44                      Northern Claims
        and                48.16      50.72    3.69          0.05                      Northern Claims
        SD-DH22-012        No significant Intercepts                                   Northern Claims
        SD-DH22-013        175.26     178.19   2.93          0.13                      Northern Claims
        SD-DH22-014        3.96       6.40     2.43          0.22                      Northern Claims
        SD-DH22-015        8.53       10.67    2.13          0.29                      Northern Claims
        SD-DH22-016        No significant Intercepts                                   Northern Claims
 1      SD-DH22-017        No significant Intercepts                                   Northern Claims
        SD-DH22-018        Results Pending                                             Northern Claims
        SD-DH22-019        Results Pending                                             Northern Claims
        SD-DH22-020        Results Pending                                             Northern Claims
        SD-DH22-021        Results Pending                                             Northern Claims
        SD-DH22-022        Results Pending                                             Northern Claims
        SD-DH22-023        Results Pending                                             Northern Claims
        SD-DH22-024        26.82      58.67    31.85         1.60                      Northern Claims
        with               26.82      30.72    3.90          2.88                      Northern Claims
        with               38.65      58.67    20.03         1.97                      Northern Claims
        with               38.65      45.72    7.06          1.92                      Northern Claims
        with               49.83      53.04    3.21          3.74                      Northern Claims
        And                54.86      58.67    3.81          3.25                      Northern Claims
        SD-DH22-025        Results Pending                                             Northern Claims
        SD-DH22-026        Results Pending                                             Northern Claims
        SD-DH22-027        Results Pending                                             Northern Claims

* All drill holes commenced at surface

 

Background

 

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.

 

Following on from SRK's 3D remote mapping of the Company's whole San Domingo
claims, and Bradda's geological fieldwork, the Company decided to increase its
claims by 75% to cover 23km(2) in 2022, thereby strengthening its position in
what Bradda believes has the potential to be a world class lithium district 2 
(#_ftn2) .

 

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 is now being expanded to cover the remaining 20km(2)
not extensively soil sampled, with consultants currently in the field
collecting samples.

 

The soil geochemistry suggests that the pegmatite swarm is 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.

 

Bradda is proactively doing everything commercially possible to sample our
entire pegmatite district to ensure follow-up drill programmes hit more
high-priority targets and to continue to keep intersecting further lithium
bearing pegmatites. Bradda has a 10,000m drill programme planned to start in
the second half of 2023, using data from the wider soil sampling, current
drilling, SRK pegmatite mapping and the upcoming structural mapping programme.

 

Previous surface sampling at named outcropping pegmatites in the San Domingo
claim blocks returned individual sample grade highlights of:

 

·      Midnight Owl: 1.44% Li(2)O

·      Joker: 0.35% Li(2)O

·      White Ridge: 2.49% Li(2)O

·      Lower Jumbo: 1.62% Li(2)O

·      Sunrise: 0.67% Li(2)O

·      North Morning Star: 0.92% Li(2)O

 

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 7220 1666

 James Biddle/Roland Cornish

 Peterhouse (Joint Broker)          +44 207 469 0930
 Charles Goodfellow

 Duncan Vasey

 Lucy Williams

 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 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.

 

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) Core length

 2  (#_ftnref2) See PRs dated 21 November 2022, 13 September 2022, 08 August
2022, 18 July 2022, 21 June 2022 and 02 November 2021.

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