BLM BIG SANDY APPROVED!, page-278

IMO the next drilling results could give this stock the zing it needs. The production wells are being drilled between our best 3 wells (blue box below) and closest to the highest grade one that averages 146 mg/L. Our PFS is based on the assumption of 119 mg/L average. The major capital cost is drilling/bringing the brine to surface so of course the higher the grades the better.

We can expect at least similar high grades to the previous wells, but if we are lucky get a hit like EMP (orange box). Plus we will be the first in Canada to test the lower formations. Deeper drilling has been fruitful for both ASN and Standard Lithium resulting in higher grade deposits.

The entire Alberta side of the formation is looking like a complete dud economically due to the lower grades (~75mg/L). E3 basing their PFS on a lithium price of $31k and need 2.5 billion capital to get off the ground. LithiumBank also in Alberta is the same story @ 2.1 billion capex.

Only AZL and EMP Metals in Saskatchewan have the grades that can produce at a low lithium price (~$20k) .

AZL: 3.4 Mt @ 127mg/L (including higher grade zone 600 kt @ 159 mg/L)
EMP: 1.15 Mt @ 143 mg/L (including higher grade zone 500 kt @ 198 mg/L)